News On Japan

Japan Adjusts Plan to Raise Departure Tax to 3,000 yen

TOKYO - A plan to sharply raise Japan’s departure tax is taking shape as the government and ruling coalition have begun coordinating a proposal to lift the current 1,000 yen levy to a flat 3,000 yen per person in next fiscal year’s tax reform, adding new momentum to calls for expanded funding to deal with overtourism across the country.

The international tourist tax, commonly known as the departure tax, is added to the price of an airline ticket when leaving Japan regardless of nationality, with 1,000 yen collected from each traveler. Members of the ruling parties have been urging an increase to secure revenue for measures aimed at easing pressure on heavily visited destinations, arguing that rising visitor numbers require more robust responses.

Against this backdrop, the government and the coalition are now moving toward a unified proposal to raise the tax to a flat 3,000 yen per person in next fiscal year’s reform package. Within the Liberal Democratic Party, some have argued that passengers in business class and above should be charged 5,000 yen, but that idea is expected to be dropped due to the significant administrative burden it would place on airlines and airport operators.

Because the departure tax is applied uniformly to all travelers regardless of nationality, the government is also considering steps to ease the burden on Japanese citizens, including reducing the fees required when obtaining a passport.

Source: TBS

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