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Tokyo to Set Accommodation Tax at 3% From Next April

TOKYO - Tokyo will introduce a 3% accommodation tax on hotel and other lodging stays from April 2027, formally replacing its current flat-rate system and extending the levy to private lodging services.

Internal Affairs and Communications Minister Seiichiro Murakami on July 1 approved Tokyo's plan to change the accommodation tax imposed on people staying at hotels and similar facilities in the capital from a fixed amount to a rate equal to 3% of the lodging fee. The new system will take effect in April 2027, with private lodging newly included among taxable accommodations.

Tokyo currently charges 100 yen per person per night for stays costing at least 10,000 yen but less than 15,000 yen, and 200 yen for stays of 15,000 yen or more. Stays costing less than 10,000 yen per night are exempt, but the exemption threshold will be raised to 13,000 yen from April next year.

The Tokyo Metropolitan Government expects the shift to the percentage-based system and related changes to generate about 19 billion yen in annual tax revenue.

Source: TOKYO MX NEWS

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