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Accommodation In Tokyo Hotels Will Be Taxed, Says Governor

by Mary Swire, Tax-News.com, Hong Kong

05 November 2001

The Governor of Tokyo, Shintaro Ishihara, has announced plans to tax hotel accommodation in the city on rooms charging over Y10,000 per night.

The tax will be Y100 for visitors whose rooms cost between Y10,000 and Y14,999. A charge of Y200 will be levied on people whose rooms cost more than Y15,000.

The new tax is expected to generate aditional annual revenue worth Y1.5 billion to the Tokyo metropolitan government. Ishihara told reporters: 'We would like to use the proceeds from the new tax to fund expenses for expediting tourism.'

It is not yet known when the new tax will be imposed but the legislation is up for approval at the next session of the Tokyo metropolitan legislative assembly within the next few weeks.

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