Countries with tourism tax to take note of

Taxes, taxes, and more taxes: we’ve entered the year of 9% GST, and yet one more tax to add to the list is tourism tax, though this won’t necessarily affect all of us. If you’re planning your escapades for the year and beyond, here’s a roundup of countries with tourism tax, so you can factor it into your budgeting.

What is tourism tax?

But first, what is tourism tax and why do we have to pay it? In the same way that the Singapore Government imposed COE to regulate the number of cars on the road, tourist taxes were implemented in a bid to combat overtourism. 

The rise of cheap flights, a growing middle class population worldwide, social media, and popular culture has led to a burgeoning global tourism market. While it seems good for the destinations on paper, it’s a double-edged sword that’s had ripple effects on local populations.

Besides acting as a slight deterrent and crowd control tool, tourism taxes also shift part of the tax burden from locals to tourists: the funds go to conservation, maintenance, and upkeep of the cities and landmarks, alleviating the negative effects of overcrowding and tourism on the local environment. 

– Existing tourism taxes – 

1. Bali

S$13 tourist tax before arrival