Traveling often involves more than just paying for flights and accommodation. Direct and indirect taxes can significantly impact your overall travel costs, which is why it’s important to plan your trip carefully. One such tax that you may not be aware of is the tourist tax, which applies in several destinations around the world.

What is a Tourist Tax?

The primary purpose of the tourist tax is to mitigate the negative impacts of tourism, such as over-tourism and environmental degradation. Additionally, the revenue generated from this tax helps maintain local infrastructure and contributes to the local economy.

Tourist taxes aren’t a new phenomenon—many cities and countries have been implementing them for years. Well-known destinations like Amsterdam, Venice, and Bhutan have been collecting tourist taxes for a long time. In fact, recently, several locations have introduced or confirmed new tourist taxes: Edinburgh will implement a 5% tax starting in July 2026, Bali plans to fine tourists who don’t pay their taxes starting in December 2024, Russia introduced a new tax as of January 2025, and Thailand is considering reintroducing a INR 750 tax soon.

6 Common Types of Taxes to Watch Out For:

Accommodation Tax – Charged per night on hotel stays.
Entry Fees – Applied on arrival for entry into certain destinations or countries.
Day-Trip Taxes – Levied on visitors who do not stay overnight.
Tourist Card Fees – Often included in travel packages and required for entry in certain countries.
Environmental Fees – Used to maintain natural parks and attractions.
Departure Fees – Added to flight or cruise tickets when leaving a country.

Things to Keep in Mind:

Before traveling to your destination, it’s essential to do some research on taxes that may apply to your trip. Here are some things to consider:

Accommodation taxes: Always check whether taxes are included in your quoted hotel price or if they will be added during check-in.
Departure charges: These may sometimes appear as hidden fees on your flight or ship tickets, so make sure to review the total price before purchasing.
Day-trip or entry taxes: Even if you’re just passing through a destination for a short time, certain taxes may still apply. Be sure to check for local regulations to avoid any surprises.

By keeping these factors in mind, you can better plan for the various taxes and avoid unexpected costs during your travels.