Amsterdam to Implement Near-World's Highest Tourist Tax by 2031 to Combat Overtourism
Amsterdam is set to incrementally increase its municipal overnight tourist tax, aiming to reach nearly the highest rate globally by 2031. Currently at 12.5%, the tax will rise to 16% of the hotel room price in 2027, and then by one percentage point annually, peaking at 20% in 2031. This initiative, part of a new coalition agreement by PRO Amsterdam and D66, seeks to curb overtourism, address budget deficits, and alleviate the financial burden on local residents. Concurrently, the Dutch central government has increased the nationwide VAT on hotel stays from 9% to 21%. When combined, the total tax burden on an average €200-a-night hotel room in Amsterdam will reach 41% by 2031, meaning visitors will pay over €80 in taxes alone. The city consistently exceeds its self-imposed cap of 20 million overnight stays per year, and this tax hike is designed to deter low-budget mass tourism.