Amsterdam’s Tourist Tax Increase in 2024
Next year, visiting Amsterdam will get more expensive.
The Dutch capital has confirmed a rise in its tourist tax on hotel rooms to 12.5% in 2024, making for the highest tourist tax in Europe. This increase will apply to travelers staying overnight in hotels, short-term rentals, guesthouses, and will also affect those arriving on cruise ships.
What the Change Means for Your Hotel Bill
Amsterdam’s current tourist tax stands at 7% and is set to increase to 12.5%. This means that next year, the tax on the average room rate of €175 ($186) per person will rise from $15.25 ($16.18) to €21.80 ($23.12) per night. In comparison, popular destinations like Barcelona average about €2.25 per person per day while in Paris you can generally expect to pay about €4 per person, per night.
Additionally, the tax for cruise-ship passengers will increase from €8 to €11 ($8.48 to $11.66) per visitor, per day.
Tourism taxes have become commonplace in Europe. However, Amsterdam levies its tourist tax as a flat rate per day and as a percentage of the accommodation cost, payable upon each visitor’s arrival at their hotel. This unique approach can sometimes lead to confusion and unexpected expenses.
Why is Amsterdam Hiking Its Tourist Tax?
In 2022, Amsterdam welcomed 17 million tourists, with projections estimating over 20 million in 2023. Given the city’s population of nearly 900,000, there is a growing aversion to this influx of visitors. The mass-tourism trend significantly concerns residents and businesses, largely due to complaints about noise and unruly behavior. These concerns are highlighted in Amsterdam’s Tourism Policy, which acknowledges the need to tackle tourism-related nuisances and disturbances. Consequently, the city aims to prevent tourism that negatively impacts residents’ quality of life.
Ivan Saprov, founder of a US-based travel-tech company Voyagu, supports the idea that popular tourist destinations like Amsterdam have a legitimate reason to impose taxes on every visitor. He notes, “Amsterdam is also grappling with the challenge of balancing its tourist appeal and maintaining its unique charm.”
A major rationale for the tax is the desire to change how visitors perceive Amsterdam. Infamously portrayed as a free and open city, some businesses advertise it as a place of “unlimited possibilities,” leading to the perception that virtually any behavior is acceptable. Therefore, city officials seek to promote activities and services that contribute positively to the city and its inhabitants. As part of this effort, measures such as banning bachelor parties and organized pub crawls have been implemented, alongside earlier closing times for bars and clubs, and restrictions on smoking cannabis in parts of the city center.
This year, tourism officials launched the “Stay Away” campaign to discourage young tourists from visiting Amsterdam for excessive partying. The campaign aims to raise awareness about the impact of such behavior and promote responsible, respectful tourism.
Where Will the New Tax Revenues Go?
The city’s government states that the extra revenue from the tourist tax hike will be invested in neighborhoods and districts where the need is greatest. These funds will address local challenges, support green and recreational spaces, and enhance community resources such as youth centers.
A principal goal of the higher tourist tax is to ensure that there is no financial burden on residents already struggling with inflation. According to Amsterdam’s deputy mayor for finance, Hester van Buren, next year the tax increase will not affect residents but will specifically target tourists. “Visitors will thus help to pay for the city to carry out its tasks,” Van Buren explains.
This funding will be vital in addressing the consequences of overtourism, as well as in maintaining cleanliness in the streets and tackling acute local problems.
Moreover, tourism-related taxes can fund sustainable tourism initiatives, including conservation efforts and community-based infrastructure projects. Amsterdam’s rising tourist tax is expected to further the city’s responsible growth and contribute positively to the environment.
Amsterdam Costs
How do average costs in Amsterdam play out? Prospective visitors should be prepared for some eye-opening expenses. On average, a Friday-to-Sunday trip to Amsterdam can set you back around €550 ($579.18). Hotel costs alone can amount to €418.24 ($440.43) per person, which will rise considerably once the new tourist tax is added. Daily food expenses can average approximately €33 ($34.75), marking a 9% year-on-year increase. Additionally, expenses such as train tickets from the airport, bike rentals, and admission to museums can tally up to another €50 ($52.65).
