Articles /Blogs / Arthur Frommer Online

Israel Unveils a Sweeping 18% Tourist Tax. Will the Additional Costs Deter Visitors?

By Pauline Frommer

  Published: May 15, 2013

  Updated: Aug 23, 2018

Israel is already the 8th most expensive country on the planet to visit, according to the World Economic Forum. But a new 18% tax on car rentals, hotel rooms, private guide services and guided tours could well bump the country up the list a place or three.

The tax will take effect on June 1. Government officials have said it will go toward's lowering the country's deficit.

Some 3.5 million visitors head to the Holy Land each year, and most have already made their plans for summer (high season), meaning it's unlikely we'll see any drop in visitation in the coming months. But going into the future? That's an open question. What do you think?