Global Regulatory Notes (21)
Keep a pulse on global regulatory trends. Canada strengthens enforcement; Toronto, ON & Centre Wellington increase MAT; Mississauga, ON toughens penalties; Frontenac County, ON holds open houses; Thailand approves tourism stimulus; Japan; Abu Dhabi, UAE; Netherlands; Greece. READ MORE.
Canada
Airbnb is ramping up its anti-party measures across Canada ahead of Halloween, deploying new machine-learning technology designed to block high-risk bookings before they happen.
The system analyzes factors like booking patterns and guest history to prevent entire-home rentals likely intended for parties. The company says last year’s rollout stopped about 6,300 potential party bookings and contributed to a decline in party-related complaints. Airbnb, which has enforced a global party ban since 2020, warns that guests caught using others to book for them could face suspension or permanent removal from the platform.
Toronto, ON
Toronto has quietly raised its Municipal Accommodation Tax from 6 to 8.5 percent as of June, applying the higher rate to both hotel and short-term rental stays.
The temporary increase, set to last through the 2026 FIFA World Cup, is expected to bring in $57 million to help cover the city’s $380 million tournament costs. Most of the funds will go toward upgrades at BMO Field, security, and improvements to Etobicoke’s Centennial Park.

Mississauga, ON
Mississauga is moving to toughen penalties for unlicensed and non-compliant short-term rental operators, with fines potentially rising to $1,000 for major offences such as operating without a licence or renting out non-primary residences.
City staff say the current $200 fines are too low to deter violators, given that some operators earn more than $17,000 a year from short-term rentals. The proposed update, to be discussed by council on Oct. 29, follows federal funding awarded in March to boost enforcement capacity. If approved, the new fines would take effect Nov. 17.
Frontenac County, ON
Frontenac County is holding a series of open houses this week to gauge public feedback on introducing a Municipal Accommodation Tax (MAT) for short-term rentals, including cottages, resorts, and B&Bs.

With roughly 400 such properties, the tax could generate over $500,000 annually, split between local tourism promotion and municipal funding. County officials emphasize that the proposal is still in the exploratory stage, with recommendations to follow after public consultation. Meetings are set across the county Oct. 29–30, with a virtual session on Nov. 13 and an online survey open until Nov. 16.
Centre Wellington, ON
Centre Wellington is taking the next step toward introducing a Municipal Accommodation Tax (MAT), a small fee added to overnight stays in hotels, motels, and short-term rentals to generate new tourism revenue.
The township says the MAT will have no cost to residents or operators, with all funds reinvested into tourism development and local infrastructure. In September, council approved the creation of a 100% township-owned Municipal Services Corporation to administer the program and oversee long-term tourism investment.
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Thailand
Thailand’s cabinet has approved a five-part tourism stimulus aimed at boosting domestic travel and lifting fourth-quarter growth, with officials projecting a 0.04% increase in GDP despite a 5 billion baht revenue loss.
The package allows tax deductions for travel, dining, and company seminars held between October 29 and December 15, 2025, offering higher incentives for trips and events in secondary provinces. It also grants double deductions for hotel renovations through March 2026 and extends a reduced 5% excise tax on nightlife venues for another year.
Japan
Japan’s tourism boom shows no sign of slowing, with over 31.6 million international visitors recorded from January to September 2025 — a record-breaking surge that has outpaced every month of the previous year.

The influx comes as Kyoto prepares to roll out Japan’s highest-ever hotel tax, set to take effect next year to promote sustainable tourism and fund local infrastructure. The tiered levy will range from ¥200 to ¥10,000 per night depending on accommodation price, expected to more than double the city’s tax revenue.
Abu Dhabi, UAE
Abu Dhabi is tightening control over its short-term rental sector with new rules requiring all holiday homes to secure a valid licence before being listed online.



The Department of Tourism and Culture (DCT Abu Dhabi) announced Circular No. 8/2025, which takes effect on January 1, 2026, banning unlicensed units from digital platforms and mandating visible licence numbers on all listings. The circular also extends licensing to farmhouses, supporting agri-tourism growth and promoting authentic Emirati-led experiences.
Netherlands
The Dutch government’s decision to raise the VAT on hotels, hostels, and other accommodations to 21% starting October 2023 is sparking major concern in the country’s tourism industry.
While the policy aims to generate €1.2 billion in new revenue, analysts at ABN AMRO warn the government may collect far less—around €285 million—due to limited taxable income within the hotel sector. The report predicts the hike will reduce hotel profits, potentially cutting corporate tax revenues by €147 million and forcing businesses to scale back green and workforce investments.
Greece
A new European Travel Commission survey shows that travel intentions across southern Europe and the Mediterranean are rising, with destinations like Greece, Italy, and Spain seeing a 7% boost in planned trips through March.
The increase is largely driven by better prices, milder weather, and fewer crowds outside peak summer months. For Greece, this trend could help ease long-standing seasonality issues, as about 60% of annual tourism revenue still comes between July and August. However, a study by INSETE warns that high VAT, resilience fees, and other costs keep Greek hotels less competitive than rivals in nearby countries, making it difficult for many to stay profitable during the shoulder seasons.
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