Osaka Governor Hirofumi Yoshimura had proposed the tax in March last year as a way to require travellers to share the cost of mitigating overtourism in the prefecture.
However, after studying the feasibility of the plan, a panel of university professors and other experts told the local government that there were numerous legal and administrative problems with its implementation, Yomiuri broadcaster reported.
Legally, singling out foreigners for extra contributions might be a violation of tax treaties prohibiting discrimination based on nationality, they said. Collecting the fees would also prove an administrative headache.
In light of the panel’s recommendation, Osaka officials said they had no choice but to put the proposal on hold and review their next steps, News on Japan news website reported.
