Published on August 31, 2025
By: Tuhin Sarkar
British Columbia joins Alberta, Ontario, and Québec successful driving a record-breaking visitant spending surge and edifice roar successful Canada. This caller update shows really these provinces lead nan nation’s tourism revival pinch powerful maturation successful hotels, attractions, and taxes. British Columbia shines pinch beardown world arrivals. Alberta draws visitors to its mountains and cities. Ontario posts grounds visitant walk successful Toronto and Niagara Falls.
Québec adds a taste magnet pinch Montréal and Québec City. Together, British Columbia, Alberta, Ontario, and Québec push Canadian tourism into a caller precocious point. Visitor spending rises, edifice request soars, and caller tourism taxes bring costs for growth.
This operation of record-breaking visitant spending and a edifice roar is shaping nan early of Canadian travel. The caller update confirms that Canada’s tourism leaders are rewriting nan nationalist communicative pinch unstoppable momentum.
Tourism is 1 of nan strongest pillars of Canada’s economy. In 2024, visitors spent much than 1 100 and 20 9 cardinal Canadian dollars crossed nan country. Hotels, restaurants, and attractions each saw dependable growth. The momentum has carried into 2025. Provinces and territories are now reporting moreover stronger flows of home and world travellers. The nationalist outlook points to 2 to 4 percent maturation this year. A weaker Canadian dollar helps pull overseas visitors. At nan aforesaid time, section tourism taxes are rising successful galore cities. These costs are now being utilized to build events, beforehand destinations, and support infrastructure.
This study explains Canada’s 2025 tourism scenario. It shows really each state and territory is performing. It besides gives a image of 2024 edifice and accommodation spending. Finally, it breaks down nan tourism taxation strategy that visitors are now paying successful different parts of nan country.
Canada National Picture
Tourism spending successful 2024 grew by 3.6 percent compared to 2023. International visitors spent 8 percent much than nan erstwhile year. Hotels were 1 of nan strongest contributors. In nan past 4th of 2024, overseas travellers put complete 30 percent of their travel fund into edifice stays. Total accommodation request reached astir 4.6 cardinal Canadian dollars successful that 4th alone. Destination Canada expects full visitant spending to scope 1 100 and sixty cardinal dollars by 2029.
The operation of travellers is changing. Domestic trips are stable, but nan maturation separator is successful overseas visitors. Cruise recreation is rising connected nan Atlantic and Pacific coasts. Air recreation continues to grow successful Toronto, Vancouver, Montreal, and Calgary. These gateways are nan main introduction points for world guests.
British Columbia
British Columbia remains Canada’s prima tourism province. In nan past 4th of 2024, world visitors spent 1.7 cardinal dollars successful nan province. Vancouver, Victoria, and nan Rocky Mountains are cardinal draws. The 2025 outlook points to coagulated growth, but wildfires stay a seasonal risk.
Hotel rooms successful Vancouver transportation respective layers of tax. Guests salary 8 percent provincial income tax. They besides salary a 3 percent municipal and location territory tax. Vancouver has added different 2.5 percent levy until 2030 to money awesome events.
Alberta
Alberta is rebuilding its world marketplace aft pandemic losses. In precocious 2024, inbound spending was 440 cardinal dollars. Calgary and Edmonton are seeing beardown normal and sports traffic. Banff and Jasper stay apical leisure attractions.
Visitors salary a 4 percent tourism levy connected edifice rooms crossed nan province. Cities for illustration Calgary and Edmonton besides complaint destination trading fees. These costs are reinvested into promotion and events.
Saskatchewan
Saskatchewan draws mostly home and location visitors. Non-resident walk was astir 40 cardinal dollars successful nan past 4th of 2024. Demand is stable, pinch taste tourism and sports starring nan way.
There is nary province-wide edifice tax. However, cities for illustration Regina and Saskatoon use a 3 percent destination trading fee. This supports section events and conferences.
Manitoba
Manitoba has a balanced operation of quality and taste attractions. Winnipeg is nan hub. While Statistics Canada suppressed immoderate visitant information for 2024 owed to value limits, nan city’s edifice taxation information shows rising receipts.
Since April 2024, Winnipeg accrued its accommodation taxation from 5 to six percent. Brandon applies a 5 percent nightly fee. These changes are portion of a wider strategy to boost gross for destination marketing.
Ontario
Ontario is Canada’s astir visited province. International spending successful nan past 4th of 2024 reached 1.68 cardinal dollars. Toronto reported a grounds 8.8 cardinal dollars successful full visitant walk successful 2024. This was 4 percent much than 2023 and 7 percent higher than pre-pandemic levels.
Ontario’s tourism taxation strategy is now among nan astir analyzable successful Canada. Most cities complaint a 4 to six percent municipal accommodation tax. Toronto raised its complaint to 8.5 percent from June 2025 until July 2026. Ottawa charges 5 percent. Niagara Falls introduced a caller level nightly interest successful 2025 that varies by edifice prima rating.
Québec
Québec is simply a beardown magnet for world travellers. The state welcomed 842 cardinal dollars successful non-resident spending successful nan past 4th of 2024. Québec City unsocial recorded 2.5 cardinal dollars successful visitant spending successful 2024, a emergence of astir 10 percent.
The lodging taxation crossed nan state is 3.5 percent of nan room price. In addition, nan national GST of 5 percent and nan Québec income taxation of astir 10 percent apply. This makes edifice stays successful Québec among nan astir heavy taxed successful nan country.
New Brunswick
New Brunswick has been building its tourism floor plan done section levies. The state reported astir 40 cardinal dollars successful inbound spending successful precocious 2024. Coastal resorts and taste towns are starring attractions.
Since 2019, municipalities tin complaint their ain tourism accommodation levies. Saint Andrews, for example, applies a 3.5 percent fee. Funds are directed into trading and arena growth.
Nova Scotia
Nova Scotia is enjoying maturation from cruise traffic. Halifax expects much than 188 vessel calls successful 2025, bringing 328,000 passengers. Inbound visitant spending successful nan state was astir 100 cardinal dollars successful precocious 2024.
Halifax accrued its trading levy to 3 percent successful October 2023. This applies to hotels and short-term rentals. It is now a cardinal root of tourism funding.
Prince Edward Island
Prince Edward Island saw inbound visitant walk of 26 cardinal dollars successful nan past 4th of 2024. Overnight stays successful 2025 are search astir 3.5 percent higher than nan twelvemonth before. Domestic visitors and Europeans are supporting maturation arsenic US postulation slows.
Charlottetown and Summerside use a 3 percent tourism accommodation levy. This has go a predictable gross instrumentality for nan island’s trading efforts.
Newfoundland and Labrador
Newfoundland and Labrador are increasing done cruise tourism and taste experiences. Inbound visitant information for precocious 2024 was suppressed, but trends constituent to recovery.
St. John’s applies a 4 percent accommodation tax. In 2025, caller rules brought short-term rentals nether nan Tourist Accommodations Act. This ensures that platforms for illustration Airbnb cod and remit taxes arsenic hotels do.
Yukon
The Yukon attracts visitors seeking bluish lights, wilderness, and adventure. In precocious 2024, nan 3 bluish territories together reported 30 cardinal dollars successful non-resident spending.
The territory itself does not person a edifice levy. However, immoderate towns for illustration Watson Lake person introduced section levies. These are mini but important for section tourism boards.
Northwest Territories
The Northwest Territories took a large measurement successful April 2025. Yellowknife introduced a 4 percent tourer accommodation tax. This move intends to money trading and infrastructure aft awesome wildfire impacts successful 2023 and 2024.
The territory is moving to pull escapade and taste visitors back. Aurora viewing remains nan astir celebrated product.
Nunavut
Nunavut is nan slightest visited portion of Canada but offers unsocial experiences. Adventure, culture, and wildlife specify its appeal. There is nary territory-wide edifice tax, though national GST applies.
Visitor spending remains mini successful scale. However, niche request from Europe and Asia is expected to slow emergence successful 2025 and beyond.
Hotels and Accommodation Spending
Accommodation is 1 of nan largest parts of nan tourism economy. In 2024, non-resident visitors spent 1.7 cardinal dollars connected hotels successful nan past 4th alone. Domestic travellers spent 2.8 cardinal dollars. Overall, accommodation accounted for astir 1 3rd of full travel spending by overseas guests.
These figures show really important edifice gross is for nan wider economy. They besides item why provinces and cities usage edifice levies to raise tourism funds.
Tourism Tax Landscape
Tourism taxation successful Canada is layered. All visitors salary nan national equipment and services taxation aliases nan harmonised income tax. On apical of that, provinces and municipalities use edifice aliases accommodation taxes. These rates scope from 3 percent to much than 8 percent.
British Columbia and Ontario now person immoderate of nan highest edifice taxation rates. Vancouver applies up to 13.5 percent successful mixed income and edifice taxes. Toronto has an 8.5 percent municipal taxation positive HST. Québec adds 3 layers, including a 3.5 percent lodging tax.
These taxes raise hundreds of millions of dollars per year. They are reinvested into events, promotions, and infrastructure. They besides thief provinces negociate nan costs of hosting much visitors.
Analytical Outlook for 2025
The Canadian tourism manufacture enters 2025 successful a position of cautious strength. National spending is expected to turn betwixt 2 and 4 percent. Domestic request is steady. International markets are mixed, pinch beardown maturation from Europe and Asia but softness from nan United States.
Risks see wildfire seasons successful British Columbia and nan Northwest Territories, world geopolitical uncertainty, and aerial capacity limits. However, nan weaker Canadian dollar and rising cruise postulation supply beardown offsets.
The emergence successful edifice levies shows really tourism is becoming much cardinal to authorities gross planning. These levies, if managed carefully, tin money sustainable growth. But if rates go excessively high, they consequence making Canadian cities little competitory compared to US aliases European destinations.
Tourism successful Canada is simply a elephantine economical engine. In 2024, visitors spent astir 1 100 and 30 cardinal dollars. Hotels, restaurants, and attractions benefited. In 2025, maturation is expected to continue, though astatine a mean pace. Provinces and territories are each shaping their ain strategies. British Columbia and Ontario stay nan largest markets. Atlantic Canada is rising pinch cruise tourism. The North is experimenting pinch caller levies.
The tourism taxation strategy is analyzable but now firmly established. Guests successful Canada salary respective layers of taxation connected edifice stays. These costs are utilized to marketplace cities, build events, and support tourism infrastructure.
The Canadian tourism script successful 2025 is 1 of resilience, growth, and adaptation. With observant policy, balanced taxation, and finance successful experiences, Canada tin scope its extremity of 1 100 and sixty cardinal dollars successful visitant spending earlier nan extremity of nan decade.