At the end of April, Beijing lowered the tax refund threshold for foreign tourists and made immediate in-store refunds available across the country. China hopes this will attract more shoppers and increase travel retail sales as a share of G.D.P.
Eager to encourage duty-free sales, the Chinese government announced on April 27 a relaxation of the VAT refund policy for foreign tourists. These can now obtain an immediate refund in stores throughout the country, without having to wait until they leave. Until now, the scheme was only available in stores with the ‘Buy and Refund’ label: foreign customers (on presentation of a passport and receipt) who spent at least 500 yuan i.e. US$69 in a store on the same day were eligible for a...
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Article authors
Morgane Monteiro
Journalist
Journaliste économique pour mind Retail depuis 2024, j’analyse la transformation digitale du commerce.