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China is pushing out eight new measures aimed at streamlining tax-free shopping for international visitors and boosting domestic consumption.
In a notice published yesterday, China’s Ministry and Commerce and five other government departments announced they would simplify the departure tax refund process through upgrades such as the introduction of a spot-check system.
Starting from 1 July, custom officials will only carry out randomised checks on smaller claims with a value of less than 10,000 yuan, a move that will greatly reduce the time spent waiting for inspections. Blanket inspections, however, will remain in place for purchases totalling more than 10,000 yuan.
Similarly, the tax refund system will go paperless from 1 July, with customs and refund agencies set to carry out verification and processing online. This means that overseas visitors will no longer need to worry about losing their physical tax refund application form and paper receipts.
As well, the authorities are optimising the refund-upon-purchase scheme for international travellers, which allows them to obtain an immediate tax rebate at an eligible store after purchase, rather than having to wait until departure.
Improvements include cross-regional recognition of the scheme across the entire country. For instance, an overseas visitor who makes use of the refund-upon-purchase service in Hebei province will be able to complete the rebate procedure when departing from another location such as Sichuan province.
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The deadline for departure under the refund-upon-purchase scheme has also been extended to 28 days across the board.
Under the new policy, China is aiming to expand the coverage of tax-free stores across all major shopping districts, tourist sites, markets and ports. At the same time, the authorities are looking to establish departure tax refund service areas for those attending major conventions and exhibitions such as the China International Import Expo, the Canton Fair and the China International Consumer Products Expo.
Other measures include strengthening the advertising of China’s departure tax refund policy across different channels such as arriving flights, airports, hotels and the media. The government has also promised to boost promotion overseas and develop the “Shopping in China” brand, which is designed to bolster domestic consumption.
Within the Greater Bay Area (GBA), Shenzhen has been on the vanguard in terms of the implementation of policies to facilitate departure tax rebates. According to local media, the city has already implemented measures such as placing tax refund forms and purchases in one sealed bag to reduce the waiting time for inspections.
Likewise, the number of deputy-free ports in Shenzhen increased to six in 2025, putting the tech hub at the top of the list nationwide in terms of the number of ports with tax refund services.
Last year, Shenzhen processed around 68,000 departure tax rebates, a surge of 1,300 percent year-on-year. Similarly, the tax refund amount grew by 240 percent, while the refund-upon-purchase total jumped by almost 40 fold.