New Departure Tax Refund Policy for Better China Travel & Shopping

Updated: 2026-05-22 Source: STA General Office

China has rolled out an upgraded nationwide departure tax refund policy aimed at making shopping easier for foreign visitors and converting rising inbound tourism into a new driver of domestic consumption.

The measures, jointly issued by the Ministry of Commerce, the Ministry of Finance, and the State Taxation Administration of China on May 18, 2026 — alongside three other department bodies — represent a "2.0 version" over the one introduced in 2025 to improve China's departure tax refund system.

These eight practical measures focus on streamlining tax refund procedures and delivering a better shopping experience for overseas visitors.

Tax refund procedures will be greatly simplified. Starting July 1, 2026, random spot checks will be adopted for smaller claims for goods valued under 10,000 yuan. Only selected applications will be required to undergo physical goods verification by customs, which will dramatically reduce queuing time for on-site inspections at ports. Additionally, travelers no longer need to submit physical refund application forms and sales invoices, as customs and authorized agencies will conduct all verification online.

The instant tax refund service process has become much more improved. The 2.0 Version policy will enable cross-region recognition of the services. For instance, foreign tourists who buy goods in instant tax refund stores in Hebei Province can complete their application for tax refunding at the departing ports in Shanghai, Sichuan, or other eligible regions. Besides, the allowable departure period for instant tax refunds will be extended to 28 days nationwide.

To offer more shopping choices for overseas guests, local authorities support more tax-refund stores set up in core business districts, scenic spots, trading markets, and ports. Moreover, dedicated departure tax refund service zones will be set up at major international expos, including the China International Import Expo, Canton Fair, and China International Consumer Products Expo, offering one-stop shopping and tax refund services for exhibitors and business delegates.