China has quietly turned shopping into one of the strongest reasons to visit. On September 1, 2026, the country's departure tax refund system crossed a threshold that matters to every international traveler: instant refunds stopped being tied to the city where you bought something. Under a notice issued by the State Taxation Administration (Shui Zong Huo Lao Fa [2026] No. 37), refund stores can now upload a traveler's identity document and have the refund approved online at the point of sale, then settled at any departure port in the country. In practice that means one shopping trip, several cities, and whichever airport or land border you happen to leave from.
If you are planning an inbound trip and intend to buy anything substantial — a folding phone, AI glasses, silk, tea, ceramics — this is the year the mechanics stopped being a headache.
What Changed on September 1, 2026
Before this reform, "buy and refund" had a geographic leash. You received the refund money in the store, but you had to exit China through a port your province had agreed to recognize. Buy in Beijing and fly home from Shanghai, and the paperwork could unravel.
The State Taxation Administration notice removed that constraint. As of September 1, 2026:
- The refund agency at the store's location reviews your documents online, at the moment the receipt is issued.
- The refund agency at your departure port verifies your identity and completes the refund.
- Provincial tax authorities must push their refund agencies to recognize each other's business, so the two ends no longer have to belong to the same network.
Chinese customs and tax commentary describes the result as "shop once, travel many cities, depart from any port."
The four conditions you still have to meet
The nationwide reform simplified where you can claim. It did not lower the substantive requirements, which come from the Ministry of Finance's 2015 announcement and the 2025 amendments. To qualify, you must satisfy all four at once:
- Spend at least RMB 200 at the same refund store on the same day. The threshold is per store, per day, not cumulative across your trip — it was cut from RMB 500 in April 2025.
- The goods must not be opened or used. Customs can and does check.
- Exit within 90 days of the purchase date.
- Carry the goods out yourself, in hand luggage or checked baggage.
You must also be an "overseas traveler" — a foreign national or a Hong Kong, Macao, or Taiwan compatriot who has lived continuously in mainland China for no more than 183 days. Long-stay residents do not qualify.
How much you actually get back
China's refund is a VAT rebate, not a discount, and the rate depends on the goods.
| VAT rate on the item | Refund rate (agency fee included) | Typical net after handling fee |
|---|---|---|
| 13% | 11% | About 9% |
| 9% | 8% | About 6% |
The formula is: refund = invoice amount (VAT included) × refund rate − agency handling fee. Refunds are paid in renminbi only. If your refund comes to RMB 20,000 or less you may choose cash or bank transfer; above that, it must be a bank transfer. The cash ceiling was raised from RMB 10,000 to RMB 20,000 in 2025.
For comparison, China's RMB 200 minimum spend is one of the lowest in the world — France requires EUR 100, Japan JPY 5,000. That low floor is why a modest souvenir purchase can be worth claiming.
Three ways to claim
Option 1: "Buy and refund" (即买即退), on the spot
You receive the refund as a pre-authorized advance at the store counter, before you leave China. This is what the September 1 reform unlocked nationally. You must hold a credit card that supports pre-authorization, because the agency takes a hold on it.
The important deadline: you must exit China within 28 days of the refund application being issued. The 28-day window — up from inconsistent provincial rules of two to three weeks — was unified in the 2.0 policy package. If you overstay it, or leave from an unlisted port, the agency charges the advance back to your card.
The upside is cash flow: you can spend the money again during the same trip.
Option 2: Standard refund, at the airport
Buy as normal, collect the refund application form and invoice, then declare the goods to customs at your departure port. Customs stamps the form, and the refund agency inside the departure area pays you. This route keeps the 90-day window and physical inspection, but suits travelers who do not want a credit-card hold.
Option 3: Paperless, via the national service code
Since July 1, 2026, the State Taxation Administration has rolled out a nationwide departure tax refund service code (离境退税服务码). You scan a QR code with your phone browser, enter your identity details once, and get a personal code that works in every refund store and at every departure port in the country.
At the store, the code auto-fills an electronic refund form. At the port, a customs officer scans it to pull the electronic data for verification — no paper form, no receipt hunting. You can track the application, invoice, and payment status on your phone.
What changed on July 1, 2026: fewer queues
The same 2.0 package addressed the physical bottleneck that had built up as refund volumes exploded. Two measures matter to travelers:
- Small-amount spot checks. For refund applications under RMB 10,000, customs now inspects only a random sample rather than every item. Applications of RMB 10,000 and above are still checked one by one.
- Fully paperless processing. Customs and refund agencies can confirm forms and invoices electronically, so nothing depends on a paper slip surviving your trip.
The effect showed up quickly. Hangzhou Xiaoshan Airport customs verified 1,267 refund applications worth RMB 18.8372 million in July 2026 alone — up 219.14% in volume and 39.29% in value year on year, the highest single month of 2026.
Where to shop: the refund store network
China's refund store footprint has expanded far beyond the luxury malls where the program began. As of May 2026 the national network reached 14,000 stores, roughly four times the level at the end of 2024, and by late July 2026 the Ministry of Commerce put the figure above 15,000. The 2025 rule change allowed stores with an M-level tax credit rating — not just A and B — to register, and delegated approval to local tax authorities within five working days.
Coverage now includes major commercial districts, pedestrian streets, scenic areas, resorts, museums, airports, passenger ports, and hotels. The merchandise mix has broadened too: alongside luxury goods, travelers claim refunds on consumer drones, AI glasses, smartwatches, designer toys, intangible-cultural-heritage crafts, and regional specialty foods.
Two practical notes. Refund sales remain concentrated: in 2025, five cities — Shanghai, Beijing, Guangzhou, Tianjin, and Chongqing — accounted for about two-thirds of national refund sales, so airport infrastructure there is well developed while elsewhere it may be thinner. Shanghai's tax authority has published a physical map of refund points and a policy guide switchable across 14 languages.
What this means for your itinerary
The reform makes multi-city trips easier to shop on. A traveler who buys tea in Hangzhou, ceramics in Jingdezhen, and electronics in Shenzhen can now receive advance refunds in each city and clear the whole thing at, say, Shanghai Pudong on the way home — provided each purchase meets the RMB 200 same-store same-day floor, stays unused, and exits within the applicable window.
That flexibility fits how inbound travel to China has been changing. National Immigration Administration figures show 22.914 million foreign entries in the first half of 2026, up 20.4% year on year, with 17.815 million arriving visa-free — 77.7% of the total. The Ministry of Commerce reported overseas visitors spent RMB 263.6 billion in China in January–July 2026, up 27.8%.
Frequently Asked Questions
Can I claim a refund on purchases from several different cities at one airport? Yes. Cross-city shopping has always been allowed, and since September 2026 the advance "buy and refund" service is also recognized across regions. Buy in as many cities as you like, then complete verification at your final departure port.
Do I need to speak Chinese to claim a refund? No. Refund counters at major airports in Beijing, Shanghai, and Guangzhou have English signage and English-speaking staff, and the national service code walks you through data entry in your phone browser. Large stores in tourist districts commonly have English-speaking staff as well.
Is this the same as Hainan duty-free shopping? No, they are separate programs. The departure tax refund returns VAT on goods bought anywhere in mainland China when you leave the country. Hainan's offshore duty-free scheme exempts import duties on foreign-brand goods when you leave the island — no international departure required. A trip covering both can use both.
What happens if I open or use the item before leaving? You lose eligibility. Customs verification depends on the goods being unused, and opening packaging is the single most common reason a claim is refused.
Can I get my refund in US dollars or euros? No. Refunds are paid in renminbi. If you want another currency, exchange it afterward at a bank or currency counter.
---
*LinkedTours designs inbound leisure travel, business travel, and international study tours across China, and can build shopping-friendly itineraries around major refund-store cities. See our China tour itineraries for options that combine the commercial districts above with the cultural sites that bring travelers here in the first place.*
