Published: 20:04, June 27, 2025 | Updated: 21:31, June 27, 2025
More SZ ports introduce departure tax refund to benefit travelers
By William Xu in Shenzhen
A Hong Kong traveler surnamed Kwan signs a form at the departure tax refund counter in Futian checkpoint to claim back the value-added tax she paid when purchasing a laptop. (WILLIAM XU / CHINA DAILY)

Shenzhen expanded its departure tax refund service to the Futian and Shenzhen Bay checkpoints on Friday, allowing more non-Chinese-mainland tourists to claim back value-added tax (VAT) on eligible purchases before leaving the mainland.

The addition brings the number of checkpoints in Shenzhen offering the tax refund services to five, including the Wenjindu land crossing, Shekou Cruise Homeport and the Bao’an International Airport — more than all other mainland cities.

Residents from Hong Kong, Macao, Taiwan and overseas who have bought items eligible for a departure tax refund can bring their purchases to designated counters situated on the two checkpoints’ departure floors and complete the refund procedures within a few minutes.

READ MORE: China expands departure tax refund policy to more regions

Nine percent of the tax-inclusive price will be refunded for goods carrying a 13 percent VAT charge. For items with 9 percent VAT charge, 6 percent of the tax-inclusive price will be returned to consumers.

To be eligible for this policy, travelers should not reside in the mainland for more than 183 consecutives days before the date of departure.

Both Futian, linked to Hong Kong’s Lok Ma Chau MTR station, and Shenzhen Bay checkpoints are among the most popular ports with Hong Kong residents. Another busy crossing, Lo Hu, adjacent to Hong Kong's Lo Wu control point, is expected to launch the same service by late July at the earliest, according to the Shenzhen government.

So far, over 500 retailers across Shenzhen, including many located in shopping hotspots such as the Mixc and the Dongmen commercial circle, offer tax-refund services.

Tourists who purchase goods worth over 200 yuan ($27.9) at one tax-free store within the same day are qualified to apply for a tax refund. The purchases, which must not be prohibited for export, cannot be opened or consumed on the mainland, and must accompany the buyers when they leave.

A Hong Kong resident surnamed Kwan was the first to benefit from the service at the Futian checkpoint. At the tax-refund counter on Friday morning, she presented her travel document and a filled-out refund application form with a customs officer.

The officer checked the authenticity of Kwan’s item — a laptop computer with a tax-included price of over 19,000 yuan, unopened and within its packaging. A few minutes later, Kwan was guided to another counter to receive her refund.

Kwan said she comes to Shenzhen two or three times a week for shopping and leisure. She said the tax-refund process is extremely fast and convenient, adding that the policy will encourage her to shop more in Shenzhen.

Another Hong Kong resident, surnamed Chan, became the first customer at Shenzhen Bay checkpoint’s departure tax refund counter, also on Friday, and received a refund of 23.8 yuan for the laptop bag he bought in a store in Nanshan district.

The departure tax refund counter in the Shenzhen Bay checkpoint. (WILLIAM XU / CHINA DAILY)

Chan affirmed that the arrangement has boosted his willingness to spend and said he would be recommending the service to relatives and friends.

Apart from the “refund-upon-departure” service, travelers can also opt for a “refund-upon-purchase” at selected tax-free stores with their credit card. While refunds are issued immediately via pre-authorization, travelers must still present the goods at checkpoint counters for final review before the funds are transferred.

Introduced in 2015 to stimulate inbound tourism spending, China’s departure tax refund policy was enhanced in April, with the minimum purchase threshold lowered from 500 yuan to 200 yuan.

The tax refund business in Shenzhen has seen strong growth recently. From January to May, the sales volume and the transaction numbers of tax-refundable goods increased by 1.9 times and 2.8 times, respectively, compared to the same period last year.

READ MORE: Beijing airports see surging tax refunds for overseas travelers

Guangdong Huaxin Bank handles the refunds at Shenzhen’s checkpoints. The bank said their counter staff can communicate in Mandarin, Cantonese and English, and each counter is equipped with a portable translation device to serve travelers speaking other languages.

Leaflets in 14 languages — including French, Korean and Portuguese — are available at counters to explain the process involved in claiming a tax refund.

The Shenzhen municipal government said it aims to increase the number of tax-free stores to over 1,000 by mid-2025, prioritizing commercial zones near border checkpoints to provide a more convenient experience for travelers.

 

Contact the writer at williamxu@chinadailyhk.com