China expands VAT refunds for tourists
From 1 July, 2016 foreign tourists who plan visit to Chinese Guangdong province be available to get VAT refund for them purchases made in certain store if they departing from Guangzhou's Baiyun International Airport and Nansha Port or from Zhuhai's Jiuzhou Port.
Foreign tourists including all from Hong Kong, Makau and Taivan also be available for this VAT refund if they will stay on the Mainland less than 183 days. They must spend at last RMB500 (USD75) for certain items in any store in one day to be able to claim an 11 percent refund where less a two percent handling charge. The refund is able if the purchases made during 90 days before departure.
The measure has been taken in a further effort to boost inbound tourism and consumption. Guangdong province is the nearest geographically to Hong Kong and Macau, and receives the vast majority of inbound tourists to the Mainland.
Hainan provided scheme of this refund in 2011, with Beijing and Shanghai being authorized to begin offering VAT refunds to tourists on July 1, 2015. From January of this year this scheme also able for foreign visitors in such Chinese provinces as Tianjin, Liaoning, Anhui, Fujian, Xiamen, and Sichuan.