Global Daily Tax News, China Confirms VAT Refund Scheme Expansion, (Jun 17, 2025)

The Chinese Government has confirmed that Dalian City and Hubei Province will begin offering value-added tax refunds to tourists.

Having announced plans to expand the scheme nationwide in April, the Chinese Government has said regional authorities have confirmed the availability of refunds starting July 1, 2025.

Alongside the expansion of the scheme nationwide, the Government is hoping to significantly boost the number of shops offering tax refunds, including by committing to process requests from businesses within five days.

The Government has also made refunds available for lower value purchases. It announced refunds would be offered for purchases worth at least CNY200 (USD27.5) from the same store on the same day, and the cash refund limit for claims would be raised to CNY20,000.