Japan to change tax-free shopping rules in 2026

Japan is set to implement a major change to its tax-free shopping system for international visitors. Currently, tourists can avoid paying the 10% consumption tax at the point of sale in participating stores. However, starting November 1, 2026, the country will transition to a refund-based method.

Under the new system, visitors will pay the full price, including consumption tax, at the time of purchase. Tax refunds will then be claimed at airports or ports upon departure after customs inspection. This change aims to ensure that goods intended for export are verified before the tax is returned.

While the previous 500,000 yen spending limit will be removed, eligible purchases will still require a minimum spend of 5,000 yen. Travelers must present their passports to qualify, and the process will involve customs verification to confirm that the products are indeed leaving the country.