[Japan Tax Refund 2026] New Tax Refund System for Shopping in Japan | Complete Guide to Tax-Free Regulations and Precautions

Currently, after shopping in Japan, customers usually purchase items at duty-free prices directly in stores or receive an instant tax refund at designated counters in department stores. However, Japan will implement a new system starting November 1, 2026, changing the instant tax refund to a pre-payment refund system. Travelers will need to pay the tax-inclusive price at the time of purchase and keep the receipt to process the tax refund at the airport or port upon departure.

• Foreign travelers who have been in Japan for less than 6 months
• Japanese citizens residing overseas who have temporarily returned to Japan for less than 6 months

Japan's consumption tax rate is currently 10%, calculated as follows:

• Tax refund amount = Tax included × Consumption tax rate

Assuming a traveler purchases goods with a tax-inclusive price of 10,000 yen and qualifies for a tax refund, the total refund amount will be 10,000 x 10% = 1,000 yen.

Current tax refund system

Under the current tax refund system, duty-free goods in Japan are classified into "general goods" and "consumables".

• General items
• Appliances, clothing, etc.
• No spending limit
• Must be taken out of Japan within 6 months of entry.
• Consumables
• Snacks, cosmetics and cosmeceuticals, etc.
• The spending limit for the same store on the same day is 500,000 yen.
• It must be sealed in a special airtight bag and must not be opened or used within Japan.
• Must be taken out of Japan within 30 days of purchase.

New tax refund system

Starting November 1, 2026, the tax refund system will eliminate the categorization. Consumables do not need to be sealed in special packaging bags; travelers can purchase daily necessities, snacks, and electrical appliances together. No upper limit on the amount of tax refunds. You can get a tax refund at the airport as long as you meet the store's minimum tax-free threshold and present the receipt.

If you see the "Japan. Tax-Free Shop" sign outside a store, it's a duty-free shop. Common large drugstores, electronics stores, and department stores, such as DONKI, Matsumoto Kiyoshi, and BIC CAMERA, all offer duty-free discounts.

1. Register purchase records at the store.

Shop at stores displaying the Japan Tax-free Shop sign or indicating tax-free benefits, and spend a certain amount to qualify for tax-free shopping, then show your passport to the store clerk.

2. Pay immediately at the tax-free price or receive a tax refund at the designated counter.

After confirming the traveler's entry date and other information, the shop assistant will pack the consumables in a special sealed bag. The traveler can pay at the duty-free price immediately, or pay at the tax-inclusive price and go to the store's designated tax refund counter on the same day to process the tax refund. Some stores may charge an additional tax refund processing fee of about 1.55%.

Documents required for a tax refund in Japan

• Original passport of the purchaser (passport must have an entry stamp)
• Purchase goods
• Original receipt for purchased goods

1. Register purchase records at the store.

When shopping at stores displaying the Japan Tax-free Shop sign or indicating tax-free benefits, upload your purchase record to the "Japan National Tax Agency Tax-Free Sales Management System" using your passport and pay the price including tax.

2. Process tax refunds and inspect duty-free goods at the departure airport/port.

Upon departure, present your passport, boarding pass, and duty-free goods at the tax refund counter or self-service machine at the airport or port. The system will verify your shopping records within the past 90 days, and you can receive a refund of the consumption tax in cash or by credit card. If customs finds duty-free goods not carried out of the country during a random inspection, or if the goods are clearly intended for resale or personal shopping, you may be refused a tax refund or required to pay additional tax.

1. Duty-free goods must be carried back in person or shipped directly out of the country by the store.

After purchasing duty-free goods, tourists must personally carry the relevant goods out of the country. Alternatively, the goods can be shipped directly from the store where they were purchased. This means that after the duty-free procedures are completed, the buyer cannot entrust the goods to someone else for shipping or send them back to their home country themselves. Since not all duty-free shops offer direct overseas shipping services, tourists should consider the weight limit for checked baggage when shopping to avoid paying excess baggage fees.

2. Consumables cannot be used within Japan.

Consumables must be taken out of Japan intact in order to be eligible for tax exemption. Although Japan's new tax refund system has eliminated the need for sealed packaging for consumables, this does not mean that travelers can use these items within Japan. If consumables are found to have been opened in Japan during the tax refund process, the consumption tax on those goods will not be refunded.

3. Allow time for tax refund processing at the airport/port.

Because the new system centralizes the tax refund process at the departure airport or port, baggage check-in can only be processed after customs tax refund confirmation. Therefore, passengers need to allow sufficient time to arrive at the airport or port to process tax refunds, so as not to affect boarding and baggage check-in due to excessive waiting time.

4. Some stores support using the Visit Japan Web tax-free QR code instead of a passport.

The Japanese government's Visit Japan Web electronic declaration system allows users to create a tax-free QR code in addition to entry and customs declarations. This code can then be used at checkout instead of a passport to complete the tax-free process. However, not all duty-free shops support Visit Japan Web QR codes; travelers need to confirm with the shop before using them.

1. Credit card theft/cash theft loss protection

Shopping sprees in Japan come with risks of loss, theft, or misuse, regardless of whether you pay by credit card or cash. When traveling, pay special attention to whether different travel insurance plans include coverage for credit card fraud and cash theft losses, making your trip more worry-free.

2. Personal property protection

Many people purchase high-priced items during their travels, so it is essential to compare travel insurance plans. When making a travel insurance plan, you can also check the total compensation limit for personal property protection, as well as the individual compensation limits for items such as mobile phones, laptops, and cameras, to assess whether the compensation amount is sufficient.

Kwiksure provides different levels of travel insurance plans to meet your needs. We offer a comprehensive range of protections, including medical, accident, and personal property loss coverage. Get a quote and apply for insurance instantly via WhatsApp.