Hong Kong travellers warned of delays under Japan's new tax-free refund rules
Japan's new consumption tax refund system requires travellers to complete refunds at airport kiosks, not stores. Travel agents warn shopping-heavy passengers may need extra time, with potential airport congestion as the system takes effect from November 1.
Hong Kong travellers visiting Japan are being advised to factor in shopping and extra airport time under a new consumption tax refund system that requires travellers to complete refund procedures at airports or ports rather than at stores.
Under the new rules, travellers must scan their passports at self-service refund kiosks within 90 days of purchasing tax-free goods. The process must be completed before baggage check-in and boarding.
WWPKG Holdings executive director Yuen Chun-ning said his agency would not arrange for tour groups to arrive earlier, as the amount each traveller buys varies and waiting times are difficult to predict. Travellers should weigh their shopping plans against their flight schedules, Yuen said, warning that those who shop heavily could risk being unable to complete the refund process in time. He added that some Japanese stores offer an immediate discount of 5 to 10 per cent to customers who show a foreign passport, encouraging them to spend more.
Yuen said it was difficult to predict whether major airports such as Kansai and Narita would face congestion, as queues would depend on flight schedules and how many refund counters were operating. Smaller airports would not necessarily mean shorter waits. He added that tour members who make large purchases could travel to the airport separately and arrive earlier to complete their refunds.
EGL Tours executive director Steve Huen Kwok-chuen said the number of refund kiosks at airports appeared limited. Depending on the circumstances, tour groups might need to arrive an hour earlier than scheduled, he said. Huen expects the system's impact to emerge gradually. November 1 is unlikely to show the full effect, he said, as stores have yet to phase out in-store refunds. A clearer picture is expected between November 1 and 5, as travellers who have made purchases begin arriving at airports to claim refunds.
The kiosk process uses a sampling system. If the screen turns green after a traveller scans their passport, the refund is complete. If it turns red, the traveller must present the tax-free goods to customs for inspection. Huen said tour groups traditionally arrive at the airport about two hours before departure. Agencies may consider adjusting their itineraries to arrive an hour earlier, depending on how much their clients shop. Wing On Travel said its tour groups typically arrive at the airport two and a half to three hours before departure, and that it would closely monitor the new system.