Japan’s retailers brace for revamp of tax-free tourist shopping

Travel & Leisure

Department stores see move from exemptions to refunds hitting demand for high-end goods

Japan’s roughly 64,000 tax-free shops are preparing to transition from tax exemptions to refunds for foreign customers. (Photo by Hazumu Urushiyama)

Nikkei staff writers

October 22, 2026 05:50 JST

TOKYO — Japan is set to overhaul its tax-free shopping rules for foreign visitors in November to combat domestic reselling, but some retailers worry the new refund process may deter big spenders.