Q: We purchased some clothing at a tax refund store and obtained a tax refund application form. One of the requirements is that the products not be used in China.

For example, if we purchased five items of clothing and one is already being used, are we still able to claim a tax refund for the four remaining items? They are on the same receipt and listed on the same tax refund application form.

A: When applying for a departure tax refund, overseas visitors are required to declare to Customs. If a physical inspection is required, they must present a valid identity document and the goods for inspection. From July 1, 2026, tax refund application forms covering sales of less than 10,000 yuan are subject to random physical inspection, while those covering sales of 10,000 yuan or more continue to be subject to physical inspection on an application-by-application basis. Tax refund application forms and sales invoices may be processed electronically as part of the paperless process.

If Customs conducts a physical inspection:

• If the items presented match those listed on the tax refund application form, Customs will verify the application accordingly;
• If the quantity of items presented does not match the quantity listed on the tax refund application form, Customs will verify the application based on the actual quantity of items presented.

In the example above, the used item does not qualify for a tax refund. The remaining four unused items may still be eligible for a tax refund based on the goods actually presented and Customs' verification, subject to the specific circumstances.

Where Customs verification is required, Shanghai Customs will conduct it based on the actual circumstances of each application.

Sources: Shanghai Customs, State Taxation Administration, Ministry of Commerce and five other departments