Tourists in China to save on taxes

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Tourists in China will soon be able to save money while shopping.

Certain department stores will deduct sales taxes from purchases by foreign shoppers, the state news agency Xinhua reports.

The rebate of 11 per cent will either be paid out in Chinese yuan or transferred to the shopper’s account. The refund is only offered if the shopper buys goods costing more than 500 yuan ($A103).

Products that are illegal to export from China are excluded.

According to Xinhua, the regulation has been applied on the holiday island Hainan since 2011, where the minimum purchase total is 800 yuan (about 114 euros) and only applies to 324 products.

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