Tourist tax refund
Tourists get part of Korea's 10% VAT back on purchases over KRW 30,000. This shows the actual refund after the agency's fee.
How it works
Korean prices include 10% VAT, so VAT = price × 10/110. Refund agencies keep 20–30% as a fee and return the rest — about 6–7% of the price.
Immediate refund: receipts up to KRW 1M each and 5M total per stay are refunded on the spot at the store (raised in 2025). Above that, claim at airport kiosks or counters when leaving.
Eligibility: foreign visitor staying under 6 months, departure within 3 months of purchase, goods taken out unopened.
Assumptions
- Fee varies by agency and amount tier — adjust the input
- Special consumption tax refunds not included
- FX and cash-payout fees not modeled
FAQ
What do I need at the store?
Your passport. Look for 'Tax Free' signs — most department stores, Olive Young and large marts participate.
Do I need to show the goods at the airport?
For purchases claimed at the airport, customs may ask to see unopened goods before you check luggage, so keep them accessible.