Korea Tax Refund & Duty-Free Shopping Limits [2025 Update]

2025 Update: South Korea Airport Tax Refund & Foreign Tourist Shopping Limits

Visiting South Korea and eager to shop? As a foreign tourist, you can benefit from Korea’s tax refund (VAT refund) system when leaving the country. This article offers the latest confirmed 2025 regulations — eligibility, limits, step-by-step airport process, in-store refund, and practical tips for maximizing your refund.

1. What Is the Korea Tax Refund System?

Korea applies a 10 % value-added tax (VAT) on most goods. Non-Korean residents (i.e. foreign tourists) may reclaim a portion of the VAT paid on goods that are exported (i.e. taken out of Korea) within certain rules. :contentReference[oaicite:0]{index=0}

The actual refund is net of administrative fees, so you’ll typically get back ~5–8 % of the purchase price. :contentReference[oaicite:1]{index=1}

2. Who Is Eligible & What Are the Conditions?

• You must be a **non-Korean resident** (i.e. foreign tourist) — you must not be taxed as a Korean resident. :contentReference[oaicite:2]{index=2}
• Your stay must be **under 6 months** in Korea. :contentReference[oaicite:3]{index=3}
• The goods must be exported (carried out) **within 3 months** from the date of purchase. :contentReference[oaicite:4]{index=4}
• The goods must be **unopened, unused**, and presented (if requested) for inspection by customs. :contentReference[oaicite:5]{index=5}
• You must shop at **tax-free / VAT refund participating stores** and get a refund invoice or immediate tax-free transaction. :contentReference[oaicite:6]{index=6}

3. 2025 Refund Limits & Thresholds (New Rules)

From **January 1, 2024**, Korea raised the limits for foreign tourist tax refunds to boost tourism. :contentReference[oaicite:7]{index=7}

• **Per-purchase (single invoice) cap**: 1,000,000 KRW (previously 500,000 KRW) :contentReference[oaicite:8]{index=8}
• **Total eligible purchases per trip**: up to 5,000,000 KRW :contentReference[oaicite:9]{index=9}
• **Minimum per receipt**: 15,000 KRW (this is the lowest amount to trigger a refund slip) :contentReference[oaicite:10]{index=10}

In-store (Immediate) Tax Refund Option

Many stores now offer **instant tax refund (즉시환급)**: they deduct the tax at checkout, so you pay the tax-free price directly. :contentReference[oaicite:11]{index=11}

Conditions often include: each purchase under 1,000,000 KRW, and a total of such purchases under 5,000,000 KRW during your trip. :contentReference[oaicite:12]{index=12}

4. Step-by-Step: How to Claim at the Airport

Below is the typical flow when leaving Korea:

1. At the store: Ask for the tax refund slip (or instant deduction) by presenting your passport. :contentReference[oaicite:13]{index=13}
2. Keep goods unused and receipts safe until departure. :contentReference[oaicite:14]{index=14}
3. Arrive early at the airport (leave enough time for the refund process). :contentReference[oaicite:15]{index=15}
4. Obtain your boarding pass at airline check-in first. :contentReference[oaicite:16]{index=16}
5. Customs validation / declaration:
   • If your refund is **over 75,000 KRW**, or flagged for inspection, you must present goods + receipts + passport to customs **before clearing immigration**. :contentReference[oaicite:17]{index=17}
   • If under 75,000 KRW and no inspection needed, you can use a **self-service refund kiosk** (automated) to scan your passport & claim slip. :contentReference[oaicite:18]{index=18}
6. After immigration/security, go to the **tax refund counter** or drop box to receive cash, credit card refund, or mobile payment. :contentReference[oaicite:19]{index=19}

At Incheon Airport, for example, there are automated kiosks near Gate 28 (Terminal 1), and staffed counters in duty-free areas. :contentReference[oaicite:20]{index=20}

5. Downtown Refund & Special Cases

In some shopping districts (e.g. Myeongdong, Hongdae), there are **downtown tax refund counters or centers** where you can get your refund before going to the airport. :contentReference[oaicite:21]{index=21}

However, even if you receive cash downtown, you must still present your refund slip and goods at airport customs for final validation — otherwise the refund may be reversed. :contentReference[oaicite:22]{index=22}

Medical / Cosmetic Procedures

Some medical / cosmetic clinics (e.g. plastic surgery) now participate in the VAT refund scheme: for eligible clinics and over certain amounts (e.g. >15,000 KRW), foreign patients may claim VAT refunds. :contentReference[oaicite:23]{index=23}

6. Tips to Maximize Your Refund & Avoid Mistakes

• Use **instant tax refund** whenever possible for smaller purchases to reduce hassle. :contentReference[oaicite:24]{index=24}
• Keep all **receipts and refund slips intact** until final approval. :contentReference[oaicite:25]{index=25}
• Do **not open or use** goods until you’ve passed customs. :contentReference[oaicite:26]{index=26}
• Place refund-eligible items in your **carry-on luggage** so customs can inspect them before check-in. :contentReference[oaicite:27]{index=27}
• Arrive at the airport with extra buffer time (at least 1 hour additional) for the refund process. :contentReference[oaicite:28]{index=28}
• Check refund method fees and currency conversion if receiving refund to credit cards. :contentReference[oaicite:29]{index=29}

7. Summary Table: Key Figures in 2025

Item	Amount / Rule
VAT Rate	10 %
Minimum per receipt	15,000 KRW
Max per purchase (invoice)	1,000,000 KRW
Max total per trip	5,000,000 KRW
Export window	Within 3 months
Customs inspection threshold	Refunds over 75,000 KRW often inspected

Conclusion

For 2025, Korea’s tax refund system offers significantly better thresholds for foreign tourists. With a per-invoice limit of 1,000,000 KRW and total cap of 5,000,000 KRW, plus instant refund options in many stores, the system is more generous than ever. Just remember — shop at participating stores, keep goods unused, validate through customs before immigration, and allow enough time at the airport. With the right preparation, you can ensure you don’t leave money on the table.

References & Credible Sources

• Korea Customs — Tax Refund (관세청) – customs.go.kr :contentReference[oaicite:30]{index=30}
• Incheon Airport — Domestic Tax Refund Procedure – airport.kr :contentReference[oaicite:31]{index=31}
• VisitKorea — Immediate Tax Refund Service & CU Campaign (2025) – english.visitkorea.or.kr :contentReference[oaicite:32]{index=32}
• Yonhap / News on 2024 tax refund limit increase – “South Korea to double tax refund benefit” :contentReference[oaicite:33]{index=33}
• Korea VAT Refund guides (Koreantopik, Wise) – koreantopik.com, wise.com :contentReference[oaicite:34]{index=34}