Promulgation Authorities： Ministry of Finance , General Administration of Customs , State Administration of Taxation
Release Date： 2020.06.29
Effective Date： 2020.07.01
Doc Number： Announcement [2020] No.33 of the Ministry of Finance, the General Administration of Customs and the State Taxation Administration
Announcement on Hainan Offshore Duty-free Shopping Policies for Visitors
Announcement [2020] No.33 of the Ministry of Finance, the General Administration of Customs and the State Taxation Administration
For the purpose of implementation of the General Scheme for the Development of Hainan Free Trade Port, upon approval by the State Council, announcement is hereby made on Hainan offshore duty-free shopping policies for visitors (hereinafter referred to as the "offshore duty-free policies") as follows:
I. Offshore duty-free policies refer to the preferential tax policies that import duty is exempted when visitors who departure from the island (excluding those departing from the country) by plane, train or ship shop (with limited quantity and limited varieties of goods) in the duty-free stores which implement the offshore duty-free policies (hereinafter referred to as offshore duty-free stores) or at approved online sales windows, and that the visitors pick up the commodities in the designated areas of airports, railway stations, ports, and terminals. Taxes covered by the offshore duty-free policies are tariffs, import VAT and consumption tax.
II. For the purpose of the Announcement, visitors refer to those who are 16 years old or above, have purchased air tickets, train tickets or ship tickets to leave the Hainan Island with valid identity certificates (resident identity certificates for domestic visitors, travel certificates visitors from Hong Kong, Macao and Taiwan, and passports for foreign visitors), but do not leave the country, including residents of Hainan Province.
III. The annual duty-free shopping quota for each departing visitor is 100,000 yuan without restrictions on number of times. The types of duty-free commodities and the restrictions on the quantity of each purchase shall be subject to the Appendix hereto. Import duties shall be levied in accordance with regulations on imported articles in excess of the duty-free quota and restrictions.
A visitor's departure from the island by plane, train or ship after shopping shall be recorded as a duty-free shopping.
IV. Offshore duty-free stores mentioned herein refer to duty-free stores that are qualified to implement offshore duty-free policies and operate on the basis of franchising, currently including: Haikou Meilan Airport Duty Free Shop, Haikou Sun Moon Square Duty Free Shop, Qionghai Boao Duty Free Shop, and Sanya Haitang Bay Duty Free Shop.
Business subjects qualified for distribution of duty-free commodities may engage in offshore duty-free operations in Hainan in accordance with regulations.
V. Where the visitors departing from Hainan Island purchase duty-free commodities within the limit of quota and quantity specified by the State in duty-free stores or approved online sales counters, the duty-free stores shall transport the goods according to the time when the visitors depart from the Hainan Island, and the visitors may pick up the goods at the designated areas of airports, railway stations or port terminals on the strength of the shopping vouchers and carry the goods away with them once and for all.
VI. The purchased offshore duty-free commodities are the final goods for personal use by consumers and shall not be sold again in the domestic market.
VII. Individuals who violate the provisions of this Announcement by reselling, purchasing on behalf others or smuggling duty-free commodities shall be included in the creditworthiness records pursuant to the laws and regulations, and shall not purchase offshore duty-free commodities within the next three years; individuals who commit smuggling or violations of customs regulatory provisions shall be dealt with by the Customs pursuant to the relevant provisions; if the case constitutes a criminal offence, criminal liability shall be pursued in accordance with the law.
The industrial comprehensive rectification shall be carried out against travel agencies and transportation enterprises that assist in violating offshore duty-free policies and disturbing market order.
Offshore duty-free stores which sell duty-free commodities in violation of relevant provisions shall be punished by the Customs in accordance with relevant laws and administrative regulations.
VIII. The measures for supervision and administration of the offshore duty-free policies shall be separately promulgated by the General Administration of Customs.
The relevant administrative measures for the exemption from value-added tax and consumption tax applicable to the duty-free commodities sold in the offshore duty-free stores shall be separately formulated by the State Taxation Administration together with the Ministry of Finance.
IX. This Announcement shall come into force as of July 1, 2020, repealing simultaneously Announcements [2011] No.14, [2012] No.73, [2015] No.8, [2016] No.15 and [2017] No.7 of the Ministry of Finance, and Announcements [2018] No.158 and [2018] No.175 of the Ministry of Finance, the General Administration of Customs and the State Taxation Administration .
Ministry of Finance
General Administration of Customs
State Taxation Administration
June 29, 2020
