Starting November 1, the procedure for consumption tax exemption for foreign tourists and others will change from the current method of purchasing items duty-free at the point of sale to a refund system where taxes are reimbursed later.

Until now, Japanese customs verified purchase information after security screening upon departure.

Under the new system, foreign travelers will first purchase goods at the tax-inclusive price, after which customs will inspect the purchased items before security screening, with refunds issued to a pre-registered credit card or other designated payment methods.

Foreign travelers will use kiosks at airports, their smartphones or a dedicated Wi-Fi network for the procedure.

Tokyo Customs and other authorities say the new system will help prevent fraudulent practices such as unauthorized resale of purchased goods and reduce the burden on duty-free retailers.