Most Popular
-
1
Yoon sorry for shortcomings but insists policies were right
-
2
1 in 3 Koreans live alone, family types becoming diverse
-
3
S. Korea ‘strongly’ protests Japan’s claim over Dokdo in diplomatic bluebook
-
4
US 'incredibly concerned' about suspected NK-Iran military ties
-
5
Korean won weakens amid heightened uncertainty
-
6
Korea, Japan finance chiefs vow to tame rampant FX market volatility
-
7
Seoul says will cut power to porn festival planned on Han River
-
8
Sewol victims commemorated on tragedy's 10th anniversary
-
9
K-pop group's manager dismissed for setting up spycam in theater dressing room
-
10
Chanel, Louis Vuitton see muted growth in Korea
South Korea’s Finance Ministry will no longer limit duty-free item purchases to $5,000 for outbound Korean nationals starting Friday, it said Thursday.
But a government cap on how much is exempt from tax remains unchanged. Duties are exempt for purchases up to $600 of goods, one bottle of liquor worth up to $400, 200 cigarettes, and up to 60 milliliters of perfume.
The Finance Ministry explained that the tax exemption limit in other countries are also around $500 and $600 and there was no need to increase the limit.
The abolition of the duty-free purchase limit for shoppers traveling abroad comes 43 years after the measure was first implemented.
The government had continuously increased the cap since 1985 from $500 to $1,000, in 1995 to $2,000, in 2006 to $3,000, and in 2019 to $5,000.
The decision to scrap the duty-free purchase limit is part of the government’s effort to help the duty-free industry recover from the COVID-19 fallout by increasing domestic consumption.
But a government cap on how much is exempt from tax remains unchanged. Duties are exempt for purchases up to $600 of goods, one bottle of liquor worth up to $400, 200 cigarettes, and up to 60 milliliters of perfume.
The Finance Ministry explained that the tax exemption limit in other countries are also around $500 and $600 and there was no need to increase the limit.
The abolition of the duty-free purchase limit for shoppers traveling abroad comes 43 years after the measure was first implemented.
The government had continuously increased the cap since 1985 from $500 to $1,000, in 1995 to $2,000, in 2006 to $3,000, and in 2019 to $5,000.
The decision to scrap the duty-free purchase limit is part of the government’s effort to help the duty-free industry recover from the COVID-19 fallout by increasing domestic consumption.
![[Today’s K-pop] BTS pop-up event to come to Seoul](http://res.heraldm.com/phpwas/restmb_idxmake.php?idx=642&simg=/content/image/2024/04/17/20240417050734_0.jpg&u=)