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The Ultimate Guide to Korean Tax Refunds (2025 Rules)

· 3 min read
Kai Miller
Kai Miller
Cultural Explorer & Photographer

South Korea wants you to shop. To encourage this, they have one of the most generous and easy Tax Refund systems in the world. The VAT (Value Added Tax) in Korea is 10%. After service fees, you typically get back about 6-7% of your purchase price. That might not sound like much, but if you buy a new pair of sneakers or stock up on skincare, it covers the cost of your dinner.

Here is how to get your money back without a headache.

The Ultimate Guide to Korean Tax Refunds (2025 Rules)

The Golden Rule: Bring Your Passport​

You cannot get a tax refund with a photocopy or a photo on your phone. You need your actual, physical passport. Carry it with you whenever you go shopping.

Method 1: Immediate Tax Refund (The Best Way)​

This is the "Zero Effort" method. You don't need to go to the airport. You pay the discounted price right at the register.

  • Where: Olive Young, Uniqlo, Nike, Adidas, ABC Mart, and major Department Stores (Lotte, Shinsegae, Hyundai).
  • How:
    1. Pick your items.
    2. Show your passport to the cashier before paying.
    3. The machine automatically deducts the tax. You pay the lower price.
  • 2025 Limits (Important Update):
    • Minimum Spend: 15,000 KRW (lowered from 30,000 KRW).
    • Maximum Immediate Refund: 1,000,000 KRW per transaction.
    • Total Trip Limit: 5,000,000 KRW.

Agent Tip: If you are buying 20,000 KRW worth of face masks at Olive Young, show your passport. You save 1,500 KRW instantly. It adds up!

Method 2: Airport Tax Refund (The "Receipt" Way)​

Smaller boutiques or souvenir shops might not have the "Immediate Refund" machines. Instead, they will give you a Tax Refund Receipt (it looks different from a normal receipt and usually has a QR code).

You must claim this at the airport.

Step 1: Scan Before Check-in (Landside)​

  • Go to the "Tax Refund Kiosk" near the airline check-in counters.
  • Scan your passport.
  • Scan the QR code on your receipts.

Step 2: The Customs Check (Only for Big Spenders)​

  • If your total refund is under 75,000 KRW: You don't need to see customs. Go straight to security.
  • If your refund is OVER 75,000 KRW (Purchase ~1 Million KRW): You MUST go to the Customs Declaration counter. Do not check your luggage yet! The officer needs to see the goods.

Step 3: Get Your Cash (Airside)​

  • After you pass immigration/security, go to the Refund Gate (Usually Gate 28 only in Terminal 1, or Gate 253 in Terminal 2).
  • Scan your passport again at the counter/kiosk.
  • Dispense CASH. You can choose KRW, USD, or JPY.

FAQ: Common Confusions​

Duty Free vs. Tax Free: What's the difference?​

  • Tax Free (Tax Refund): You buy regular goods (clothes, snacks) including tax, and get the tax back later. You can open and use the goods immediately in Korea (unless checking them at customs).
  • Duty Free: Shops like "Lotte Duty Free" or "Shilla Duty Free" (often in airports or downtown towers). You pay no tax at all. You cannot take the goods with you; you must pick them up at the airport gate when you fly out.

Can I get a refund for food?​

  • Packaged food (Market O Brownies, Seaweed): Yes!
  • Restaurant Meals: No. Services are not eligible.

I forgot to scan my receipts. Can I do it from home?​

  • No. Once you leave Korea, the money is gone.

Ready to spend that refunded cash? Check our Currency Exchange Guide to see where to get the best rates.