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Hainan expands tax rebates to locals

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Hainan is set to expand its tax rebate program to domestic tourists. The southern tropical island inaugurated a tax rebate program for foreign tourists at the beginning of this year. For those considering a shopping spree in Hainan, here's a report you don't want to miss.

The process of the tax rebate is actually quite simple.

First, Chinese tourists should go shopping at the only authorized duty free shop in Sanya, Hainan Province.

Upon arriving, you will be required to show two documents.

Chen Zhifeng, Deputy Commissioner of Haikou Customs said "Tourists will be required to provide their identity card and detailed information of their departure flight."

The store will pack up the goods, and deliver them directly to the airport.

Then, tourists can pick up their goods at Sanya airport upon their return home.

In order to avoid the misuse of the tax rebate policy, local customs officials will supervise the whole process from purchase to delivery.

Li Lanxue, Commissioner of Haikou Customs said "Through this system connecting the duty free store and the airport, we can share information on the purchase. Our management and supervision will be more effective by using this system."

The Hainan provincial government is holding a press conference Thursday to illustrate the tax rebate policy. Hainan is expected to start a trial run of the expanded program on May 1st.

Hainan adopted a tax rebate policy for foreign tourists on January 1st this year. Since foreign tourists account for less than 3 percent of visitors to Hainan, the policy failed to produce the desired effects. Local government are hoping the expanded policy will attract more Chinese visitors to the province.

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