FlyerTalk Forums - View Single Post - Revamp of tax free shopping for tourists.
Old May 27, 2023 | 4:34 am
  #31  
nacho
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Originally Posted by lsquare
Is a tax-free iPhone the cheapest in the world? Does the Japanese variant have different specs from the US-version? HK doesn't have a sales tax either. Some US states don't have sales tax too.
Once again, sales tax doesn't always determine prices. Price determines by supply and demand, the case of the US is a bit strange with the variation of sales tax based on state. There are a handful of states that has no sales tax. TX and LA have sales tax refund (minus a fee) for tourists if they shop in a certain place - TX has a minimum and where to shop and LA has a list of shop and a much lower minimum.

Iphone has less difference in bands compared to Android phones. US 5G phones don't have 5G bands in Europe.

Hong Kong is damn expensive now, whether it is tax free or not. The price levels of food and transport and hotel are similar to Canada or even Scandinavia.

Originally Posted by Q Shoe Guy
For lack of a better word , there are "gangs" that "hire" tourists to shop duty free for them. The gangs park their vans on the street and work the buyers by what's app /line/telegram or similar. Many of the things bought are put online to be sold immediately either within Japan or outside. There are shops located around that specialize in the resale of these goods. They government will keep on milking the tourist trade for as long as they are able , what with the low JPY vis a vis many currencies among other factors. At the beginning of the pandemic there were news reports of these gangs/groups catering their out cargo flights out of NRT. Anyway you look at it , 14 billion JPY fine for Apple is just the tip of the iceberg.
It's not just tax free, it's everything the Chinese need.

Have you been to KS or Coach in outlet villages in California or even Canada? There are Chinese shoppers takeover a corner of the cashier to put their purchases there. My friend said some even has a corner to go life selling bags.

I have seen baby formula being bought by Chinese in Sweden and Germany.
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