Tourist Refund Scheme (for retailers)

Electronic Tourist Refund Scheme (eTRS)

Background on eTRS

eTRS, which connects multiple Central Refund Agencies and retailers on a single platform, offers tourists a seamless and hassle-free experience when they shop in Singapore and seek refunds for the GST paid before leaving Singapore.

Qualifying as Central Refund Agency or Retailer

To operate eTRS as a Central Refund Agency or Independent Retailer, businesses must:

1. Be GST-registered;
2. Have good tax compliance and payment records;
3. Have good internal records and have proper accounting and record-keeping;
4. Be processing at least 5,000 tourist refund claims per month on average over the last 12 months at the time of application;
5. Have the necessary system that can operate in the eTRS environment;
6. Engage the services of the Central Clearing House (CCH) and fulfil the related requirements;
7. Engage the services of the Central Refund Counter (CRC) and fulfil the related requirements; and
8. Undertake to comply with all conditions imposed by IRAS.

You can refer to the GST Guide on the Electronic Tourist Refund Scheme (Refund claims made on or after 4 Apr 2019) (PDF, 499KB) for more details, including the conditions that IRAS imposes.

Operating the Tourist Refund Scheme

Tourist Refund Scheme is a voluntary scheme. You may choose to operate the scheme under either of the two methods:

1. Operate the scheme on your own as an Independent Retailer; or
2. Engage the services of the Central Refund Agencies
   
   

Currently, there are 2 Central Refund Agencies in Singapore:

1. Global Blue Singapore Pte Ltd
   
   
   

   Retailers affiliated with this agency display "Global Blue" sign in their shops.
   Website: https://www.globalblue.com/

2. Global Tax Free Pte Ltd
   
   
   
   
   

   Retailers affiliated with this agency display "Global Tax Free" sign in their shops.
   Website: https://www.global-taxfree.com.sg/

Issuing eTRS transactions to tourists

1. Verify that the Tourist is Eligible
   
   When tourist requests for a GST refund on their purchases, you must check the passport of the tourist and their electronic Visit Pass (e-Visit Pass) issued by Immigration & Checkpoints Authority (ICA) to ensure that the tourist is eligible for GST refund under the Tourist Refund Scheme. A photocopy or an image of the passport is not acceptable.
   
   
2. Check Departure Method
   
   

   You should also check with the tourist to ensure that they are departing from Singapore by air within 2 months from the date of purchase.

3. Explain the Refund Claim Process
   
   If the tourist is eligible for the tourist refund, you should explain to the tourist the refund claim process under eTRS.
   
   You should explain to the tourist the procedures of obtaining a refund and the handling fee for the refund service imposed by you (if any).
   
   

4. You must issue an eTRS transaction to the tourist eligible for GST refund at the time of sale. The tourist can use their passport to apply for their refund claims at the self-help kiosk at the airport.

Ensuring customers qualify as tourists

To be eligible for GST refund, customers must be tourists. Tourists are those who meet the following criteria:

1. The customer is 16 years of age or above on the date of the purchase;
2. The customer is not a citizen or a permanent resident of Singapore;
3. The customer is not a member of the crew of an aircraft on which he is departing Singapore; and
4. The customer is not a Specified Person -
   i. on the date of the purchase;
   ii. at any time within the period of 3 months immediately before the date of purchase; and
   iii. on the date the customer submits their claim for a refund of the GST charged on their purchases at the airport;

Specified Person refers to

A. an individual who has in force -

Ensuring tourists are eligible for GST refund

Only tourists that satisfy all the following conditions are eligible:

1. Purchase the goods and request for an eTRS transaction from the retailer;
2. Spend at least SGD100 (including GST). Tourists may accumulate up to 3 same-day invoices/receipts from retailers bearing the same GST registration number and shop name to meet this minimum purchase amount;
3. Apply for GST refund using their passport at the eTRS self-help kiosk at the airports;
4. Depart with the goods within 2 months from the date of purchase via Changi International Airport Departure Hall or Seletar Airport Passenger Terminal;
5. Depart with the goods within 12 hours after obtaining approval of the GST refund; and
6. Claim the refund from the approved central refund counter operator within 2 months from the date of approval of the application.

Ensuring goods qualify for GST refund

All goods on which GST is charged ("standard-rated goods") are eligible for refund except :

1. Goods wholly or partly consumed in Singapore;
2. Goods exported for business or commercial purposes;
3. Goods that will be exported by freight; and
4. Accommodation in a hotel, hostel, boarding house, or similar establishments

Services are not eligible for GST refund under the Tourist Refund Scheme.

Availability of TRS at points of departure

TRS is available to tourists bringing purchases out of Singapore within two months from the date of purchase via:

1. Changi International Airport; and/or
2. Seletar Airport.

Claiming GST refunds under TRS

To claim, tourists should use the eTRS self-help kiosks at the airports. At the kiosk, they will be asked to:

1. Scan Their Passport
2. Make Declarations
   1. Declare their eligibility for TRS; and
   2. Indicate if the accept TRS conditions.

3. Verify Their Purchases

   Confirm the purchases which they are bringing out of Singapore, and are therefore eligible for claim.

4. Choose Their Refund Method

   Changi International Airport:

   1. credit card refund;
   2. Alipay refund; or
   3. cash refund.
   
   

   Seletar Airport:

   1. credit card refund; or
   2. Alipay refund.

5. Check Outcome Of Their Refund Request

   They will need to read carefully the outcome of their refund request shown on the kiosk.

   If physical inspection of their goods is required, they are to present to the Customs Inspection counter:

   1. their purchases/goods;
   2. original invoices/receipts; and
   3. boarding pass/confirmed air ticket.
      
      
6. Receive the Refund
   
   
   1. For credit card refund, the approved refund amount will be credited to the specified credit card within 10 days.
   2. For refund via Alipay, the refund will be paid immediately into the specified Alipay account.
   3. For cash refund at Changi International Airport, they are to proceed to the GST Cash Refund counter in the Departure Transit Lounge (after Departure Immigration) with their passport.

Enforcement on fraudulent TRS claims

The eTRS system allows IRAS to detect any unusual claim promptly.

Physical inspection of goods

As a control measure, physical inspection of the goods may be carried out by Singapore Customs officers before a GST refund claim is approved.

Enforcement powers

IRAS may exercise its enforcement powers to seize the goods and arrest the foreigners who attempt to fraudulently claim GST refunds.

IRAS works closely with Singapore Customs to uncover such criminal syndicates that attempt to defraud GST.

Strong enforcement measures, including prosecution, will be taken against such offenders. When convicted, offenders:

1. May be liable to pay a penalty of up to three times the amount of tax refunded; and
2. May be fined of up to $10,000 and/or jailed up to seven years.

See past prosecution cases where offenders were convicted for their offence.