- The Korean government plans to end VAT refunds for foreign patients receiving cosmetic surgery by December 31, 2025.
- This decision is part of the 2025 tax reform plan announced by the Ministry of Economy and Finance.
- The VAT refund was introduced in April 2016 to boost medical tourism and attract foreign spending.
- The government cites steady growth in medical tourism as a reason for ending the refund program.
- The final decision will be discussed in the National Assembly’s autumn session, but termination is expected by January 1, 2026.
- Industry experts are concerned about potential economic losses and reduced global competitiveness.
- Some believe Korea’s expertise in cosmetic procedures may mitigate immediate impacts.
- Others worry about increased costs for foreign patients, leading them to seek cheaper alternatives.
- The decision could affect clinics focused on cosmetic surgery and those offering health checkup packages.
- There are concerns about increased price competition and the sustainability of the medical tourism sector.
Source: koreabiomed.com
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
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