TOKYO -- Cosmetics are propelling a rebound in sales of tax-free goods at Japanese department stores, many of which see foreign visitors regaining the urge to spend.
Nearly half, or 48%, of department stores surveyed by The Nikkei expect tax-free sales to grow in fiscal 2017, compared to just 3.9% that are forecasting declines. Tax-free sales slowed in fiscal 2016 as tourist spending shifted from luxury goods to cheaper consumables and headline-making shopping sprees by Chinese visitors waned.
