Yes, non-EU resident tourists can get a tax refund (VAT) on goods purchased in Europe and taken home, usually saving 10–25%. To qualify, you must be a non-EU resident, spend over a minimum amount, and export the items within three months. You must request a tax-free form at the shop, then get it stamped at customs when leaving the EU.
Every year, tourists visiting Europe leave behind millions of dollars of refundable sales taxes. Although you aren't entitled to refunds on the tax you spend on hotels and meals, you can get back most of the tax you pay on merchandise.
Depending on the destination's tax rate, a VAT refund can translate to 10-25% savings off the initial price. For example, in Europe the standard VAT averages around 20% in most countries. So tax free shopping returns about a fifth of what you first paid.
Some countries won't refund after the fact, so check with the Foreign Embassies & Consulates office of the country you visited. Also. the United States does not participate in the VAT tax refund, and U.S. Customs and Border Protection officers are not mandated to stamp VAT tax forms.
Tax-free shopping is currently available in the following countries: Argentina, Armenia, Australia, Austria, Azerbaijan, Belgium, Bulgaria, China, Colombia, Croatia, Cyprus, Czech Republic, Denmark, Estonia, Finland, France, Germany, Guernsey, Greece, Hungary, Iceland, Indonesia, Ireland, Israel, Italy, Japan, Korea, ...
When compared to the standard VAT rates of other countries within Europe, the countries where you pay the lowest VAT rates are Switzerland, Luxembourg and Turkey. For this reason, the VAT rate for your purchases from these countries will be low. This will mean a reduction in the VAT fees you receive back.
VAT rates vary by EU country, typically set above a minimum of 15%, and can include reduced rates for certain goods and services. Implications for U.S. Consumers and Businesses: American travelers pay VAT included in listed prices in Europe but can reclaim it on certain purchases when leaving the EU.
VAT refunds let tourists get back Value Added Tax paid on goods they buy in countries like the EU, requiring forms from stores, proof of export (customs stamp at the airport before checking bags), and claiming the refund at airport desks, usually for unused items taken home, though the US doesn't offer this. The process involves getting an exemption form, keeping goods unused with tags on, getting customs to validate forms (often pre-security), and then processing the refund with operators like Global Blue, allowing for cash or credit card returns minus fees.
No refund is possible without a (digital) customs stamp. If you are leaving the EU via Vienna International Airport you will be issued with a digital customs stamp. After deduction of a handling fee by the tax-free provider, the refund amounts to up to 15% of the purchase price.
How to get a VAT refund in Italy. At the store, request an invoice from the merchant that includes details such as the quantity of the goods, total price, taxable amount, and VAT applied. Before departing Italy, visit the VAT refund counters at the airport with your invoice to process an immediate cash refund.
As of 1 February 2024, the Tax Free Shopping minimum spend in Italy has been lowered from €154,99 to just €70. Shop your favourite brands now for even less!
To get a 20% VAT refund in France as a non-EU resident, you must spend over €100 (incl. VAT) in one store on the same day, get a tax-free form (détaxe) from the retailer, have it stamped by French Customs (via PABLO kiosks or at the office) before leaving the EU, and present the goods and form at departure to receive your refund (cash or card/transfer) after validation within 3 months.
France: 20% Italy: 22% Spain: 21% Luxembourg: 17% (the lowest in the EU)
The VAT can be refunded if the merchandise is purchased and exported by a customer whose residence is outside the European Union. Please note that in order to qualify for tax-refund the merchandise has to be exported within three months of purchase. The VAT refund is voluntary and can be refused.
The United States Government does not refund sales tax to foreign visitors. The foreign country in which you paid the Value Added Tax (VAT) is responsible for refunding the tax. Some countries won't refund after the fact, so check with the Foreign Embassies & Consulates office of the country you visited. Also.
AT THE CUSTOMS AND VAT REFUND OFFICES Present the Tax Free for which you want to be refunded, the passport, the flight booking or boarding card and goods purchased and follow the procedure described on the next page.
Stamped by Customs must show all goods purchased if ≥ 5,000/person on departure date.
For instance, you can expect a higher VAT refund in Hungary because the country currently has the highest VAT rate in Europe with a standard rate of 27%4. Conversely, Luxembourg has the lowest standard VAT rate, which is at 17%5. So, you might see a smaller VAT refund percentage in Luxembourg.
You cannot reclaim VAT for: anything that's only for personal use. goods and services your business uses to make VAT -exempt supplies. the cost of entertaining or providing hospitality to people you do business with (for example theatre or sports tickets)
Purchases in the checked-in baggage
Key Takeaways: Many taxes aren't imposed on items sold at duty-free stores, sometimes resulting in lower prices for consumers. Duty-free shops may offer better bargains when tariffs rise. Compare the cost of items that you can purchase at home or where you're traveling before buying from duty-free stores.
There are also a number of goods and services that are not eligible for refunds, including hotel rooms and meals. It's also important to confirm the store you're patronizing participates in a VAT refund program.
A VAT refund lets VAT-registered UK businesses reclaim VAT paid on eligible business expenses, usually at the standard 20% rate. You must be VAT registered (or eligible under the overseas VAT Refund Scheme) and have valid VAT invoices to make a successful claim.
Who is entitled to a refund? All tourists who are resident or domiciled outside the E.U. and make a purchase of at least € 70,01 in one day in a store which is part of the Tax Refund network.