Shopping in Europe? Here's how to claim a VAT refund
From keeping your receipts to getting your paperwork stamped at customs, here's what travellers need to know about claiming VAT refunds on purchases in Europe.
When shopping in Europe, travellers may be entitled to claim a VAT refund on certain goods purchased overseas. VAT, or value-added tax, is a tax levied at the national level on consumer goods and services across various European Union countries. The tax rates and minimum thresholds for qualifying purchases differ by country, ranging from 8.1 per cent to 27 per cent with an average of 21.9 per cent. However, many countries require a minimum purchase value before a shopper can claim a refund.
To claim a VAT refund, travellers must keep their sales receipts and obtain a VAT refund form from the shopkeeper, which should display the transaction date. The refund is only available for personal purchases taken out of the European Union within three months of purchase, excluding big-ticket items such as cars and yachts. Upon departure, travellers should present their receipts and VAT refund form to customs agents for verification and approval.
While the process may vary slightly between countries, the general steps remain consistent. Travellers should ensure they have their passports with them, as retailers must verify citizenship. Depending on the destination, refunds may be given in cash or the currency of the country of departure, either by the customs office or through third-party services like Global Blue or Planet.
To streamline the process, travellers should pack their eligible purchases in their carry-on bags and allow extra time at airports or train stations to complete the paperwork.
Written by urgent.news from Channel News Asia's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.