When traveling abroad there is that small thrill felt when passing by the duty-free store tucked into various international airports selling all manner of goods including perfumes, alcohol, and chocolates for purchase sans sales tax. With the every day reality of paying taxes, the moment a consumer can free themselves from it, the more attractive the shopping item becomes. Beyond the already tax-free shops, when traveling into the European Union (EU) from a non-EU country, tax-free shopping as a non-EU resident is possible by reclaiming taxes on a number of retail goods.
Tax-free shopping allows customer to bypass any retail taxes including sales, consumption, or value added tax (VAT). EU shoppers contend with the latter value added tax that acts as a sales tax on all goods and varies by country in its value.
Paying tax (EU-VAT) on all goods purchased when abroad in the EU is mandatory, but non-EU residents by law are allowed to instigate the refund process on return to their native countries. The amount of EU-VAT will vary from country to country much like the variety found state-by-state in America.
To utilize this refund system, initial payment of the sales tax (EU-VAT) is required and the amount will vary from country. Fortunately, and by law, non-EU resident shoppers can claim refund on all EU-VAT amounts.
Getting a refund on VAT for something as small as a pack of gum isn’t going to happen, there are minimum purchase requirements that must be adhered to, as well as different refund percentages for each EU nation.
Goods exempt from VAT, in general, are childrens clothing and books. Full VAT-refunds can be had, but countries vary on the percentages that are able to be claimed, as well as having minimum purchase requirements on goods purchased.
For example, Premier Tax Free has relationships with over 70,000 worldwide retailers. Choose which company you want to handle your refund wisely and you can make tax free shopping for non-EU residents an easy transaction.
Learn all you want to know about tax free shopping by checking it out now. Take advantage of the chance to save money by enjoying some tax free shopping. Jump online and learn all you want to know.