Short description tax free process: when making a purchase in a store abroad, a tourist receives a special check, which must be stamped with a special stamp when leaving the country (at customs) (it confirms that the goods have been exported). After this, the buyer has the right to return VAT. You can receive money immediately after clearing customs or upon arriving home. The tax-free system operates in Europe and in about 20 countries beyond its borders. The procedure for returning tax free is approximately the same, but the restrictions on the minimum value of the purchased item and the validity period of the check are different in each country.
Tax free process diagram
Tax free systems
All work on VAT refunds is entrusted to private tax-free systems, which are intermediaries between tourists and the state. Each of them includes a network of partner stores and a number of offices for refunds. As a reward, the system retains a small commission. Basic systems:
Attention! If the product was purchased in an EU country, then you need to stamp the tax free check not when leaving the country where the product was purchased, but only when you leave the EU itself (Switzerland, Liechtenstein and Norway are not included in it). Additional hassle may arise if you are leaving the EU through a transit stop (more on this at the end of the article). EU members are Austria, Belgium, Bulgaria, Cyprus, Czech Republic, Denmark, Finland, France, Germany, Greece, Hungary, Ireland, Italy, Latvia, Lithuania, Estonia, Luxembourg, Malta, the Netherlands, Poland, Portugal, Romania, Slovakia, Slovenia , Spain, Croatia, Sweden and Great Britain.
Refund amount
It should be noted that a tax free refund does not mean that you will receive the full amount of VAT paid. Part of the money will go towards administrative costs and commission to the intermediary (each country has its own rules). If you receive from a bank, you will have to pay for acceptance of the check for collection and interest for cash withdrawal. In some rare cases, the cost can reach half the refund amount. The Global Blue website has a convenient calculator for more or less accurate calculations.
Ways to return tax free (check cashing):
- at the airport - the fastest option to get your money back;
- by mail - you need to send a tax-free check to the tax-free system office. The money will go to your card or bank account. Takes quite a long time (2 – 4 months);
- at any tax-free point - it sounds like an option with a wide choice, but in practice it all comes down to receiving a refund in the city of residence. Available to residents only major cities.
Return (receipt) of tax free at the airport
Main mistake when receiving tax free at the airport, check in the purchased item as luggage when checking in for your flight, because you will need to demonstrate the purchase at customs. Sometimes a special tag may be attached to such luggage, but they are required to return it to you.
Try to simplify your life before arriving at the airport by:
- find out where exactly in the departure area there is a customs window where tax-free checks are stamped, and where money is then issued (in the general area of the airport or in the neutral zone after passport control). Usually the queues at these points are such that you won’t even dare to get up. In addition, not all points are open 24 hours a day. The locations of points with operating schedules are on the website global-blue.com;
- Do not cut off tags and labels from purchases. At the same time, pack your suitcase so that your purchases can be easily presented if asked by a customs officer. It’s best to carry your purchases separately - as hand luggage;
- be sure to fill out the tax free receipts (if the seller in the store has not done so) and keep the latter along with the cash receipts, passport and tickets.
When you arrive at the airport, be the first person in line to clear customs. At the control it will be necessary to present a tax free receipt, cash receipt, passport and goods. If your purchases do not fit into your hand luggage, you will have to go through customs before checking in for your flight and checking your suitcases into your luggage. Therefore, spending time and money on pre-packing suitcases in this situation does not make sense.
All you have to do is get the money and go through passport control. It is in this sequence, because in some countries VAT refund points are located in the common room. You may be left without money if you remember about it after going through passport control, because you will not be allowed to go back to the common room. In countries where these points are beyond passport control, you will receive money upon boarding the plane.
Receiving the money
After receiving the customs stamp, go to the tax free return office (it can be called differently; sometimes this role is played by one of the Duty Free store cash desks). To avoid paying a currency conversion fee (sometimes up to 5%), you must take a refund in local currency. Advice: if the money return point is located in front of passport control, then you should get in line before going through customs.
Having finished with tax free, go through passport control. By the way, if there are less than 10 minutes left before it ends, you can go to the counter without queuing, or use the check-in window for late passengers and check your luggage at the Drop Off counter.
If you don’t have time to get money at the airport and you know for sure that there is no tax-free issuing point in the city of your residence, then the only option is mail.
Tax free return by mail (to a bank card)
To receive a tax free refund on a credit/debit card, its details must be indicated in the tax free receipt stamped by customs. You must place it in a special envelope and in a special tax-free mailbox at the airport. The envelope can be obtained in advance at the purchase store or already on site (at the tax-free system office at the airport). Of course, it is acceptable to use a standard envelope and a regular mailbox, but then you will need Postage Stamp and recipient's address. And if you are sending a letter from your country of residence (or any other), then an international stamp is required.
Tax free returns by mail are not only the longest (2-4 months), but also the most unreliable. Use it only if you don’t have time to process a refund at the airport and you know what’s in your hometown There are no tax-free offices. Be sure to scan or photograph your receipts before sending them - in case of problems, they will become the only, strong evidence of your right to a tax refund.
Tax free return by mail (to bank account)
This method repeats the previous one, with the only difference that if the card account details are not filled out in the tax-free check sent by mail, then specified address the tourist will receive an international bank check marked “to the recipient’s account.” Such a bank check can only be cashed at the bank where you have a current account. The check has no statute of limitations, but each bank decides to accept it or refuse it individually.
Refund of tax free upon transit departure
When traveling around Europe, it is necessary to put a customs stamp on tax free checks last country European Union (Switzerland, Liechtenstein and Norway are not members of the EU). But what if the last country is only a transit stop for you? In this case, there may simply not be enough time for the tax-free procedure. Yes, and there may not be a customs point in the transit zone. In addition, the luggage is sent directly to its destination, which makes it impossible to demonstrate it. Therefore, be sure to issue a tax free refund at the airport of your first departure. Show your ticket and say that you have little time for a transfer.
Tax free refund at the point of issue in any country
To receive a refund, you must have a tax-free receipt, a cashier's receipt, foreign and internal passports (for CIS countries). Funds are paid exclusively in national currency (the exchange rate is usually not favorable).
Refund of tax free when leaving the country by car, train, ship
The easiest way is to put a customs stamp on tax-free receipts for motorists. This is the only way when it is difficult to be late. When leaving the country by train/ship, receive customs stamp You can do this at the point of departure (station/port) or directly at the border crossing. The disadvantage of the first method is that your luggage will travel separately from you. The second method is not particularly reliable, since when crossing the border, customs officers may simply not have time for you. Be sure to find out in advance whether there will be customs officers on the train or ship, and whether you can get a stamp on your tax-free receipt.
Subtleties of tax free returns in different countries
- If you forgot to put a customs stamp on your tax free receipt, you can do this upon arrival home at the embassy/consulate of the country in which the purchase was made. This service is not cheap (minimum 20 euros);
- for checks issued in Poland, money is returned only in cash;
- when leaving Slovenia, you need to put two official stamps: the first - on the tax free form, the second - on the check;
- In Iceland, a stamp is not required to receive a tax refund on wool purchases;
- in Israel, VAT refunds are carried out according to the tax (VAT) scheme, which has its own characteristics;
- Croatia, Finland, Sweden, Norway and Denmark have their own national stamps. This means that checks from these countries to other European countries may not be accepted. This is especially true for Croatia and Norway, since they are not members of the EU. Therefore, if you have a direct flight to your home country, you need to get tax free immediately at the airport. If you are flying or passing through other countries, you can only process a refund at home;
- In Norway, the stamp must be placed not at customs, but at the tax-free office. This is the only country that allows refunds for food items (over 285 CZK), but like all other purchases, they must be presented at customs and therefore cannot be consumed before departure;
- In the USA, it is impossible to obtain a tax free service, since there is no value added tax in this country. However, non-residents can get an 11% discount at large department stores. To do this, you need to find a Customer Service employee and show him your passport, after which you will be given a special card, which you will need to present at the checkout;
- At German airports they require you to first register and then go to the customs officers. In this case, when registering, you need to say that you will be using tax free: your luggage will be checked in and returned to you. After issuing the checks, you will need to hand them over at another place (customs officers will explain where).
- In Holland, you can return VAT by making a purchase in any store, even one not included in the tax free shopping system, but to do this you need to return to the country. Conditions: if you buy goods worth more than 300 guilders, then put a customs stamp on a regular cash receipt. When you come to Holland again, go to the store where you made the purchase. There you will be able to receive the entire VAT amount without deducting commissions. For comparison: with a tax free check when leaving Holland, you will be refunded only 10% of the cost of the goods, and in the store - all 17%.
Useful resources for tourists
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aviasales.ru and skyscanner.ru are airline ticket search engines that free you from the need to view the website of each airline separately
tripadvisor.ru - resource with the largest number useful and relevant reviews about tourist sites
booking.com - the world leader in hotel booking, is distinguished by high quality services, transparent prices and prompt support service
Comparison of prices for tourist tours
Tax Free is a value added tax refund system. VAT is refunded on purchases made foreign citizens when crossing back the border of the country in which they were purchased.
There is one subtlety here: if you want to return VAT on purchases, you must permanently reside outside the country where the tax free tax was issued. In the case of Europe, you must reside in a non-EU country. If you have a residence permit, work permit or any other permit to stay in one of the EU countries for 6 months or more, then unfortunately you cannot make a tax refund. Long-term tourist visas are not subject to this restriction.
Thanks to Tax Free, you have the opportunity to return from 7 to 23% of the product amount, depending on the amount of VAT in the country where you made the purchase. Each country has different VAT (or VAT) rates, for example:
- Czech Republic – 20%
- Finland – 23%
- France – 19.6%
- Italy – 21%
Unfortunately, this does not mean that with VAT at 20%, if you buy goods worth €100, you will get €20 back. You must understand that VAT is a tax that is added to the price of a product, and €100 is the price already including VAT, in other words, €100 is 120% of the price of the product.
So how to calculate Tax Free?
Everything is very simple, divide the amount of the goods by 120 and multiply by the amount of VAT. Let's calculate, for example, VAT on purchases worth € 100 in the Czech Republic, where value added tax is 20%:
(100/120) * 20 = 16.66 euros.
In Finland, VAT is 23% and the calculation would be as follows:
(100/123)* 23 = 18.69 euros.
But this is not the final amount. Tax Free refunds are made through intermediaries, the most famous of them being Global Blue. They do not work for free, and they take a commission from each return, its size depends on the amount of purchases and the country.
For example, if you spent £195 in the UK, the VAT would be:
195/120*20= 32.5 lbs
In this case, Global Blue will take a commission of 5% of the purchase amount (not the price of the product without VAT, but the price you paid), i.e. from £195. IN in this case the commission will be 9.75 pounds.
Due to rounding, which is always done against the client, you will receive only 21.5 pounds, i.e. approximately 11% of the cost of the goods.
As a rule, than more amount purchases, the lower the commission percentage. If you shopped for £50, the commission would be 10% of the item's price.
You can calculate the exact cost of Tax Free, with all commissions, on the Global Blue website.
How to apply for Tax Free?
Registration of tax free can be divided into three simple steps:
Step 1: Issue a receipt or tax free check
When shopping in stores, ask the seller to issue a Tax Free receipt. To register it, it is advisable to take your passport with you. If it is not available at the time of registration, then do not forget to enter all the data yourself.
Not all stores agree to issue a Tax Free receipt without the buyer’s passport.
How to fill out a tax free check?
The form must be filled out in capital Latin letters. Make sure that the fields with your passport number, first and last name (as in the international passport), address, email are filled in. by mail and signature. Please note that a receipt for the full amount of the purchase must be attached to the form.
Not all stores offer VAT refunds. Pay attention to the special Tax Free emblem or check with sellers. There is one more point that is worth paying attention to, you can only return taxes if the amount of purchases exceeds a certain limit, i.e. the minimum amount with which you can return tax free. In Finland it is 40 euros, in the UK 30 pounds, in Italy 154.94 euros, etc.
At the same time, you must make purchases in one store within 1 day. For example, you made purchases in Italy at H&M for 160 euros and at Zara for 140 euros. You can only return Tax Free from purchases at H&M, because... 160 euros is over the established limit of 154.94 euros. Therefore, if you see that you are a little short, then buy something else.
Please note that VAT on food products is much lower, usually 4-5%. Depending on the country, a reduced VAT rate may also apply to books, children's shoes, clothing for babies, etc.
In some countries, VAT on food, tobacco and books is not refundable.
Tax Free for food and non-food products is calculated separately. So, if you lack 10-15 euros, use them not to buy food, but to buy any non-food products (equipment, clothing, accessories, etc.).
It is most convenient to shop at large department stores, such as Printemps, Galerie Lafayette in Paris, Harrods and Selfridges in London, etc. In such stores, the VAT amount will be calculated for all purchases in the department store, and not for specific departments and shops. But just in case, before making an expensive purchase, ask the sellers about tax free. For example, at Printemps department store, you can get a tax refund on purchases in all departments except Louis Vuitton.
In rare cases, store employees issue not a check from one of the tax free return companies, but an invoice. It also needs to be stamped at customs, but you can only receive the money in the store where you made the purchase (in person or by mail). A big plus this method is that you will be able to return all VAT without commission from third-party companies.
Step 2: Get a customs stamp
When you leave the country, take your purchases, receipts and passport to the customs counter, where the receipt will be stamped. If you continue to travel around Europe, The stamp must be affixed in the last country of residence in the EU.
If you are leaving the country by plane, then arrive at the airport in advance, because... There may be queues at customs (preferably 1 hour before registration starts). Also keep in mind that customs does not work 24 hours a day, and if you have a late flight, there is a chance that the stamp will not be stamped and, therefore, your money will not be returned. In this case, you need to arrive at the airport in advance, before customs closes (usually before 21:00, but at some airports earlier).
The customs officer may ask you to present the purchased items. They should be unworn (not used) and with store tags, do not tear them off and the price tags until you get a stamp at customs. Do not pack purchased items deep into your suitcase; fold them separately so that you can quickly present them for inspection.
Step 3: Cash your Tax Free receipt
You can cash a receipt only if it has a customs stamp on it. You can receive money in cash or bank card.
What to do if you did not get a stamp at customs?
You must place the stamp, as a rule, within 3 months from the date of purchase (not counting the month of purchase). Theoretically, you can bring it on your next trip, but remember that the customs officer may ask you to present the items and, as we wrote above, they must be unworn (not used) and with store tags.
Where can I get money?
There are several options:
1. At the Tax Free cash Refund point. You must present your receipt and passport. As a rule, the points are located at the airport, but sometimes in the center of large cities. Full list VAT refund points are available on the website of the company through which the tax free is issued.
If you decide to return your money to Tax Free cash Refund in the city center, the return procedure will be slightly different. At the office they will return your money (cash or card) and give you a check. Upon arrival at the airport, you must receive a boarding pass (check in for the flight) and, without checking in your luggage (they will put a special tag on it), go to the customs service, where you will be stamped and your items will be inspected. Place the stamped check in a special box; if you do not do this, the money received will be debited from your card (it will be scanned in the office).
2. Seal the receipt in an envelope and place it in a special Tax Free box at the airport. The envelope is attached to the tax free receipt (if it is not there, then a customs officer or an information sign near the box will tell you how to make an envelope from the receipt). Do not forget to enter your card details in the form, because... the money will come to her.
Please note the currency conversion amount. In accordance with the VAT refund rules: for non-cash refunds in a currency other than the currency in which the Tax Free check was issued, the European Commercial Bank “sale” rate is applied, plus a currency conversion fee of 3-5%.
Cash will be converted into local currency or the currency in which the account is maintained credit card.
3. At a Tax Free office in Russia or at one of the authorized banks. At the office you can cash only “Global Blue” checks, and at the bank, checks from almost all popular tax free companies: Global Blue, Premier Tax Free, Tax Free Worldwide, Innova tax free, Euro Free Shopping, etc. Full list of partner banks , you can find it on the website of the company that applied for tax free.
To receive a tax refund, you must present 2 passports (regular and foreign) and receipts stamped by the customs office of the country where the purchase was made or any of the EU countries (if purchases were made within the European Union). The money will be returned in cash in rubles at the Central Bank exchange rate on the day the check was paid, minus the processing fee for each receipt. Typically around 2.5 euros per receipt.
You can return the money only within a certain time, which depends on the country and the intermediary company. For example, Global Blue and Tax Free Worldwide checks issued in Germany are valid for 4 years, and Premier Tax Free checks are valid for 3 years. The most inconvenient in this regard are checks from the Italian company New Tax Free; they are valid for payment for only 60 days.
On New Year traveled to the Czech Republic. I bought some things using a card. The things I bought with a card were not refunded tax-free at the airport. They asked you to fill out a form and put it in the mailbox, supposedly in a month they would transfer tax-free to your card. Tax-free refund was made
Tax free refund in Russia
Gentlemen, is it possible to return tax free for purchases made in France or Russia? We flew from Frankfurt and instead of the promised 500 euros we received only 45 (((They refused to reimburse us for the rest (even though they put all the stamps), because there were no corresponding representative offices at the airport.
Questions and answers about Tax Free Shopping
IN Lately in real life and on LiveJournal, many people asked me questions about Tax Free. After answering them a dozen times orally and in writing, I decided to summarize and write down my answers. I'm posting it in case someone finds it useful. :) QUESTIONS AND ANSWERS ABOUT TAX FREE QUESTION: Who can make Tax Free purchases? ANSWER:
The nuances of obtaining Tax Free
Dear everyone, I really need advice. Through friends I am now buying an expensive camera in Austria. The subtlety that raises concerns is the following: the camera was made to order, it arrived just ahead of schedule. Now it needs to be redeemed. It's ready for me
Tourists traveling around Europe often see blue and white Tax Free stickers or Global Blue logo stickers in European store windows. If you make a literal translation, it will look like “no fees.”
It turns out that you can save money by shopping abroad? Tax Free or tax free is a system by which you can receive a refund of value added tax (VAT). The amount of VAT is refunded on purchases made by foreign citizens when, on their way back, they cross the borders of the country in which they shopped.
Purchase of almost all goods: clothing, cosmetics, alcohol, food, shoes, household appliances, building materials, jewelry, etc. In tax free stores, tourists can save up to 20% of the purchase amount.
To use this system, you need to know how to apply for tax free. Light will be shed on the features and nuances of the system in this article.
What is the Tax Free system and who can use it?
The Tax Free system allows foreign guests of EU countries to return part of the cost of goods withdrawn during purchase in the form of value added tax. Receiving tax free occurs when leaving the country where the goods were purchased.
Each individual country independently determines the conditions, volumes and terms of compensation and for what goods it is expected. To return tax free, you need to pay attention to the amount of the purchased product. In different European countries its size is set separately.
You need to spend the following amount to get your tax refund:
- Germany - 25 euros;
- France – 175.01 euros;
- Denmark – 300 kroons;
- Poland – 200 zlotys;
- Netherlands – 50 euros;
- Austria - 75.01 euros;
- Spain – 90.16 euros;
- Lithuania – 55 euros;
- Latvia - 44 euros;
- Belgium - 125.01 euros;
- Switzerland - 300 francs;
- Czech Republic - 2001 CZK;
- Finland - 40 euros;
- Hungary - 54,001 forints;
- Cyprus - 50 euros;
- Estonia - 38.01 euros;
- Croatia - 740 kn;
- Italy - 154.94 euros;
- UK - 30 pounds;
- Greece - 120 euros;
- Portugal - 61.35 euros;
- Ireland - 30 euros;
- Iceland - 6000 crowns;
- Norway - 290 kroons;
- Slovakia - 175 euros;
- Slovenia - 50.01 euros;
- Sweden - 200 CZK.
Due to the specifics of the store, this amount can be set uniformly for all purchases in the store or for a specific department, for example, for the household appliances department. It also happens that stores try in every possible way to avoid Tax-Free and in return can offer the buyer an additional discount. In some cases, it is advisable to take advantage of the discount immediately rather than issue a VAT refund.
Inexperienced travelers often make the same mistake. Tax free checks are not cumulative in different stores and different days trips. To apply for a VAT refund, you must make purchases for a minimum amount in one store within one day.
What are the rules for shopping in Tax Free stores?
Tourists trying to get tax free for the first time have many questions during the shopping process. In practice, the VAT refund procedure is very simple. When making purchases in Tax Free stores, a foreigner receives a special receipt, on which a special stamp will need to be affixed when leaving customs.
After the actual purchase, you can proceed to the process of processing return documents. This usually happens either at the ticket office or at a special point located at the information counter. It is important that at this moment the buyer has a foreign passport with him.
It is very important to ensure that the seller fills out your data correctly, namely, first and last name, passport number, place of residence and email address, which you can enter yourself. The entire list of purchased goods must also be indicated. If the space provided for this is not enough, you can attach a cash receipt or invoice. It is also necessary to record the amount of purchase, tax paid and the amount to be issued.
The store must provide the following details:
- date of purchase;
- number;
- cashier's signature;
- stamp of an authorized point of sale.
Labels on purchases and store tags must be in place and not lose their presentation until they are presented at customs when Tax Free is processed. Many people try to wear the purchased item right away and cut off the tags, but this is exactly what should not be done.
How do I get export confirmation from customs?
At customs, when processing a return, you must prepare your passport, a Tax Free store receipt and the product itself, and sometimes they may also require sales receipt. When a tourist crosses several customs points in the European Union countries, it is necessary to apply for tax free at the checkpoint of the last country.
When going through passport control at the international airport, checks must be stamped. In some cases, this operation is carried out at the place of stay, for example, in a travel center or directly at a bank branch. Travelers who prefer to travel by car should avoid queuing through the green corridor.
Often at car checkpoints they will refuse to stamp your receipts. There are, of course, exceptions in countries that take measures to optimize document management. For example, special terminals have already been installed in Poland, where you can quickly process all documents using a mobile device.
In some countries, the process of processing documents at customs has its own specifics. For example, in Sweden or the Netherlands there is a time limit according to which a stamp can only be affixed within 30 days from the date of purchase. In Sweden and Germany there is a restriction according to which a stamp is affixed only if the product is sealed and has not been used. Therefore, when going to a particular country, you should inquire about this point in advance.
Where and how to get tax free?
The most popular VAT refund systems are Global Blue and Premier Tax Free. There are also some local companies, for example, Innova Tax Free (Spain), Detaxe and Euro Free Shopping (France), New Tax Free (Italy). There are also companies that refund taxes paid for car rentals or when paying in hotels and restaurants.
How to return tax free? You can get money:
- in cash at Tax Free Cash Refund points of issue in international airports, where money is returned directly in the transit zone beyond the control line;
- using a special Tax Free box in the transit zone or in the waiting area, where you need to throw a sealed envelope with Tax Free documents and a customs stamp, after which the money will be transferred to a MasterCard, Visa, Amex, Diners, JCB and CUP bank card, the number of which will be indicated by the tourist ;
- at partner banks operating in the tax refund system upon arrival home;
- in a foreign partner bank during your next visit to this country;
- in the stores themselves during your next visit, and it is not even necessary to issue a Tax Free check, but an ordinary store receipt with a customs mark is enough. Such a return system is practiced, for example, in the Netherlands, provided that the purchase amount is at least 50 euros and the return occurs no later than 30 days from the date of purchase.
Please note that in a number of countries, tax free return points are located in common halls, where you can receive money even before going through passport control. After the tourist passes it, he will not have the opportunity to return to the common room, and therefore not get his money.
Thus, having learned in advance all the nuances and features of the operation of Tax Free stores and the procedure for processing a VAT refund in a particular country, you can save your money and get back up to 20% of the cost of purchases.
You can calculate your tax refund with all fees using special calculators; search the Internet for the GlobalBlue calculator. A good and simple option is http://www.globalblue.ru/customer-services/tax-free-shopping/refund-calculator/
And one last thing. There are more and more stores where you can return tax free immediately. This is great, but tourists inspired by the discount then forget that tax free checks still need to be stamped at customs, sealed in envelopes and thrown into special boxes. If you do not do this, the stores will demand a return of the money received, because they have not received confirmation that the purchased goods have left the country. Be careful!