Confused about VAT

[kaerofan]

Just wondering if anyone knows the answer? I'm thinking of buying a Louis Vuitton bag while in Paris on my British Isles cruise but the cruise ends in Southhampton (and we're flying home from London), so how does it work to claim the VAT since we won't be in a Euro airport?

[John Bull]

The currency is irrelevant, as is the language of the refund form (the retail export form), other than that it makes life a little more complicated for customs staff, and it may mean that you can't get a cash refund at the airport - the important thing is that GB is a member of the EU.

You seek the refund when you & the goods leave your last EU country, so in your case that's at your London airport when you leave GB.

 

You do need to buy from a store which operates the VAT Retail Export Scheme (a Paris shop which sells Louis Viton probably will)

You will need to show ID when you buy, your passport is probably best, and you/the shop need to complete the French export form on-the-spot.

 

There are trans-Atlantic flights from two or more London airports, I don't know where the customs offices are located but I'm pretty certain there are offices at each terminal. Ask at the airport information desk.

Best to keep that purchase as hand luggage.

 

The shop may give you a refund on-the-spot, but may still ask you to declare your "export" at customs when you leave GB.

 

Here's the relevant page from the GB customs website

http://www.hmrc.gov.uk/vat/sectors/consumers/overseas-visitors.htm#1

 

JB :)

[cberge]

I would like to add that to check pricing before you go re the bags as you may find them cheaper here in the US. Unless it is an item they sell only in Paris it may not be worth the hassle,and can be a lot more money. VAT used to be a way to go,but not so much now to my way of thinking.

[RickT]

Not that this is relevant but I've never received my VAT refund when flying out of the UK (Heathrow twice, Dublin once). The forms were completed and handed in and I've never seen a dime. Very difficult to follow up and no response when we did.

 

Flying out of Frankfurt last year was surprisingly better. We bought some items in Italy and had a credit put on our credit card before we even left the airport. All I had to do was show up with the items we bought and the receipts and forms and the credit was processed immediately.

[kaerofan]

Do different places do it differently? Because I bought a really nice ring in Florence about 6 years ago and I thought they took the VAT off at the store (I wasn't charged) but then it was up to me to submit my forms at the airport before going home or else the tax would show up on my credit card. I have a terrible memory so this could be wrong but this is what I thought I remembered?

[UKBayern]

Check here:

http://www.globalblue.com/customer-services/tax-free-shopping/tax-free-shopping-faqs/

[cberge]

Do different places do it differently? Because I bought a really nice ring in Florence about 6 years ago and I thought they took the VAT off at the store (I wasn't charged) but then it was up to me to submit my forms at the airport before going home or else the tax would show up on my credit card. I have a terrible memory so this could be wrong but this is what I thought I remembered?

 

This sounds right...they took it off and you were right to submit the forms. And yes, some places do it differently as not all places take the VAT off the boil then one needs to get it at the airport...hopefully.

[cberge]

Not that this is relevant but I've never received my VAT refund when flying out of the UK (Heathrow twice, Dublin once). The forms were completed and handed in and I've never seen a dime. Very difficult to follow up and no response when we did.

 

Flying out of Frankfurt last year was surprisingly better. We bought some items in Italy and had a credit put on our credit card before we even left the airport. All I had to do was show up with the items we bought and the receipts and forms and the credit was processed immediately.

 

Did they remove the tax from your bill at the store? If so (see below) you were just sending in the paper work. However....sometimes they disappear...I have never rec'd mine from Spain even when I tracked it down.

[slidergirl]

Every major airport I've been to in Europe has a VAT refund center. Usually, it's hidden somewhere. They don't make it easy. You have to show the items along with the receipts. Well, if you're checking bags, sometimes it won't work because the center is sometimes AIRSIDE. Makes no sense...

 

There are some of those stores that are allowed to do that refund at the store - probably what you talking about. They will give you paperwork that shows what VAT you "paid" and what you had refunded. That paperwork has to get turned in or you will get charged...

 

Those ones where you get the envelope, submit your receipts and send it in, those are usually third-party companies and they will keep a portion of your refund. If your refund equals what they charge (surprise!!), no refund...

 

For the OP: are you buying the bag in Paris because it is Paris (sentimental value) or are buying the bag to buy the bag? If it is the second, I'd absolutely do your due diligence to find out if you're going to waste time (and maybe money) buying in Paris instead of back home.