How VAT refunds work at the point of sale
A VAT refund lets you recover the value-added tax you paid on goods you bought in another country, usually when you leave. The process differs by country, but the basic steps are the same: you buy something, you ask the store for a refund form at the time of purchase, you get the form stamped by customs when you leave, and you mail it back or claim the refund at an airport kiosk.
The refund amount is not the full price you paid — it is only the VAT portion. If you bought something for €100 and VAT was 20%, you get back €20 (or close to it, depending on processing fees). The store keeps the rest. Not every purchase qualifies. Most countries require a minimum purchase amount per store — often €25 to €100 — before they will issue a refund form. Food, fuel, and services usually do not may have access to. Goods you use or consume before leaving the country do not may have access to either.
Key Takeaways
- Ask for a VAT refund form at the register when you buy something, not after you leave the store — most stores will not issue forms retroactively.
- You must have the form stamped by customs or a tax official before you leave the country, or the refund will be rejected.
- The refund is processed by mail or claimed at airport kiosks, and the money goes back to your credit card or bank account, not handed to you in cash at the border.
- Processing takes weeks to months depending on the country and the refund company handling it, so do not expect money immediately.
- Each country sets its own VAT rate and minimum purchase threshold, so the amount you recover varies by where you shop.
Getting the refund form from the store
When you are at the checkout, tell the cashier or sales assistant that you want a VAT refund form. They will ask for your passport to confirm you are a visitor, not a resident. Have it ready. The store will print or write out a form that shows the item, the price, and the VAT amount.
Keep the receipt and the form together. Do not let the store bag up the goods and send you out the door — the form needs to be filled out while you are there, and you need to check that the VAT amount is correct before you leave the counter. Some stores will fill out multiple forms if you buy from different departments or on different days; each form must be stamped separately at customs. If a store refuses to give you a form, or says they will mail it to you later, they are unlikely to follow through. Shops that participate in VAT refund schemes are set up to handle this at the register. If they will not do it then, move on.
Getting the form stamped by customs or tax officials
Before you leave the country, you must have a customs officer or tax official stamp your refund form. This is the step that proves you actually left the country with the goods and did not consume them there. Without the stamp, the refund company will reject your claim.
If you are flying out, go to the airport with your refund forms, your receipts, and the goods themselves (in their original packaging, unused). Find the customs desk or VAT refund office — most airports have a dedicated counter or booth, usually in the departure hall before you check in or after you pass security. Show the officer your form, your receipt, and the item. They will stamp the form.
If you are leaving by train, car, or ferry, the process is less standardized. Some border crossings have customs offices; others do not. Ask at your hotel or the tourist information desk where to get forms stamped. In some cases, you can mail the stamped form to the refund company after you leave, but this is slower and riskier — the stamp must be dated before you left the country.
Claiming the refund by mail or at an airport kiosk
Once your form is stamped, you have two main options: mail it back to the refund company, or claim it at a kiosk in the airport of the country where you bought the goods.
Airport kiosks are faster if they are available. Look for signs for "VAT Refund", "Tax Free", or the name of the refund company (common ones are Global Blue, Planet, and Innova Tax Free). Hand over your stamped form and receipt. They will process it on the spot and refund the money to your credit card or bank account within a few days. Some kiosks offer cash refunds, but they charge a fee for it — usually 2% to 5% of the refund amount. If there is no kiosk, or you did not see one before you left, mail the stamped form and receipt to the address printed on the form. Include a copy of your passport photo page. Mail it within the deadline stated on the form — usually 3 to 6 months from the date of purchase. The refund company will process it and send the money to the bank account or credit card you provide. This takes 4 to 12 weeks depending on the country and the company.
Processing times and fees
A refund claimed at an airport kiosk usually reaches your account within 3 to 7 business days. A refund sent by mail takes 4 to 12 weeks, sometimes longer if the refund company is backlogged or if your bank is slow to process the incoming transfer.
The refund company charges a fee for handling the claim — typically 1% to 3% of the refund amount if you claim at a kiosk, and 2% to 5% if you mail it in. This fee is deducted from the amount you receive. So if you are owed €20, you might receive €18 or €19 after the fee. Some credit cards or banks also charge a fee for receiving a foreign currency transfer. Check with your bank before you leave to see if they charge for incoming international transfers, and consider whether it is worth it for the refund amount you are expecting.
What to do if your refund does not arrive
If you claimed at a kiosk and the money has not appeared after 10 business days, contact the refund company directly. The receipt or confirmation they gave you will have their customer service number. Have your confirmation number and receipt ready.
If you mailed in the form and it has been more than 12 weeks, contact the refund company with your receipt and a copy of the form you mailed. They can look up whether it was received and processed. If it was lost in the mail, they may ask you to provide proof that you mailed it (a tracking number from the postal service helps). If the form was never received, you will likely not be able to recover the refund — this is why mailing is riskier than claiming at a kiosk. If the refund company says they never received your form and you have no proof you mailed it, contact the store where you bought the goods. Some stores keep records of refund forms they issued and can resubmit on your behalf, though this is not may provide.
VAT refund rates and thresholds by country
| Country | VAT Rate | Minimum Purchase | Refund Rate |
|---|---|---|---|
| France | 20% | €100 | 12% to 15% |
| Germany | 19% | €50 | 14% to 16% |
| Italy | 22% | €155 | 14% to 17% |
| Spain | 21% | €90.16 | 13% to 16% |
| United Kingdom | 20% | £30 | 15% to 17% |
| Japan | 10% | ¥5,000 | 8% to 9% |
| Australia | 10% | AUD $300 | 10% |
The refund rate is lower than the VAT rate because the refund company takes a fee and the store may take a small cut. The minimum purchase amount is per store, per day — if you buy €50 at one shop and €60 at another, you can get refunds from both, but you cannot combine them to meet a €100 threshold at a single store.
Rates and thresholds change periodically, so check the refund company's website or ask the store before you make a large purchase. Some countries also offer higher refund rates for certain categories of goods, such as electronics or luxury items, though this is less common.
Frequently Asked Questions
Can I get a VAT refund if I am a resident of the country?
No. VAT refunds are only for visitors who are not residents of the country where they made the purchase. You must show a valid passport from another country. If you live in the country, even temporarily, you are not may be able to access.
What if I lose the refund form before I get to customs?
If you lose the form before it is stamped, you cannot get a refund. The stamped form is proof that you left the country with the goods. Ask the store for a replacement form if you lose it before you leave the country, but once you are gone, it is too late. Keep the form in a safe place, separate from the receipt.
Can I claim a VAT refund on food or alcohol?
Most countries do not refund VAT on food, beverages, or alcohol, even if you buy them at a duty-free shop. Some countries make exceptions for certain items like wine or spirits if they are unopened and in original packaging, but this varies. Ask the store before you buy whether the item qualifies.
Do I have to open my luggage at customs to show the goods?
Usually yes, if the customs officer asks. They want to see that the goods are unused and in original packaging. Have your refund forms, receipts, and the items easily accessible in your carry-on or checked bag so you can show them quickly. This is why it is important to keep goods in their original packaging until after customs stamps your form.
What if the refund company goes out of business?
If the refund company closes before processing your claim, you will likely not recover the money. This is rare but has happened. Claiming at an airport kiosk on the day you leave is safer than mailing a form weeks later, because the kiosk processes the refund immediately.