France VAT Refund Guide and Calculator - Upon (2024)

FAQs

How do I calculate my VAT refund? ›

For a 19% VAT rate, it will be (Price-Price/1.19)*0.91=your refund and so on. Want to know how much you are paying for the item? Take off the price the refund amount, and that's it.

How much is the VAT tax Refund? On average, you will receive a 12% refund. There are some exceptions, for example, pharmacy goods offers a 10% refund, and if you purchase food and books you will receive 5.5% refund.

For an immediate VAT refund, you should present all your documents at the tax refund desk at the airport, the port or the train station from which you are departing. Otherwise, you must send the documents by post to a tax refund office such as Detaxe SAS, Global Blue France or Detaxe.com.

Calculation rule: (Amount exclusive of VAT) * (100 + VAT percentage as a number) / 100 = Amount inclusive of VAT.

Every year, your refund is calculated as the amount withheld for federal income tax, minus your total federal income tax for the year. A large portion of the money being withheld from each of your paychecks does not actually go toward federal income tax.

When shopping in France, the easiest way to validate your tax refund form is to scan its barcode at a self-serving electronic kiosk, also called a PABLO kiosk. Eurotunnel Le Shuttle have these located within our Calais Terminal.

Claim 100% of the VAT – You can reclaim the full amount of VAT paid on all fuel – including personal use – but you have to pay a fuel scale charge that specific to your type of vehicle. The government has a useful Fuel Scale Charge opens in new window tool you can use to calculate the cost.

French VAT refunds

VAT refunds can be requested on a monthly or quarterly basis when the total reimbursable amount exceeds €760. Refunds would be requested on an annual basis if the total reimbursable amount in the year exceeds €150. Otherwise, the VAT credit will be carried forward to the next period.

If your primary residence is in a non-EU country, you may be eligible for a refund of the VAT on the price of goods you purchased in France. French Customs is in no way responsible for reimbursing the VAT paid on purchases made in France. Only the retailer from whom you purchased the goods can do so.

Can I get my VAT back when leaving France? ›

As a non-EU resident, if you purchase duty-free items in France to take back to your home country, you are eligible for reimbursem*nt of the VAT.

More and more vendors/merchants (including Louis Vuitton) are using Global Refund for VAT reimbursem*nts. The full VAT is 19.6% on most concumer goods. In order to qualify for a VAT refund, one must spend at least 175,01€, in the same store, on the same day.

Cash refunds are faster but typically have a higher fee. Credit card refunds can be slower, but typically get more money back. Sometimes the refund is instant, sometimes it takes five days, sometimes it takes months.

Calculating the VAT Amount

So to calculate the VAT on any purchase price, we need to multiply the price by the VAT percentage. For a purchase price of x, we multiply x by 15%. But recall that 15% means 15 per 100 or 15/100. So the VAT amount on x is simply x multiplied by 15/100 = (x)(15/100).

Further, data from the same week of the 2021 filing season shows a similar average refund to the latest data, Smith said. As of March 19, 2021, the average refund was $2,929, only $4 less from the numbers reported Friday.

A refund rate is calculated by the number of items refunded divided by the number of items purchased. A good range is somewhere between 7% and 15%.

Tax season is upon us and the data many taxpayers anxiously await knowing — how much cash they're likely to get back in their refund — is in. As of March 17, the IRS reports the average refund amount (aka money taxpayers overpaid the government) in 2023 is $2,933.

How do I claim VAT at France airport? ›

The Answer is Yes, Louis Vuitton is Cheaper in Paris on average by 30%! This is because of the EU Vat Tax refund of 12%, the brand is headquartered in Paris, which means you don't have to pay import tax, and because of the currency exchange rate. Why is Louis Vuitton cheaper in Paris?

Which Country Has the Highest VAT Refund? Hungary has the highest VAT refund at 27%.

A VAT margin scheme is used to tax the difference between the amount that a business pays for certain items and the amount that it later sells those items for. VAT is charged on this difference at a rate of 16.67% (one-sixth). A business can choose to use a VAT margin scheme when it sells: second-hand goods.

To reclaim VAT on the purchases that you've acquired for your business you need to have a valid VAT receipt (or VAT invoice) as proof of the purchase and that you've paid VAT on that purchase. If you don't have a valid VAT receipt you cannot reclaim the VAT.

If your business is relatively simple, you may well find that you're able to complete your VAT return each quarter without any help. The rules and regulations which govern the treatment of VAT can be very complex. They are detailed in a lengthy document called the VAT guide (via GOV.UK).

VAT is due on goods sold and services rendered in France. The standard VAT rate is 20%. Sales of certain kinds of medicines and transports of persons are subject to the 10% VAT rate.

WHERE TO GO IN CDG? Lastly, you can also get tax refund in Galeries Lafayette, the major and dominating department store in Paris. Located on Level -1 at their tax refund desk. Read our guide to shopping at Galeries Lafayette, by clicking here!

Some of the most popular brands that will be cheaper in Paris include, Chanel, Louis Vuitton, Givenchy, Balmain, Christian Louboutin, Pierre Cardin, Yves Saint Laurent (YSL), Roger Vivier, Thierry Mugler, Dior, Jean Paul Gaultier, Hermès, Lanvin, Chloé, Rochas, and Céline.

Fortunately, both brands have stores in Paris, France – and yes, Chanel and Louis Vuitton bags are much cheaper there than they are in the US. That's because of the VAT (Value Added Tax) refund that you can get when you shop in Paris.

What happens if I forgot my VAT refund in Paris? ›

Forgot To Lodge The Form? If you forgot to lodge your VAT refund form before you left Paris then you will have to send a request to for tax refund to the “French Customs Ataché” within 6 months of your purchase. For most travellers this step will not be worth the time and effort it takes to acquire a refund.

You can't claim a VAT refund on restaurant bills, just as a Brit can't reclaim GST on restaurant bills incurred in the US. 8.

You can track a VAT repayment online. Contact HMRC if you have not heard anything after 30 days. You may get compensation if HMRC takes longer than 30 days to approve your repayment. The 30 days starts from the day HMRC receives your VAT Return and ends the day your repayment is approved, not the day you get it.

France has a VAT of 20% which will already be applied to any item when purchasing. France has a VAT refund of up to 12%.

How to Tell the Difference Between a Tax Return and a VAT Return. VAT is charged and recovered on transactions, both income and expenditure. This is different from your annual tax return which is based upon the declared profits of your business over your accounting year.

In Europe, this amount usually ranges anywhere from 15 to 25%, but it varies by country. If you're a tourist who's shopping abroad, you can usually get this amount back if you prove that you're taking your new goods out of the country.

You have to report your income to the tax department if you are resident in France or your tax domicile is in France. if you live abroad but if your resources come from France, you must also declare your income.

the United States does not participate in the VAT tax refund, and U.S. Customs and Border Protection officers are not mandated to stamp VAT tax forms.

VAT at the appropriate rate will be included in the price you pay for the goods you purchase. As a visitor to the EU who is returning home or going on to another non-EU country, you may be eligible to buy goods free of VAT in special shops.

The VAT can be refunded if the merchandise is purchased and exported by a customer whose residence is outside the European Union. Please note that in order to qualify for tax-refund the merchandise has to be exported within three months of purchase. The VAT refund is voluntary and can be refused.

Do Americans pay VAT in Europe? ›

YES. Duty-free shopping, for example in airports, is only for non-EU residents whose are travelling to a destination outside the EU. EU residents have to pay VAT, even when they shop in another EU country. You may sometimes be exempt from paying VAT when you buy a car in another EU country.

VAT is due on goods sold and services rendered in France. The standard VAT rate is 20%. Sales of certain kinds of medicines and transports of persons are subject to the 10% VAT rate.

There are two sets of income tax rates in France: One for residents and one for non-residents. French residents are taxed on worldwide income. Americans living in France who are not considered residents for tax purposes are only taxed on income from French sources.

France's taxation primarily revolves around “family units,” and a married couple will be required to file a joint tax return. Unlike residents, non-residents in France are only taxed on their French-sourced income. Non-resident taxes are typically collected by withholding at the source.

The French tax return (déclaration des revenus) is the first step to paying your income taxes in France.

If your primary residence is located in a non-EU country or a third country, the value-added tax (VAT) may be deducted from the price of your purchases in France. As a non-EU resident, if you purchase duty-free items in France to take back to your home country, you are eligible for reimbursem*nt of the VAT.