Tax Free Shopping: How to get a VAT Refund in Spain

Photo: Travel Tax Free

If you are an international traveler, it is important understanding how to get a VAT refund in Spain, and how this can save you a significant amount of money.

In this article, you will find everything you need to know about tax-free shopping in Spain, helping you maximize your savings while enjoying your trip.

INDEX

1. Why Understanding Tax-Free Shopping is Important

As a non-European Union (EU) resident, you have the opportunity to shop tax-free. This means you can reclaim the Value Added Tax (VAT) you paid on your purchases when you leave the country. Understanding how to get a VAT refund can make your shopping even more rewarding.

2. What is VAT and How Does it Affect Your Purchases?

Value Added Tax (VAT) is a consumption tax applied to goods and services in the EU. In Spain, the standard VAT rate is 21%, which can add up quickly on your shopping spree. Fortunately, international travelers can get a refund on this tax, making the items they bought more affordable.

3. Eligibility for VAT Refunds

Before you start planning your shopping list, it’s important to know if you’re eligible for a VAT refund. Generally, you must be:

A non-EU resident
Over 16 years old
Visiting Spain for less than six months

These criteria ensure that tourists can benefit from tax-free shopping, making their travel experience more enjoyable and cost-effective.

4. Minimum Purchase Amount

In Spain, the minimum purchase amount to qualify for a VAT refund is €90.15. This means you must spend at least this amount in a single store on the same day. Keep this in mind as you plan your shopping, especially if you are searching for more affordable items.

5. Choosing Tax-Free Stores

Not all stores in Spain offer tax-free shopping, so it’s essential to know how to identify those that do. Look for signs that say “Tax-Free Shopping” or ask the store staff if they offer VAT refunds. Many popular tourist destinations and shopping malls have numerous stores participating in the tax-free scheme.

6. Examples of Stores in Spain with Tax-Free Shopping

Spain has numerous stores offering the VAT refund option. Some examples of popular stores and retail chains where you can enjoy tax-free shopping include:

El Corte Inglés: This iconic Spanish department store chain sells everything from high-end fashion and cosmetics to electronics and gourmet foods. Many of their outlets in major cities like Madrid, Barcelona, and Valencia participate in the VAT refund scheme.

Zara: As one of the world’s leading fashion retailers, Zara offers trendy clothing and accessories at competitive prices. Most Zara outlets in Spain provide tax-free shopping services for international tourists.

Fnac: An excellent destination for electronics, books, music, and more, Fnac is a go-to store for tech enthusiasts and culture seekers. Many Fnac outlets in Spain participate in the tax-free shopping program.

Las Rozas Village: Located just outside Madrid, Las Rozas Village is a luxury shopping destination featuring a wide range of high-end brands and designer outlets. International tourists can take advantage of the VAT refund scheme at many of the boutiques here, making it an ideal spot for a high-style shopping spree.

La Roca Village: Similar to Las Rozas Village, La Roca Village is a luxury shopping complex located near Barcelona. International tourists can easily claim their VAT refunds at participating stores.

Remember to request a VAT refund form and keep your receipts to ensure you can claim your tax back efficiently.

7. Collecting Your VAT Refund Forms

When you make a purchase, ask the store for a VAT refund form, also known as a “Tax-Free Form” You’ll need to provide your passport and possibly your travel itinerary. Make sure the form is correctly filled out, as any mistakes can complicate the refund process.

8. Keeping Your Receipts and Forms

It’s crucial to keep all your receipts and VAT refund forms in a safe place. You will need these documents when you apply for your refund at the airport. Losing them could mean losing your refund, so stay organized!

9. Getting Your Forms Stamped at Customs

Before you check in for your flight, head to the customs office at the airport. Here, you will need to get your VAT refund forms stamped. This step is essential as it proves that you’re exporting the goods out of the EU. Remember to have your purchases, forms, and receipts ready for inspection.

10. Claiming Your Refund at the Airport

After getting your forms stamped, proceed to the tax refund counter. Various companies, such as Global Blue and Planet, handle VAT refunds. Present your stamped forms, receipts, and passport to the staff. They will process your refund, which you can receive in cash or credited to your card.

If you need more information you can visit the airport’s web site:

11. Alternative Refund Methods

If you didn’t manage to get your refund at the airport, don’t worry. Some companies allow you to mail your stamped forms and receipts back to them. This method might take longer, but it’s a good backup option.

12. Common Mistakes to Avoid

To ensure a smooth VAT refund process, avoid these common mistakes:

Not meeting the minimum purchase amount
Forgetting to get your forms stamped
Losing your receipts and forms
Not filling out the forms correctly

13. Additional Tips and Information

Some countries offer a tax-free shopping scheme, which allows you to claim refunds on purchases made outside of the EU.

Keep an eye out for VAT refund signs when shopping in Europe. Some stores may have their kiosks or staff to help with the process.
Be aware that some goods are not eligible for VAT refunds, such as food, drinks, and services.

Double-check your forms before submitting them at the airport. If there are any mistakes, ask a staff member for assistance.

When traveling to different European countries, make sure to keep track of all your receipts and forms to avoid confusion.

If you are unsure about the VAT refund process, don’t hesitate to ask for help from airport staff or tax refund company representatives. They will be more than happy to assist you.

14. FAQs About Tax-Free Shopping and VAT Refund in Spain

A) Who is eligible for a VAT refund when shopping in Spain?

Non-EU residents are eligible for VAT refunds on certain goods purchased in Spain, provided they meet the required conditions, such as a minimum spending amount and presenting the necessary documentation.

B) What is the minimum purchase amount required for a VAT refund in Spain?

The minimum purchase amount to qualify for a VAT refund in Spain is €90.16 (including VAT) per store, per day.

C) How do I get my VAT refund forms?

When making a purchase, ask the retailer for a VAT refund form. The retailer will provide the form, which you must complete and have stamped by customs when leaving the EU.

D) Where do I get my VAT refund form stamped?

Get your VAT refund form stamped by customs officials at your point of departure from the EU. It’s usually best to do this at the airport or the border if travelling by land or sea.

D) Can I get my VAT refund on goods that have been used?

No, the goods must be unused when you present them to customs for stamping along with your VAT refund form.

E) How long does it take to receive the VAT refund?

The timeframe for receiving the VAT refund can vary. If you apply for a refund at the airport, you might receive it immediately. However, if you mail your forms, it can take several weeks to process and credit your refund.

F) Can I get a VAT refund on all purchases?

No, not all purchases are eligible for a VAT refund. Common exclusions include food, drinks, services, and goods that are consumed or used.

G) What should I do if I lose my receipts or VAT forms?

If you lose your receipts or VAT forms, it may not be possible to claim a refund. Always keep these documents in a safe place and make copies if necessary.

H) Are there any fees associated with claiming a VAT refund?

Some VAT refund companies may charge processing fees or offer a lower refund amount if you opt for cash instead of a credit to your card. Always check the terms and conditions before proceeding with the refund.