VAT Tax refund on Online Purchase Shipped to US??
 

I have my eye on a handbag, from Spain. The price in Spain is, obviously, less than the price in the US.
But could I also take advantage of the VAT refund, or would the VAT not be charged if the item is to be shipped to the US by the store? (If I buy it in Spain I have to get the tax refund at the airport; I am headed there next month but not going to a city with a store selling this handbag, although they have a store in Madrid airport. But who knows if they will carry that bag at the airport store).

Shipping is free to the US from Spain.

I'd appreciate any comments!! Even If I do not end up making this purchase, it will be helpful for the future, I think.

Thank you!!

I thought the VAT got removed when the shipping destination was outside the EU, but I can't say I have any verification for that.

That's correct.

For non EU shoppers the store can remove the tax, in our experience.

The store st the airport may have a hugely inflated base price.

Online retail purchases sent to the US should not include VAT. I've ordered various items from the UK and the VAT comes off the price when I put in the destination (some places list "exc. VAT" prices too).

There is no obviously to the price in Spain being lower than in the US even exc VAT. Very often the self same thing is cheaper in the US even if it is made in Europe and sold here too.
I don't know if you have to pay any taxes or duties in the US on it, but check that out too.

I have no input, but what purse is it? I love purse shopping and I have been hunting lately:)

The purse costs much less in Spain. I checked this out already. It is from Loewe--navy and black hobo style called something like "colorblock." Also comes in red. Price is ridiculous even in Spain!

Thanks everyone, for your help!

Forgot to say that, above!

You won't be charged VAT -- but you most likely will be charged substantial duty in the States.

Why would I be charged substantial duty? I have never been charged in many years of shopping things home from all over the place. And what is substantial? Ten percent?

Do you know this from personal experience or is it a guess?

If you buy from a retailer that ships regularly out of the EU they'll know to subtract the VAT. But smaller merchants don't always know it or, otherwise, do it. So if it's a smaller one make sure there's an understanding before you buy. I've had to convince a shop person that it's correct to do it and then only after they conferred with management not on the premises.

>>Do you know this from personal experience or is it a guess?<<

From much personal experience . . . Buying things in Europe since the 80's. Way back in the day when most things were delivered by USPS, I'd get a card in my mail box and have to go in person to the P.O. and pay the duty before I could collect the package.

But few have been on line so maybe that will be different (?) I mostly buy on-site and have the merchant take off the VAT and ship it to me. Also - not all types of merchandise will be assessed. The last 6 expensive things I've purchased (over maybe the last 8 years) were all delivered by DHL and 4 or 5 times I was billed for import duty by DHL. One of them - the item would not be released out of the LA processing center for shipment to northern CA, until I had first paid. But that was a VERY expensive item and the duty was substantial.

My experience is that if you have an item shipped, you will have to pay duty. If you carry it back yourself, you'll have the $800 exemption (for each person in your party), so I've rarely had to pay duty on things I brought back. Typically the duty is 10% of the amount over the exemption (up to $1000) when you are bringing something back with you. When you ship something, you don't get the $800 exemption, so you pay duty on the full value of the item.

>> I mostly buy on-site and have the merchant take off the VAT<<

Just to clarify -- I meant I typically buy on-site in a shop . . .not on a <i>web</i> site.

The only people I know who receive packages from Europe (via Fed Ex or UPS) have to pay duty as it's normally commercial goods.

It may be different if it is sent through the postal service, where they only have to declare a value when sending the package. We've never had a problem when things arrive by mail.

Robert2016: An expensive Loewe bag almost certainly would not be shipped via USPS.

(I do occasionally get things delivered by FedEX, but IME the vast majority of shipments from Europe come via DHL -- which may make sense because it is a European owned courier)

I just remembered that I had cookware shipped over the years, most recently this past summer. I use a German online site. They subtract the VAT. I never paid duty but surely every case is different. If any one is interested in European cookware let me know!

Might take a chance on the purse since the US price is too high for me. Thanks everyone. Will let you know what occurs if I take the leap!

Couldn't be more expensive than the price of the "Total Experience" at Atrio in Cáceres, or could it?

On several orders over the years, whether or not duty is charged by U.S. Customs has been hit or miss. I'd guess I've been charged roughly 60% of the time.

The worst was French customs when I lived there, 30€ on a pair of $100 shoes from the States and a second time when a friend sent some of his own sketches, packed in a $15 IKEA frame to protect them. The French Poste didn't even notice the sketches but came back the next day wanting 38€ for the frame. I tried to get them to take it back but they wouldn't because it had been open.

I would look up what the worst case duty might be on the bag so if I were charged at least there would be no surprises! Love Loewe, is there any place in Spain you could have it shipped?

If you want to take advantage of the price in Spain buy it there; the shipping will at least equal the savings in VAT so bring it back with you!

ekscrunchy was asking about shipping back to the States, not to Spain.

Robert, She mentions in her post she will be in Spain soon which is why I suggested having it shipped to a Spanish address, she could then claim vat back at the airport thus saving shipping to States and U.S. duty.

However, am glad you queried this because she may not be able to get VAT back at the airport if the bag is shipped to an address in Spain. escrunchy, if you want to try this route, I would talk directly to one of Loewe's stores and ask if they could include the VAT paperwork with the purse.

Thanks!! I'm not going to be in a city with a Loewe store but the one at the MAD airport might or might not have this bag. I feel kind of silly with this kind of question so thanks, all, for helping out. I took a look at it in person at Barneys yesterday, oh, my! Gorgeous. But here there is 8% tax on top of the price!

OK, so you want to avoid paying NYC sales tax and VAT to Spain. If they send it without the VAT, how much duty will you still have to pay to Customs ?

" how much duty will you still have to pay to Customs ?" Typically nothing, if it's not declared! Use it once and it suddenly becomes a used bag.

Robert - Value always has to be declared esp if sent from a commercial source.

You're right, if it's being sent by a store, commercial source, then they will have to fill out the customs declaration. Haven't done that, and actually haven't bothered with the VAT refund for years. Too much of a hassle.

I have not been asked to pay duty at US customs. Ever. Cannot remember the last time, if ever, that customs at JFK opened my suitcase. Certainly not in the past 20 years. Did get caught at JFK with half of a roast-lamb sandwich from Andalucia in my carry-on a few years ago, though. (Had intended to eat sandwich on the plane, but bag was smashed into overhead compartment and, frankly, I forgot about it during flight. But it did not get past that cute beagle!!)

But this is different, having an item shipped. As I mentioned, I just had a few items of cookware sent from Germany and was not asked to pay any duties to US. And the subtraction of the VAT balanced out the shipping charges, making the items a very good price as compared with buying in the US.

But who knows what will happen next time...??

Yes, I want to avoid paying VAT. Why would I pay that if item is shipped out of Europe?

What about picking up in the EU?
 

Yes I think you will get the VAT refund since you are picking it up there and then leaving the country with it. Just ask the Louis Vuitton salesgirl to fill in the appropriate forms for you.

Now that this thread has been topped, I'd like to know how ekscrunchy's handbag worked out and whether or not duty was charged!

Does the seller have the right to remove the VAT on the spot?

Glad someone topped this as it might be helpful to others:

Briefly: Bought a Loewe purse in Spain for far too much money but less than US price.
did all paperwork in shop in san Sebastian; this was big birthday present to myself.
Flew to Portugal from Spain and at airport was told that I must give paperwork in to last European destination. Not Lisbon. Flew from Lisbon to Paris to connect to AF flight to JFK. TOTAL confusion and no help despite my begging. Required to return through immigration, on and on. Gave up. Lost refund.

Less than one year later, bought 2 handbags, one Celine from France and one Loewe from Spain. Both bought in Rome. With the direction of the salespersons at both stores, within an hour or less, I had about 600 euros in my hand, in cash, at a refund spot in Piazza di Spagna.

Lesson learned: Celine bag ( last designed by PPhilo for Celine; I am so not a design follower but she always stuck me as a genius for y own style; name is MICRO BELT BAG in pale taupe) is hard to handle, heavy and I regret the money spent. Will look into the RealReal for resale.

Loewe bag, this time in black.....will use for the rest of life. It is the Flamenco Knot black bag and a classic. Would never sell.

https://www.saksfifthavenue.com/loew...B&gclsrc=aw.ds

Major lesson: Leave tons of extra time for refunds if flying through CDG, or else know the airport better than I do. In Japan a month or so ago it was made so easy to get refunds, IN THE STORE!