Tax Free Shopping in Italy

Hello, I’m going to Milan over the weekend and plan to do a spot of shopping whilst I’m there. As i was researching online on where to go, I realised I will be eligible to claim the vat / tax back if the shopping is over approx 150Eur. Which I expect to spend in one of the shops.

I read about the process from the Italian authorities perspective but, I am confused on how exactly I claim when I travel by train.
https://www.agenziadoganemonopoli.go…/the-procedure

I am just not sure if it’s possible to claim my refund when I travel back to CH by train to Switzerland. I think customs offices are standard when you cross borders by car but I don’t know if anyone has experience in doing this all digitally (ie submit a Stamped receipt somewhere online without queuing in person) as that would be my preference but equally happy to queue somewhere at the Milano Centrale train station before travelling back to CH

If anyone would be able to share their experience on this, I’d be extremely grateful.

Thank you !

It is difficult on the train unless you make stop over in Domodossala i believe although it may be possible to do it in Milan Centrale station upstairs now.

For €150 you will save about 18-19% but then you have Swiss VAT to pay at 7.7% and they will use an unfair €/Chf exchange rate so calculate around 9%

I leave you to decide whether you really think it is worth doing on such small amounts.

It's quite simple. Tell the shops you want to make a VAT tax refund claim. They will issue you with the relevant documentation.

Take a train that stops at Chiasso and take the Italian exit. Go to the customs office with the goods and get the forms scanned. It's all electronic these day. The retailer will then be automatically informed and will make the refund to your bank in Switzerland.

For some reason, at all the stores we shop, though we pay by credit card, they wouldn't refund to the credit card, only a bank!

Then you walk back into Switzerland, declare to Swiss customs and if needed pay the Swiss VAT. Then back to the platform to take the next train home.

As it's now simplified, you don't actually need to use services such as Global Blue, so saving you their commission. However many stores still use them as they get a commission paid to them. I usually insist, especially for purchases in excess of 300 or so Euro's that they handle the tax refund and not Global Blue. They will usually agree but not always.

On one occasion I told the shop I'd buy elsewhere (it was over € 1,000) and they suddenly found a way they could issue the electronic form!

I hope this helps?

having just seen the above, I was assuming you take the train via Chiasso. I don't know the station layout at Domodossa, but the actual form scanning will be the same.

Interesting about Milan Central Station. I have no knowledge of this either so it will be interesting to know how you got on if you try to get the refund there.

Thanks, ill be spending more than the minimum so maybe 500-1000eur so I think it’s worth it

Thank you. The problem is I have a direct train from Centrale to CH and I can’t get off as I have seat reservations .... I didn’t think to book a stop with the train ride. I will check in Centrale but if there is no desk,

I wonder if I can I just do the whole refund request online, do you know ?

Based on my experience, you cannot avoid stopping at customs. Even though it is all electronic using their computers and no stamping of the form, sometimes they want to examine the goods. Although I live near 3 border crossings, only 1 has an office. The others have guards, sometimes.

Some stores refund directly to the credit card(the pet store Arca Planet does) but many seem to use Global Blue where you have to go to an agent to get the tax back, in full, in cash.

On the items I have been claiming the tax back, the VAT is 22%. Not an insignificant amount. Also, I thought the minimum purchase is EUR 155. I don't pay Swiss VAT as I stay within the import limit.

If you find an option in Milan, that would be interesting to know.

Some peculiarities of Italian VAT reimbursement that might be different from other countries (e.g. Germany):

- The merchant is required to issue the vat-free invoice if you ask for it

- The merchant is required to issue the "standard' invoice where the reimbursement is done without intermediaries that will eat part of your reimbursement (e.g. Global Blue) if you ask for it

- (not fully sure but I believe that) the merchant has the right to reimburse you in cash at their store (not via credit card etc.)

In practice though leveraging this rights can be hard. It is common to find a store that insists that they only use intermediaries or simply a store where people don't know how to do these tax-free invoices. In my experience it is then hard to do anything about it - you can argue and complain, but ultimately it will result in a huge time waste for you.

My advice is, if you care a lot about this reimbursement going smoothly, then get directly in contact with the merchant early and ask how does it work in practice at their store - and decide where to shop based on that.

You can get merchants that make it easy for you and care, and also the opposite. For reimbursement it also depends on how the merchant wants to do it, since it's their risk ultimately (if you don't stamp the invoice - they will have to pay the VAT). I once bought something for 2000 euro in Italy, the merchant generated the tax-free invoice, charged me only for the price without VAT, told me "I take your word that you will stamp the form and send it to me, otherwise I'll lose a lot of money" shook my hand and that was it.

Ohhh this is good to know, so if I stay within my import limit, I could remove the Italian tax and nothing to add on top, right? I will definitely think that through when I shop! Thank you for the prompt !!

This is really helpful to know. I will definitely call a few places before I go, just to avoid disappointment. Its big brand shops so I am hoping they have a process set-up ...I'll update this thread with the outcome in a few days!

No otherwise it would be too easy and open to fraud.

You have 6 months in which to do it, you are not obliged to do it in Italy you could export from EU via France for example.

You need to be able to show the goods to a customs officer if they ask and you need to cross a Schengen border and get a stamp, ink or digital.

That is correct, you can do it in other EU country and that you have 6 months from the date of purchase. However, it has to be the first time the goods are leaving the EU. So, it is ok to travel from Italy to France and then sort out the customs forms on the border between France and Switzerland.

It is not ok to enter Switzerland with the goods, then take them to France and try to sort out the forms when re-entering Switzerland

The minimum is about EUR 150 untaxed value.

But beware, there is also a EUR 600 maximum value, beyond which you need to pass via the commercial customs!

Tom

It's Value Added Tax so for 22% in Italy the rebate is about 18%, then you pay Swiss VAT of 7.7% and at least when I still did this, Global Blue and all the others take a small fee. So it was always around 10% rebate which is nice of course but frankly most of the times unless you spend thousands not worth the hassle.

I find the main rebate is that prices abroad are so much lower.

Really? According to https://www.bazg.admin.ch/bazg/en/ho…ee-of-vat.html you can import up to 300 francs without being liable to Swiss VAT.

Or 600 if in two.

Tom

And the application is explained nicely here .

Although this example seems a bit far fetched
How do two people spend 1000 francs on groceries?

According to my wife, this CAN now be done at Milan Central Station.

I'm not sure about that, unless you mean the total VAT being over € 600?? We bought lights for just over € 1,000 in Como, we crossed back at Ponte Chiasso, and went to the customs office there who processed it for me. But we were travelling by car.

For export from Italy or import in Switzerland? do you have a link for that?

Export from Italy. More than EUR 600 is considered a commercial exportation.

The boss of the GF expalained it to me personally, and even showed me the law in the book, after which I offered my appoligies for having doubted him.

He let me slide with the promise of "never again".

Tom