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The European Travel Guide 2010
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DUTY FREE IN THE EU
 

Duty Free
Some luxury or souvenir shops as well as some stores in airports might advertise with “Euro Free Tax” or similar terms. This can either be general publicity terms or it might refer to special rules that apply when you travel to a country outside the EU. You might then be allowed to pay lower VAT or duty on a limited number of goods, since you are not considered to be in any one country during your travel. Similar “duty free” shopping does not exist when you travel between EU-countries, because all of the EU is one single market.

When you shop simply show your passport proving your residency out of Europe, complete a short form and the VAT will be deducted from your bill. Please note that in certain countries, you will need to present your receipts, the VAT form and your unopened purchases to the Tax Refund desk at your departure airport before you leave the country. Do not check-in your purchases until presenting those items and allow extra time at the airport to do this. The forms will be processed and your refund will eventually be sent to you by mail.