Did you know that you can claim your money back on the purchases in Thailand? Well, if you know already, great! I didn’t know actually when I first traveled to the country. Oh! It gives me a lot of pain whenever I think how much of accumulated small fortune I had actually left behind in the refundable taxes over years, especially during several Thailand escapades. Anyway, bygones are bygones and now I know better about VAT in Thailand.
- What is VAT?
Well, the truth is, a lot of people don’t really know about what VAT really is, except the full form, which is Value-Added Tax. It is actually a consumption tax paid by the consumers. For an instance, a computer manufacturer will pay value-added tax on almost all the supplies that are necessary to produce items and make it to the store, where the consumer will pay VAT on the retail price after deducting the cost of production that the manufacturer has already been taxed for.
- Who qualifies for VAT refund?
- Non-Thai citizens
- Neither a pilot nor a cabin crew
- Non-residents in Thailand
- Per purchase should be at least 2,000 baht including VAT
- Leaving Thailand from international airport
- Purchase goods from the shops, participating in VAT Refund for Tourists
- Which are the goods you cannot claim VAT refund?
- Gem Stones
- Prohibited Items
- Firearms or explosives
- What is the Thai Tax refund process?
- You must get the tax refund forms checked at the customs.
- Tourists will need to submit refund form (pp 10) and VAT receipts with the items purchased for the Customs officer to check, sign and specify the date in the form at gate 10.
- If the purchased items are watches, fountain pens, eyeglasses, gold or finished jewelry having a high value almost more than 10,000 baht each, then you will need to show them to the Customs officer for checking, stamping, and signing.
- Now, go through immigration
- Present the items or submit the forms (pp 10) to the Customs officer in order to claim VAT refund at the booth in the Passenger Terminal building.
- How will the refund be paid?
If the VAT refund is not more than 10,000 baht, then you are likely to be paid by cash. But in case it exceeds then you will be either paid by draft or simply by crediting the amount to your credit card.
Thankfully, Thailand allows tourists to claim the Value Added Tax paid on the goods bought even when being inside the country. If you are wondering where can you get VAT refund and how, make sure that you contact the VAT refund in Thailand for Tourists department in the 4th level right at the airport gate. Else, you can get the Customs Stamp and then go to the Passenger Terminal building where you will find booths to claim VAT.
