Foreigners Receive VND144 Billion in VAT Refunds

Foreign travelers leaving Vietnam via Ho Chi Minh City’s Tan Son Nhat International airport have received value-added tax (VAT) refunds worth over VND144 billion (US$6.9 million) for the goods they purchased in the country.

 

According to the airport Customs Department, 61 foreign tourists travelling through Tan Son Nhat airport between July 13 and August 6 have claimed VAT refunds for goods purchased in Vietnam. Their purchases were mainly fashion items including clothing, handbags, jewelry, and shoes, worth a total of VND1.86 trillion (US$89.3 million).

 

Under a scheme being piloted by customs agencies from July 1, 2012 to June 30, 2014, foreigners are entitled to a VAT refund on goods they buy in Vietnam and take home with them when they leave the country via Noi Bai airport in Hanoi and Tan Son Nhat airport in Ho Chi Minh City.

 

Any departing foreigner can claim back 85 percent of the VAT charged on goods purchased in the country in Vietnamese dong if they present a valid invoice for at least VND2 million.

 

As of August 3, thirty businesses have participated in the pilot, which is expected to boost exports and make local shopping more attractive to foreigners.