Hi all,
I recently started doing online shopping.. (late starter, i know..)
I thought some of yous may want to know what happens to VAT refunds for online shopping within UK.
Heres my story:
I once bought something from an online store from UK, who claims their products are VAT inclusive. I live in Australia, so therefore I should be exempted from the tax. She told me if I pay for the products via their website, the VAT can be later be refunded via tax department. Their website system does not automatically detect my location hence i will be charged for VAT. I contacted HMRC (uk) - HM Revenues & Customs. This is their response:
"Our Ref 6xxxxxx4
Dear Sir or Madam:
VAT refund
Thank you for your email dated 15 March 2011 regarding the recovery of VAT on an on-line purchase you made from a shop in London.
Please understand that it is the responsibility of the VAT registered supplier to establish the correct liability of any given supply. HM Revenue & Customs (HMRC) do not normally supply a VAT ruling to a supplier窺 customer unless they disagree with the supplier窺 original decision and the relevant Public Notice does not cover the matter of concern.
HMRC will not get involved in third party disputes.
Although I cannot provide you with a definitive response I can give you the following advice.
There is no facility for you to recover any VAT you have paid on your purchase from HMRC, if the shop have told you that you are eligible to get a VAT refund you should speak to them direct. The only scheme run in the United Kingdom (UK) is for overseas visitors as per Public Notice 704/1 - VAT refunds for travellers departing from the European Community (EC) and conditions would need to be met.
Our Public Notices can be accessed online by following these steps:
www.hmrc.gov.uk >> Library (Quick links) >> Publications >> Notices, Information Sheets and other reference materials >> VAT >> All VAT Notices (numerical order).
Yours sincerely,
Alan Guest
Written Enquiries Officer
VAT publications are available from our website or the VAT Helpline (0845 010 9000)."
So in the end, I wanted to warn that if the seller does not (or refuse) take the VAT from the online price, then there is NO way to claim the refund back from the UK tax department.
Hope this helps!!!!
