However, many travelers, including those from India, may not realize they can reclaim a portion of their money on these purchases before heading home.
Now, travelers can claim a refund of the value-added tax (VAT) on their shopping at Thai international airports. This offer is exclusively available to non-Thai nationals. Through Thailand’s VAT Refund for Tourists program, international visitors can receive a refund on the VAT they’ve paid while in the country.
Here’s a guide on how to claim your VAT refund.
Who qualifies?
Only tourists who are not permanent residents of Thailand or part of any airline crew are eligible for a VAT refund. Additionally, claimants must depart from an international airport and exit the country with their purchases within 60 days of the date of purchase.
Is there a minimum spending requirement?
The VAT refund can be claimed only if a tourist spends a minimum of 2,000 Thai baht (approximately ₹5,800) in a day.
How to obtain a VAT refund?
Make purchases at stores displaying the “VAT Refund for Tourists” sign and ensure you keep the original tax invoices safe. Always have your passport on hand while shopping.
When making a purchase, travelers must request the VAT refund form, also known as the P.P.10 form, from the retailer. This form, along with the original tax invoice, must align with the details on your passport.
After passing through immigration, visit the VAT Refund Office located in the departure area to submit the P.P.10 forms, receipt, and passport for final verification. The customs officer will stamp your form to confirm the goods.
What is the refund amount?
If your purchase value ranges between 2,000 and 2,499 baht (approximately ₹5,800–₹7,300), the VAT refund will be 80 baht, which is around ₹230.
If your total purchase value exceeds 200,000 baht (about ₹5.8 lakh), the VAT refund is calculated at 6.1% of the total purchase amount.
For instance, on a purchase costing 200,000 baht, the refund would be approximately 12,200 baht, or about ₹35,300.
What about luxury goods?
For these luxury items, the VAT refund process requires two separate checks. You must first declare the items at the Customs Inspection Office prior to luggage check-in at the airport. The items may be inspected to ensure they are indeed being exported from Thailand.
After passing through immigration, you must declare the same items again at the VAT Refund for Tourists office in the departure area for final verification.
How to receive your refund
If your VAT refund amount is below 30,000 Thai baht (around ₹87,000), you may choose to receive the refund in cash (Thai baht) or have it credited to your digital wallet, depending on the available options at the airport.
If the refund amount is above 30,000 baht, you can receive the refund via a credit card reversal or a bank draft available in four currencies: US dollar, euro, sterling, and yen.
In cases where the total value of your purchases is less than 20,000 baht (approximately ₹58,000), you are exempt from airport customs procedures.
Instead, you can claim your VAT refund by directly emailing the Revenue Department of Thailand, along with all necessary documents like invoices and passport information.