VAT Refunds for Non EU Countries

I have moved to South Asia a little over a year ago and was surprised to see the amount of business which takes place in a country like Pakistan where, as far as the International media is concerned, the country is apparently plagued with problems. Whereas the truth is far from it.

Pakistan is one of the worlds biggest exporters of Textiles, and the biggest Denim Producers in the world. Look at the label on your trousers or your t-shirt. There is a high likely hood it says, Made in Pakistan.

Another little known fact here in Pakistan and South Asia is that you can as a foreign businessman, claim a VAT refund from nearly 100 countries around the world within the remit of the 13th Directive of European Community Laws.

If your business is not established in the EU, and you are charged VAT on business activities in any EU country where you have supplied goods or services. Did you know you could get that VAT back?

Value Added Tax (VAT), is a goods and services tax which is charged by all the countries in the EU and the UK. Most importantly many of Pakistan's biggest trade partner countries such as, Germany, UK and France all charge VAT.

As of 2017, 166 of the world's approximately 193 countries employ a VAT system, including all OECD members except the United States. A lesser known fact is that, 100 of these countries also provide VAT REFUNDS.

In a day and age where competition is getting stronger and the financial constraints being shown by some of the companies in industry, we should grab at every opportunity to get something back. If you have paid VAT in a business transaction as a company based in Pakistan, it is your right to claim that VAT back as refund.

VAT is fast becoming a global TAX. With countries like the UAE and Saudi Arabia joining the club, it is well worth your penny to try to get back what you can in the form of a VAT Refund.

*The British Government (*HMRC) recently published figures to show that they have over ï¿¡11.6 billion pounds left in unclaimed VAT. Although a certain part of that is down to the consumer,the rest is all VAT paid by corporations on Hotel nights, Car Hire, Exhibition Stand Build, Training and the list goes on.

Our research found that over $20bn is currently owed to companies across the world in unclaimed VAT. (Brendon Silver, CEO, VAT IT)

When we plan a trip, VAT, GST or just plane TAX is something that we may not be PAYING that much attention to, but even rivers start with a tiny drop.

The process is simple, and there are a number of reputable companies available around the world who will provide you with this service, a few guarantee, no recovery, no fees too.

Companies across the world are losing out on such huge opportunity to gain back money which is rightfully theirs. In countries such as the United Kingdom, everyone pays VAT which stands at a Flat 20%.

In some countries around the world the opportunities are made even easier by the fact that you can backdate your claims.

In the Netherlands and Australia you backdate your claims by up to five years! In most of Europe you can go back as far as 18 months.

When you look down at your next Hotel bill or Invoice, and it says "VAT @ 20%", Keep the invoice and claim it back.