On our recent trip to Milan, I had a plan to purchase two luxury items. One for myself and another that my sister asked for. Buying these items outside the United States is more affordable, especially in Europe. The prices are usually lower due to no overseas shipping, the VAT refund, and the exchange rate when favorable to the US dollar. Read more about my purchases in this blog post.
VAT, or value added tax, is a tax on most products and services sold by VAT-registered businesses. Many countries outside of the US, that levy a tax, use the term VAT. To save on luxury goods in Milan, you usually obtain your VAT refund at the airport when you leave the European Union (EU), which Italy belongs to. Once the customs officer reviews your paperwork and stamps your form, you can receive the refund in cash or by credit card. Details on the process can be found here: Guide to VAT Refund for Visitors to the EU.
For this trip, we would spend a few days in Milan and then a few days in Zurich, traveling to Zurich by train. While in Milan, I shopped for my luxury goods at Rinascente Milano Piazza Duomo. On the sixth floor of this mall, there is an area where you can start the process at a kiosk. There is a customer service team on hand to help and answer questions. You present your receipts and passport to obtain the Tax Free Form. Some stores, like Gucci, will do this for you before you leave their store.
This is the moment I realized that I could have a problem getting my refund! I didn’t consider that Switzerland is not a part of the EU. Customer service told me not to worry because I could get the VAT refund at the airport. However, I knew that would be impossible because we were leaving Milan by train. I feel defeated until I’m told that the train stops in Chiasso, Switzerland, where there’s a customs office. I still had a problem…our train from Milan to Zurich was direct – no stops! It was simpler than I expected to cancel the direct train for one that had a stop in Chiasso. Because these were now regional trains, the tickets had a window of time to be valid versus set times. I checked the schedules to ensure we had a 20-30 minute stop in Chiasso. Now, I was all set!
Here are the steps once you arrive in Chiasso.
Mission complete…now off to Zurich! Safe and Happy Travels, Tamara