How to instantly save 25% when shopping in Europe

If you’re a relative newbie to traveling around in Europe, here’s how to cut 10-25% off your shopping bill the next time you’re there. (And for the Canadian-philes here, you’ll save 7%).

The trick is getting a refund of the Value Added Tax (VAT). This is literally free cash that’s yours for the taking–though technically you paid the tax when you purchased your goodie. Europeans have to put up with the VAT, but as a tourist (assuming you’re not from the country you were shopping in), you’re entitled to a refund of the VAT.

To get your refund, you have to pick up a slip from the cashier when you pay for the item. Then you take it to the airport (or an office around town) where a VAT clerk will fork over the cash. There’s actually a huge company that handles most of the refunds, fittingly called Global Refund. One important point to keep in mind is you have to cash out your VAT slips in the same country–and not when you leave the EU. That means sometimes you’ll have to look extra-hard to find one of those Global Refund offices.
Here’s a break-down of how much you can save.

Country Value Added Tax Minimum Purchase Requirement
Belgium 21% 125€ or US$162
Canada 7% $200 CAN or US$160 *
Czech Republic 22% 2500 Czech Kroners or US$107
Denmark 25% 301 Danish Kroners or US$52
France 19.6% 175€ or US$227
Germany 16% 30€ or US $38
Italy 20% 155€ or US$201
Netherlands 6% or 19% 137€ or $178
Norway 24% 310 Norwegian Kroners or US$48
Portugal 19% 60€ or US $77
Spain 16% 90€ or US$116
Sweden 25% 200 Swedish Kroners or US$28
United Kingdom 17.5% 20£ or US$37