Tax free Shopping, what is it?

Tax Free Shopping is a service enabling all foreign travelers non-EU citizens to reclaim the VAT charged on their purchases of goods for personal use. Tax Free Shopping is applied in Bulgaria under ordinance H-12 dated 24.08.2006 regulating the procedure and documents for refund of value added tax charged to and paid by foreign natural persons for goods purchased and exported by them from the territory of the country in their personal luggage for personal use in unchanged type. More for the Tax Free Shopping service →continue reading →

Why VAT is recoverable in EU and what is VAT?

Value Added Tax (VAT) is an indirect tax levied on your foreign business expenses and raising the cost on the average of 20% depending on VAT rate applied in the particular country. Generally the cost is ultimately borne by the final consumer and there for VAT is neutral to the companies taking part in different stages of economic chain of supply. However the process is not automatic and companies will not incurred foreign VAT unless they go through the effort to recover their foreign VAT costs. In the early 90s the European legislation…continue reading →