September 03 Friday 2010
 
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Sales Tax
 

Sales tax, or value added tax - VAT (IVA in Italy) - is 20% on most goods. Most prices are always IVA inclusive. Only telecom companies have picked up on the bad habit of omitting tax from their prices.

VAT Exemption
Value added tax - VAT (IVA in Italy) - is 20% on most goods. It is possible for non EU citizens to obtain an IVA refund for large purchases, but be prepared for some paperwork. The simplest method is to shop at a place displaying the "Euro Free Tax" Sign. Present your passport when you make your purchase, and fill in a form from the shop; the shop then deducts the IVA, gives you a copy of the form, and sends their copy to the Euro Free Tax Organization in Milan which will then deal with the paperwork. If you wish yo buy something from a shop which is not part of the "Euro Free Tax" scheme, you must get the Italian customs to stamp the vendor's receipt at your departure, showing them the purchased article, and then post the stamped receipt back to the shop, who should then send you a refund.
 
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