Claiming VAT back on purchase by non-EU citizen with UK further leave to remain visa?

nik_k

I have a question which I'm sure someone in the know must be able to answer. My wife is a non-EU citizen, who currently has a UK visa giving her further leave to remain in the UK. She therefore has a non-EU passport. We are flying back to her country for a month's holiday later this year. Is she eligible to purchase goods in the UK, and reclaim the VAT upon exit? It looks to be a bit of a grey area in terms of the HMRC guidance. She could be argued to be an overseas visitor, in that she could be asked by UKVI to leave the UK, but her home/the place she lives is currently the UK. Any ideas?

Sibbers123

'a months holiday'

Will she be bring the items back to the UK on her return, if so then no, she cannot claim the VAT on departure.

If she did claim VAT on departure, and subsequently brought the items back into the UK on her return, she would be committing fraud.

I wouldn't be surprised if there was some sort of flag on individuals claiming VAT on departure and then returning to the UK shortly after.

sheramber

https://www.gov.uk/guidance/claim-vat-back-on-tax-free-shopping-in-the-uk-notice-7041

00ec25

nik_k wrote: »

It looks to be a bit of a grey area in terms of the HMRC guidance.

what is the context of your question?

is she looking to take gifts to her home country and buy them VAT free in the UK?

Is she looking to claim VAT free on stuff she intends to buy in the UK and then bring back into the UK with her in 1 months time?

I agree the first is grey, the second is presumably because you are colour blind since both residency and timelimits are crystal clear in that context.

molerat

your home, or the place you live, is outside the EU
can show that you’ll be staying outside the EU for at least 12 months

Clear cut to me

nik_k

Sibbers123 wrote: »

'a months holiday'

Will she be bring the items back to the UK on her return, if so then no, she cannot claim the VAT on departure.

If she did claim VAT on departure, and subsequently brought the items back into the UK on her return, she would be committing fraud.

I wouldn't be surprised if there was some sort of flag on individuals claiming VAT on departure and then returning to the UK shortly after.

No, she wouldn't bring the item(s) back to the UK...it'd be a gift for family back home.

nik_k

00ec25 wrote: »

what is the context of your question?

is she looking to take gifts to her home country and buy them VAT free in the UK?

Is she looking to claim VAT free on stuff she intends to buy in the UK and then bring back into the UK with her in 1 months time?

I agree the first is grey, the second is presumably because you are colour blind since both residency and timelimits are crystal clear in that context.

Nope, she'd buy in the UK, take to family back home, then come back to the UK empty-handed

Sibbers123

As stated above, your wife cannot reclaim the VAT because the below conditions are not met;

Your home, or the place you live, is outside the EU, and
You’ll be staying outside the EU for at least 12 months

nik_k

Sibbers123 wrote: »

As stated above, your wife cannot reclaim the VAT because the below conditions are not met;

Your home, or the place you live, is outside the EU, and
You’ll be staying outside the EU for at least 12 months

The more I read into it, the more I'm inclined to agree.

BTW, you've mixed up 2 different rules there - the first belonging to overseas visitors, and the second belonging to overseas residents studying or working in the UK/EU residents.

Thanks all for your assistance!