UK airport VAT scam
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Dublin airport has duel pricing
ARRRGGGGHHHHHHH DUAL...as in 2 ...... DUAL, ok?
A bottle of Absolut Vodka is €29 if flying within the EU; same bottle just €14 if flying outside the EU.
but the Vat and Duty are considerably more, so they are still creaming-off an inflated margin.
Don't forget, the airport operators have a vasted interest in the whole ripoff....their rental demands are based on how much their tenants can fleece the punters for.....likewise the local Authority can base the valuation for Rates, on how lucrative the site is....witness the debacle over the ransomed Jodel....there is a massive difference in the rates on an active airport and the same piece of Real Estate, not being used for that purpose.
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WH Smith appear to be accident prone (that's the polite word): WHSmith accused of exploiting vulnerable patients over prices in its hospital stores - Home News - UK - The Independent
Yes. But in a way the retailers are just bystanders in the situation. The hospital, just like the airport, lets out the retail concessions to the highest bidder. The same applies to car park operators and similar services at both types of places. So the main organisation looks to skim sometimes millions from their retail concessionaires, and then looks the other way when there is criticism because the branding is WH Smith or whoever.
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A very good point WHBM. As evidenced by this (sort of related) information: Train station toilets making up to £2.3 million by charging desperate travellers to spend a penny - Home News - UK - The Independent
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Our beloved Chancellor responds ...
George Osborne launches a review into airport shops that fail to pass on VAT savings | UK | News | The Independent
... methinks he'll do more about this than corporate tax evasion.
George Osborne launches a review into airport shops that fail to pass on VAT savings | UK | News | The Independent
... methinks he'll do more about this than corporate tax evasion.
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Actually it's just needs some programming to deduct the VAT from the retail price, when an ex-EU boarding card is presented. Or if on an ex-EU flight. A couple of signs in the shops explaining the situation or some notes on the airlines price lists.
Simples.
Simples.
Cash registers in the US have always been perfectly happy to add sales tax (sometimes two) without any previous notification to the purchaser [illegal in the UK] so, given that most cash registers nowadays are standard electronic products made in China, it should be straightforward to put in a negative percentage associated with scanning a relevant boarding card.
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Both ExXb and WHBM state what could be done. Since the practice should not happen under existing rules, it would appear (I sit to be corrected) that the Treasury only has to say, "Fix this and do so within 6 months" But having an 'review' is so much nicer for the politicians as then they don't have to make a decision. 
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...Similar to what they do with their 'inquiry' into LHR/LGW expansion! 
Seems anything aviation related the government does some review or investigation which ultimately wastes time, money and ends in nothing.
Seems anything aviation related the government does some
review or investigation which ultimately wastes time, money and ends in nothing.
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Cash registers in the US have always been perfectly happy to add sales tax (sometimes two) without any previous notification to the purchaser [illegal in the UK]
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Thinking about it, the systems are already programmed.
If an EU boarding card is presented, the system allocates the net price to an earned revenue account and the VAT amount to a Tax account to be submitted to the government. An EX-EU boarding card would trigger a similar split, but the VAT going to the pockets of the greedy slime-buckets running these companies. (Airlines included)
If an EU boarding card is presented, the system allocates the net price to an earned revenue account and the VAT amount to a Tax account to be submitted to the government. An EX-EU boarding card would trigger a similar split, but the VAT going to the pockets of the greedy slime-buckets running these companies. (Airlines included)
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This is an interesting point and may show why airport pricing for a wide range of goods is as high as it is.
There is a certain Caribbean airport we've passed through half a dozen times over the past decade.
Up until about six years ago, the concourse shops offered really sharp pricing on booze and cigarettes.
That all changed one day and prices are now more in line with those found in the states.
There are still deals to be had on a few items, particularly the inevitable local rum, but the overall potential savings are pretty well gone.
Could it be that the airport operator saw an opportunity to increase lease rates as leases came up for renewal and the retailers followed with increased prices?
We tend to blame the stores, but they operate only under the hand of the owner of the premises.
There is a certain Caribbean airport we've passed through half a dozen times over the past decade.
Up until about six years ago, the concourse shops offered really sharp pricing on booze and cigarettes.
That all changed one day and prices are now more in line with those found in the states.
There are still deals to be had on a few items, particularly the inevitable local rum, but the overall potential savings are pretty well gone.
Could it be that the airport operator saw an opportunity to increase lease rates as leases came up for renewal and the retailers followed with increased prices?
We tend to blame the stores, but they operate only under the hand of the owner of the premises.
I once tried to buy something (a child's toy) in Schiphol on arrival; you walk through the same area as the departing passengers. The shop absolutely refused to serve me without a boarding card for a departing flight.
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Don't get too excited by:
The Independent's campaign pays off for airline passengers as WHSmith hands back VAT to travellers | Travel | The Independent
as:
The Independent's campaign pays off for airline passengers as WHSmith hands back VAT to travellers | Travel | The Independent
as:
At airport branches of WHSmith, passengers flying beyond Europe will get a discount – but only for items costing £6 or more.
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The Independent has followed up on this story:
Boots airport stores to stop charging VAT on items after being caught in tax rip-off | The Independent
Boots airport stores to stop charging VAT on items after being caught in tax rip-off | The Independent
