Who can claim VAT Refund?
VAT refund can be claimed by any Non-Nepalese tourist fulfilling the following conditions:
The person is neither citizen of Nepal nor resident of Nepal,
The person is not a cabin/flight crew member of an airline departing from Nepal.
The person is not employed in Nepal in past six months,
The parson is departing from Nepal by air carrier from Tribhuvan International Airport.
The person has been in Nepal for less than 183 days.
How to shop and get your VAT Refund?
Shop from the stores displaying “VAT Refund for Tourist” sign.
Each invoice must not be less than Rs. 1,500.00 (excluding VAT) and total amount of Purchases must be at least Rs. 15,000.00 (excluding VAT).
Present your passport and complete your “Tourist Application for VAT Refund” form at the store on the purchase date.
Present two copies of “Tourist Application for VAT Refund” form stamped by Nepalese Customs together with original purchase tax invoice and photocopy of claimant passport showing name, nationality, passport number and Nepal entry and exit dates before VAT Refund Agency Office at Tribhuvan International Airport.
VAT Refund only applies to goods taken out of Nepal within 60 days from the date of purchase.
How to claim a VAT refund?
Before check-in, show your purchases, completed “Tourist Application for VAT Refund” form and Tax Invoices to the Customs Officer for inspection at the Custom Office.
Hand-carried goods such as watch, camera, etc., must be re-inspected at the VAT Refund Office at Tribhuvan International Airport (after immigration).
Present your “Tourist Application for VAT Refund” form certified by the Custom Officer to the VAT Refund Office.
How will the Refund be paid?
You can choose to receive your Refund by:
|Refund Amount||Refund Method||Fees deductible from refund requests|
|Not exceeding Rs. 20,000.00||Cash at the refund counter at the International Airport||Rs. 500.00|
|Exceeding Rs. 20,000.00||Bank Draft to be delivered at the address mentioned in the refund application.||Rs. 500.00 pIus bank’s commission on foreign exchange and draft issuing fee.|
What do not qualify for VAT refund?
Goods or services consumed in Nepal
Goods not take out of Nepal within 60 days from the date of purchase date
Person departing via land route do not qualify for VAT refund.
Rastriya Banijya Bank
Foreign Exchange Counter at Departure Lounge (after immigration)
Any foreigner leaving Nepal through Tribhuvan International Airport can sell their surplus Nepalese currency at the counter of Rastriya Banijya Bank at the Departure Lounge (after immigration).
How to avail this service?
a. The person is neither Nepalese nor Indian.
b. The person must surrender Foreign Exchange Encashment Receipt (FEER) before the exchange counter.
c. Nepalese Currency sought to be sold at the exchange counter should not exceed the amount purchased before. This has to be substantiated from the FEER together with the reduction(s) mentioned in the FEER.
d. The person must present valid passport for the verification at the exchange counter.
e. The person will be entitled for foreign exchange at prevailing bank's selling rate, subject to availability of the desired currency. In the case on non-availability of the desired currency the person may be requested to accept alternative foreign currency.