Tax free shopping

Outlines Adyen's Tax Free Shopping solution for POS.


Offer Tax Free Shopping (TFS) to boost your revenue and improve shopper journeys. You can offer TFS in an integrated setup and in collaboration with your POS and Tax Free Provider (TFP). 

Overview

Tax Free Shopping allows your customers to buy goods in a foreign country and obtain a refund of the sales tax that has been collected by the retailer on those goods. You can offer TFS in an integrated set-up and in collaboration with your Tax Free Provider (TFP). 

Set up Tax Free Shopping

  1. Contact your Account Manager or Adyen Support to understand Tax Free processes.

  2. Contact your Tax Free Provider to set up a Tax Free process. The Tax Free Provider will need to agree as it will pay out to your shoppers directly.

  3. Organize a meeting with Adyen and your POS provider to scope the solution from a technical standpoint.

Flows

We support the following tax free journeys: 

  • Regular tax free refund: the shopper receives a tax free form and hands this in at the airport to receive the funds in their bank account. 
  • Fast tax free refund: the shopper receives the funds back from the tax free provider within 48 hours. 
  • Instant tax free refund: the shopper receives an instant refund and pays the amount of the product minus the VAT at the POS.

    With both the Fast and Instant refund, the shopper receives the funds before sending in the tax free form and proof of export.

Regular Tax Free refund flow 

The shopper receives a Tax Free form and hands this in at the airport to receive the funds using their chosen payment method. Adyen supports this journey by sharing the issuing country code and BIN number of the shopper’s card. The POS uses this information to notify the store associate that a foreign card was detected and prompts them to initiate the discussion with the shopper.

Fast Tax Free refund flow

The shopper receives the VAT refund from the TFP, on the card they used for payment, within 48 hours. Adyen supports this journey by sharing the issuing country code, card expiry date, and BIN number of the shopper’s card.

Instant Tax Free refund flow

The POS deducts the VAT amount from the totals payable, and the shopper does not pay VAT. Adyen supports this journey by sharing the issuing country code, card expiry date and BIN number of the shopper’s card, and accepts a communication from the POS to adjust the final amount chargeable on the PED.