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| Version 1 | Version 2 |
|---|---|
| Airport shops urged to pass VAT savings on to customers | Airport shops urged to pass VAT savings on to customers |
| (34 minutes later) | |
| Airport shops are being urged to pass VAT savings on after it emerged some are keeping the extra money they earn when customers show boarding passes. | Airport shops are being urged to pass VAT savings on after it emerged some are keeping the extra money they earn when customers show boarding passes. |
| Passengers are asked to do so at tax-free shops in UK airports so retailers can avoid paying 20% VAT on purchases made by those flying outside the EU. | Passengers are asked to do so at tax-free shops in UK airports so retailers can avoid paying 20% VAT on purchases made by those flying outside the EU. |
| Treasury minister David Gauke said VAT relief at airports was intended to reduce prices for travellers. | Treasury minister David Gauke said VAT relief at airports was intended to reduce prices for travellers. |
| He warned it was not meant to provide a windfall gain for shops. | He warned it was not meant to provide a windfall gain for shops. |
| Passengers do not legally have to show their boarding pass when buying goods at the airport. | Passengers do not legally have to show their boarding pass when buying goods at the airport. |
| The Independent newspaper has claimed that thousands of passengers are now refusing to show them as part of a "grassroots rebellion". | |
| The newspaper's travel editor, Simon Calder, told BBC Radio 5 live: "If you take a £6 bottle of sun cream the VAT element is £1. | |
| "So if you fly to Greece, the retailer pays that to the government, if you fly to Turkey and the retailer can find out, then it goes straight into their pockets - nothing illegal about it at all but I will always challenge it." | |
| He said "all kinds of stories" have been given by retailers to explain why passengers should show their boarding passes, including that it is for security reasons, which he said is "complete tosh". | |
| Mr Calder added: "They [retail staff] have just been told 'you have to ask for a boarding pass', which is why you get nonsense like when you buy a book or a magazine or newspaper and there is no VAT anyway, and they still want to know where you are flying to - even though it doesn't make the slightest bit of difference to anybody." | |
| Money Saving Expert founder Martin Lewis said: "People withholding their boarding passes will force companies to take note and eventually take action." | Money Saving Expert founder Martin Lewis said: "People withholding their boarding passes will force companies to take note and eventually take action." |
| Mr Lewis told BBC Radio 2's Jeremy Vine programme that travellers should ignore claims by retail staff that showing a boarding pass is obligatory. | Mr Lewis told BBC Radio 2's Jeremy Vine programme that travellers should ignore claims by retail staff that showing a boarding pass is obligatory. |
| "You're not protecting the sanctity of Britain by giving them your boarding pass, you are enabling the commercial company to get a reduction on its tax bill," he said. | "You're not protecting the sanctity of Britain by giving them your boarding pass, you are enabling the commercial company to get a reduction on its tax bill," he said. |
| A spokesman for Boots, one of many retailers who operate in UK airports, said the company did claim back some VAT for non-EU passengers but added that this was in accordance with the rules set out by the government. | A spokesman for Boots, one of many retailers who operate in UK airports, said the company did claim back some VAT for non-EU passengers but added that this was in accordance with the rules set out by the government. |
| WH Smith said it would be impossible to have a pricing system which distinguished between travellers to EU and non-EU destinations. | WH Smith said it would be impossible to have a pricing system which distinguished between travellers to EU and non-EU destinations. |
| What is your reaction to this story? Have you refused to show your boarding pass when buying goods? You can share your comments by emailing haveyoursay@bbc.co.uk. | What is your reaction to this story? Have you refused to show your boarding pass when buying goods? You can share your comments by emailing haveyoursay@bbc.co.uk. |
| Please include a contact number if you are willing to speak to a BBC journalist. You can also contact us in the following ways: | Please include a contact number if you are willing to speak to a BBC journalist. You can also contact us in the following ways: |