Concierge Travel Group (CTG), a progressive and highly connected full-service travel company in Australia, and VAT IT, the global leader in cross-border VAT and tax recovery, estimate that Australian businesses are missing out on up to A$500m* every year of unclaimed VAT recovery.
Australian businesses are entitled to reclaim foreign paid Value Added Tax (VAT) incurred on a range of regular business travel expenses such as hotels & accommodation, transport, food and drink and participation in trade shows, conferences and/or exhibitions. Australia has reciprocal tax arrangements with over 20 countries, including Canada, Japan, South Korea, Taiwan and most of Europe.
Because the process of reclaiming foreign VAT can be complex and requires dealing with each country’s tax authority, many businesses are unaware that they are even entitled to reclaim these funds, let alone are able to successfully do so. Instead the VAT is written-off as an expense rather than being recovered as cash.
VAT IT provides a simple, seamless, ‘no recovery, no fee’ service to Australian businesses (regardless of their size or spend) to easily reclaim VAT for their international business travel. VAT IT processes and collates the claims of thousands of companies worldwide and handles the detail and complexity of filing claims with the VAT authorities of each country. A simple agreement with VAT IT is all that is required to start getting back some of the money your business has already spent.
With some European countries’ VAT rates as high as 25%, Australian businesses with international T&E expense could stand to recover significant amounts of cash. Most countries allow claims going back a prior year, provided that the relevant filing dates are met. Act NOW and let VAT IT handle the processing of your overseas VAT claims so that your business does not miss out on a whole years’ entitlement and recover your share of the A$500m pool!
