VAT refund to the foreign buyer - passenger
The conditions and manner of exercising the right to a VAT refund for a traveler who does not have neither a permanent nor temporary residence in the Republic of Serbia (hereinafter: traveler), for the goods purchased in the Republic of Serbia that are shipped abroad, are prescribed by the Law on VAT and the Regulation on Value Added Tax.
A traveler who ships goods purchased in the Republic of Serbia abroad in personal luggage, for non-commercial purposes, is entitled to a VAT refund, if:
1) the goods are shipped before the expiry of three calendar months following the expiry of the calendar month in which the goods were sold;
2) the total value of the delivered goods is equal to or greater than RSD 6,000, including VAT;
3) he/she has evidence that he shipped them abroad.
Personal luggage is considered luggage in which a traveler ships purchased goods abroad. The type and quantity of the goods must not be such as to indicate that they are goods for commercial purposes.
The total value of goods delivered is the value of goods expressed in one invoice or in multiple invoices of the same seller issued in the time period starting from the date of issuance of the first invoice and ending with the expiration of three calendar months following the calendar month in which the first invoice was issued.
The traveler is entitled to a VAT refund if he purchased the goods at the seller's premises where the seller carries out the activity of selling goods.
Evidence that the traveler has shipped the goods abroad is considered to be:
1) a traveler's request for a VAT refund in paper or electronic form issued in accordance with the Regulations, certified by the customs authority;
2) invoice for the deliverd goods.
As invoice is considered a document issued in accordance with the VAT Law, as well as a fiscal slip, i.e. a fiscal invoice issued in accordance with the law regulating the recording of sale.
The seller charges the buyer the total value of the delivered goods, including VAT.
Issuing a VAT refund request
At the request of а travelerwho buys the goods,the seller of the good in the Republic fills and issues, i.e. makes (hereinaft1er: issues) VAT refund request, in paper form on the ZPPPDV form or in electronic form, on the document of the operator authorized by the seller before the sale of the goods to refund the VAT to the traveler.
Issuing a VAT refund request in paper form
The traveler's request for a VAT refund in paper form (ZPPPDV) is issued in three copies, of which the seller gives the original and one copy to the buyer, and keeps the second copy in its documentation. In this case, the invoice and the traveler's request for a VAT refund must be signed by the seller.
When leaving the customs territory of the Republic of Serbia, the traveler presents the purchased goods to the customs authority for inspection, as well as the invoice or invoices and the original and a copy of the traveler's request for a VAT refund issued in paper form.
Before confirming that the conditions for a VAT refund have been met by the traveler, the customs authority checks the data prescribed by the Regulations and, if the conditions are met, the customs authority certifies the original of the traveler's VAT refund request and the attached invoices with a signature and seal. The customs authority returns the original, i.e. the originals of the invoices and the traveler's VAT refund request to the traveler, and retains a copy of the traveler's VAT refund request for its own purposes.
Issuing VAT refund requests in electronic form
The seller may also issue a VAT refund request from a traveler in electronic form, on a document from an operator authorized by the seller to refund VAT to the traveler prior to the sale of the goods. The seller prints a copy of the request issued in electronic form and hands it over to the buyer, in which case the request and invoice do not have to contain the seller's signature.
When leaving the customs territory of the Republic of Serbia, the customs authority inspects the request in its information system, i.e. inspects the printed copy of the traveler's request for a VAT refund if there is an interruption in the functioning of the information system at that moment, and checks the data in order to confirm that the conditions for a VAT refund have been met.
If the conditions for a VAT refund are met, the customs authority shall certify the traveller's request for a VAT refund with an electronic seal in the information system, or shall certify the printed copy of the traveller's request for a VAT refund with a signature and seal, if there is an interruption in the functioning of the information system. The customs authority shall then return the invoice or invoices to the traveller, and if at the time of checking whether the conditions are met, due to an interruption in the functioning of the information system, it certified the printed copy of the traveler's request for a VAT refund with a signature and seal, the customs authority, in addition to the invoice, shall return to the traveler certified copy of the printed request for a VAT refund.
In the event that the customs authority determines that the conditions prescribed by the Regulation have not been met, it shall enter the date and reasons for rejecting the request in the traveler's request for a VAT refund and signs it.
Submitting a VAT refund request
The VAT paid by the traveler or other applicant shall be refunded if, within 12 months from the date of shipment of the goods abroad, if he/she provides the seller from whom the goods were purchased or the operator with documentation on which the customs authority has confirmed that the conditions for a VAT refund have been met.
By submitting the documentation, the traveler's request for a VAT refund is considered to have been submitted.
A traveler's request for a VAT refund can be submitted in person, by mail, or through another person. If a traveler's request for a VAT refund is submitted by mail, the traveler must specify the account to which the VAT refund will be made.
If the traveler's request for a VAT refund is submitted to the seller, the seller shall refund to the traveler the total amount of VAT paid as part of the consideration for the goods purchased in the Republic of Serbia (hereinafter: the total amount of VAT), with or without deduction for the seller's fee (commission).
If the traveler's request for a VAT refund is submitted to the operator, the operator hasthe right to charge a fee (commission) from the traveler on that basis, so that the traveler is refunded the total amount of VAT reduced by the amount of the operator's fee (commission).
The VAT refund to the traveler is made in RSD, in cash payment or by payment to the account specified in the traveler's VAT refund request submitted by mail.
Cash payment is made immediately, and payment to the account within 15 days from the date of receipt of the traveler's VAT refund request.
The traveler, or another person through whom the traveler submitted the traveler's request for a VAT refund to the seller or operator, confirms on the original of the traveler's request for a VAT refund by signing that the VAT has been refunded in cash, and if the traveler's request for a VAT refund was issued in electronic form by an appropriate confirmation in the information system.
Examples:
Example 1: If a traveler purchased certain goods on May 17, 2021, they will be entitled to a VAT refund if:
1) he/she ship the goods abroad no later than August 31, 2021,
2) the value of the goods is equal to or greater than RSD 6,000, including VAT
3) he/she has evidence that they shipped the goods abroad (evidence includes: the traveler's request for a VAT refund in paper or electronic form, as well as the invoice)
If the traveler sends the goods abroad, e.g. on August 15, 2021, he will exercise the right to a refund if he submits the documentation for the refund no later than August 14, 2022. The documentation is submitted in paper form to the seller (directly, by mail or through another person), and in electronic form to the operator..
Example 2: If a traveler has purchased certain goods from the same seller multiple times and if he received the first invoice on May 17, 2021, and the last on August 25, he will be entitled to a VAT refund if:
1) he/she ships all the goods purchased from the same seller abroad no later than August 31, 2021,
2) the total value of the goods purchased from the same seller is equal to or greater than RSD 6,000, including VAT
3) he/she has evidence that he shipped all the goods purchased in the period from May 17 to August 25, 2021 abroad (as evidence is considered: the traveler's request for a VAT refund in paper or electronic form, as well as the invoice)
If the traveler sends all goods abroad, e.g. on August 15, 2021, he/she will be entitled to a refund if he/she submits the documentation for the refund no later than August 14, 2022. The documentation is submitted in paper form to the seller (directly, by mail or through another person), and in electronic form to the operator.