Have you ever had a tax refund when you spend abroad? In Europe, you need to fill out a large number of tax refund documents and then refund the tax at the window. But when choosing the tax refund channel, you will find cash tax refund, Alipay tax refund or credit card tax refund. So is the credit card tax rebate appropriate?
Credit card tax refund is more convenient, because if you choose cash tax refund, you can get the cash in hand, and if you change the currency of the host country when you return home, there will be corresponding exchange losses. If the credit card tax is refunded, the corresponding money can be directly refunded to the credit card, which is equivalent to a certain tax refund.
However, there is actually a big loophole in the credit card tax rebate. The tax refund is actually calculated in euros, but when you return to your credit card, if your credit card is a dual-currency credit card with US dollars and RMB, there will also be exchange rate loss between the euro and US dollars, while if your credit card is a UnionPay credit card, the exchange rate of tax refund is actually different.
Moreover, because the specific process of credit card tax refund is not clear and the time is long, it may be more direct and reassuring for those who are unwilling to wait. So the choice of cash tax refund or credit card tax refund depends on your actual situation.
How to withdraw the US dollar tax refund from the credit card?
The tax refund methods of foreign credit cards include cash tax refund (usually in local currency), tax refund into credit cards and mailing checks.
1. The top check of the store's GlobalTaxFreeCheque is blue, indicating that the store supports cash tax refund;
The tax refund check is green, so if you want to refund the tax in this store, you can only choose to send a check or transfer by credit card.
3, credit card tax refund, the credit card submitted by tourists must be an international credit card, such as a credit card with VISA and MASTERCARD logo.
4. When using the international standard credit card for tax refund, the currency of tax refund is the currency used when swiping the card. If swiping the card, the US dollar will be refunded.
This money will be charged to the credit card account. If the money needs to be used in China, converting it into RMB will generate a currency conversion fee of 1%~2%.
Extended data
1. To apply for refund of overpaid US dollars, you need to withdraw money from a foreign currency savings account, which can accept US dollar bills under the cardholder's name, but cannot directly withdraw US dollar bills.
2. Credit card dollars can be processed at the automatic terminal of China Bank, put into the card, choose to settle foreign exchange, convert the card price of the day into RMB, and then withdraw money at the ATM.
3. The scope of export tax rebate is the products exported by China. All products for which product tax, value-added tax and special consumption tax have been levied or applied shall not be refunded or exempted unless explicitly stipulated by the state.
4. Tax refund amount = reinvested amount ÷( 1- actual applicable enterprise income tax rate and local income tax rate) × actual applicable enterprise income tax rate × tax refund ratio.