UK fintech startup Revenir AI has developed a white label app for banks to help travellers claim back VAT on purchases made abroad automatically using their phones.
Each year billions of pounds in VAT and similar taxes is left unclaimed by UK shoppers in Europe - because typically the recovery procedure is clunky, confusing and difficult to access.
CFO Miles Covers, says: “Many people don’t know they’re eligible to reclaim VAT on shopping in Europe; others don’t bother as it is too much hassle - so some 80% of VAT is left unclaimed by UK travellers abroad.”
The company has developed a white-label app for banks so that they can automatically refund VAT to their retail customers via their debit or credit cards, in an average 48 hours. Whereas airport reclaims currently take hours of queuing and can incur fees of 40-70% and digital processes take weeks and involve much paperwork and copies of receipts, with commission typically 35% or more.
Revenir has raised £2.5m from shareholders and is expanding the platform, adding new destinations globally and in Europe.
Founder and CEO Shawn Du says: “We’ve used AI to transform a complex, rather off-putting process into an easy, fun way for bank customers to claim back tax while making travel more rewarding. The amounts can be small or large, but we believe almost everyone will use it in the coming years.”