Sales Tax Refunds Drawing More International Shoppers to Texas

Texas, San Antonio in particular is becoming a magnet for international shoppers due to quick, on-the-spot sales tax refund. Many tourists come to Texas to do their Christmas shopping to take advantage of the sales tax refund program.

Federal law allows sales tax refunds for foreign tourists as long as they take their purchases back to their country.

Foreign shoppers can walk in to Texas Tax Back, a family business and U.S. Custom broker, with their purchases, receipts, passports and other paperwork showing travel plans and walk out with a sales tax reimbursement.

Diana DeWall, VP, said “We provide the cash in our office right on the spot as long as we have an agreement with that retailer of where they have done their purchases.” This is an incentive for foreign shoppers and marketing tool for the state and local tourism industries.

In 2011, the amount of sales tax refunded to international shoppers in Texas was $66,896,648. So far for 2012 YTD is $60,194,209.

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