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How airport shops have been passing VAT savings on to customers

Travel journalist Simon Calder talks about the great VAT airport controversy

'Retailers have been taking advantage of our compliant attitude in airports', says Simon Calder

'If you challenge them, you're told all kinds of nonsense.'

'Say you buy a bottle of sun cream for £6; the VAT is £1. If you're flying to Greece, the retailer pays that to treasury. But if you're going to Turkey – which the retailer can find out by scanning your boarding card – it stays in the retailer's pocket.'

3 minutes

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