Airport shops are being urged to pass VAT savings on after it emerged some are keeping the extra money they earn when customers show boarding passes.
Passengers are asked to do this so retailers can identify who is flying to non-EU countries and avoid paying 20% VAT on customers' purchases. Treasury minister David Gauke said VAT relief at airports was intended to reduce prices for travellers. He warned it was not meant to provide a windfall gain for shops. Passengers do not legally have to show their boarding pass when buying goods at the airport. The Independent newspaper has claimed that thousands of passengers are now refusing to show them as part of a "grassroots rebellion". The newspaper's travel editor, Simon Calder, told BBC Radio 5 live: "If you take a £6 bottle of sun cream the VAT element is £1......Read more here