Apple’s iPhone 17 is hands down the most anticipated tech gadget of 2025 and its launch has only generated a massive global buzz!
And while you can definitely buy this latest iPhone in India, there are several other countries where you can get iPhones and other tech gadgets for much cheaper prices.
However, when making a big-ticket purchase abroad, tourist buyers must be aware of the Value Added Tax (VAT) that is levied on their products.
Knowing about VAT and getting a refund on the same can help you save tons of money, and we’re not even kidding! If you’re planning to buy an iPhone abroad and then bring it to India, here is a helpful iPhone 17 VAT refund guide for you!
Shop Abroad And Still Save Bucks: iPhone 17 VAT Refund Guide
What Is VAT Exactly?
VAT stands for Value Added Tax and as the name suggests is a tax levied on each production process of goods or services. While VAT is similar to sales tax, it is applied throughout the process of a good’s production (unlike sales tax), with consumers paying a percentage of the tax upon sale.
In some countries in Europe, this tax is as high as 20-25%, while in some other countries like Saudi Arabia, it is as low as 5-10%. VAT is levied on all products, regardless of whether they are consumed within the country or taken outside for consumption.
However, when goods are taken outside for consumption, i.e. exported, tourists have the opportunity to get VAT refund. Many countries allow tourists to claim a VAT refund, given the product they have purchased in that country is unused, unopened, and the tourist has a valid invoice and other supporting documentation.
What Is A VAT Refund Scheme/ VAT Return Scheme?
When a tourist makes a purchase abroad, they still have to pay VAT at the time of the purchase. However, at the time of departing from that country, they are eligible for a VAT refund.
What this means is that the VAT amount that the tourist buyer paid over the retail price of a product becomes eligible for a refund.
For a VAT refund scheme to work, the product must first be eligible for the same. Not all products assure a VAT refund – some services like meals and hotels are not eligible for a refund.
Many countries usually have a lower limit on the purchase amount for VAT-eligible products – buyers must spend a minimum amount buying that product to gain a VAT refund.
This usually means that big-ticket purchases like mobile phones, laptops, cameras, wine, luxury clothing, and other such products can fetch you a VAT refund.
Where Is iPhone Cheaper Than In India?
| Phone Model | Cost in India | Cost in the US | Cost in the UAE | Cost in Vietnam | Cost in Malaysia | Cost in Japan | Cost in Hong Kong |
| iPhone 17 | INR 82,900 onwards | INR 70,409 onwards | INR 81,682 onwards | INR 83,500 onwards | INR 83,529 onwards | INR 77,070 onwards | INR 78,081 onwards |
| iPhone 17 Pro | INR 1,34,900 onwards | INR 96,846 onwards | INR 1,12,923 onwards | INR 1,16,970 onwards | INR 1,14,860 onwards | INR 1,06,943 onwards | INR 1,06,362 onwards |
| iPhone 17 Pro Max | INR 1,49,900 onwards | INR 1,05,658 onwards | INR 1,22,535 onwards | INR 1,26,996 onwards | INR 1,25,304 onwards | INR 1,15,904 onwards | INR 1,15,416 onwards |
| iPhone Air | INR 1,19,900 onwards | INR 88,034 onwards | INR 94,994 onwards | INR 1,06,944 onwards | INR 1,04,417 onwards | INR 94,994 onwards | INR 97,322 onwards |
In the table above, you can get a clear comparison of iPhone 17 prices in India and some other countries like Malaysia, the US, Japan, and more.
These countries make purchasing an iPhone significantly more affordable thanks to lower manufacturing costs, currency value, low sales tax, or a completely tax-free regime (Hong Kong).
However, when making a purchase, make sure to check if the store you’re purchasing from is a participating store for a VAT refund. If the store does not participate in this process, you might not be eligible for a refund.
If you’re purchasing an iPhone 17 in any of these countries, not only would you get it for way cheaper but also save on some more money through VAT refund!
Isn’t that simply so economical?
You May Also Like: iPhone 17 Price Comparison India vs Other Countries
iPhone 17 VAT Refund Scheme: Tips For Shopping
- Keep your passport handy at the time of purchase.
- Double-check whether the store is participating in the VAT refund scheme by inquiring directly.
- Duly fill out the GST Refund Form in case they hand it out to you.
- Keep purchase receipts and the GST Refund Form safe with you as you’ll have to present them at the time of the VAT refund.
- Your purchased good(s) must either be unopened or unused in the country you purchased it in.
- At the time of your departure, make sure to keep that purchased product handy, as it will be inspected by authorities. Do not pack it with your checked luggage before the Customs officer inspects it.
- Reach the airport a little early as inspection and VAT refund might take some time.
iPhone 17 VAT Refund Guide: Country-Wise Comparison
Malaysia
In Malaysia, VAT is known as the Sales and Service Tax (SST), but for the convenience of our readers, we shall use the term ‘VAT’ to refer to SST in this context.
VAT rate: 6%
Conditions for VAT refund:
- A minimum spend of RM 300 (INR 6,263 approx) in a single receipt at a participating store.
- Purchases must be made within 3 months before departure from Malaysia and items must be taken out of Malaysia within 3 months of purchase as well.
- Buyer must depart from an international checkpoint in Malaysia.
United Arab Emirates
UAE is one of the best countries to buy an iPhone 17 for way cheaper than in India. With a streamlined VAT refund scheme, tourists can easily claim a refund and save on a ton of money. Note that, once eligible for a VAT refund, you’ll get 85% of the VAT.
VAT rate: 5% on most purchases
Conditions for VAT refund:
- A minimum spend of AED 250 (INR 5,994 approx) at a participating store.
- Purchases must be made within 90 days before departure from the UAE.
- Buyer must depart from an international checkpoint in the UAE.
Japan
VAT in Japan is known as the Consumption Tax, but for the convenience of our readers, we shall use the term ‘VAT’ to refer to Consumption Tax in this context.
VAT eligible items are classified in two categories – General items and Consumables. General items are goods like home accessories, appliances, bags, tech products, shoes, watches, etc. On the other hand, consumables refer to cosmetics, foods and beverages and confections.
VAT rate: 10% on most purchases
Conditions for VAT refund:
- A minimum spend of 5,500 Yen (INR 3,258 approx) for general items at a participating store.
- A minimum spend of 5,500 Yen to 550,000 Yen (INR 3,28,583) for consumables at a participating store.
- Your stay in Japan is for less than 6 months.
- Buyer must depart from an international checkpoint in Japan.
Vietnam
Vietnam is another country where you can easily claim your VAT refund. And with iPhone 17 being cheaper here than in India, you’ll end up saving even more than what you had anticipated.
VAT rate: 10% on most purchases
Conditions for VAT refund:
- A minimum spend of VND 2 million (INR 6,686 approx) per invoice or many invoices on the same day at the same store.
- Product is purchased within 60 days of departure from Vietnam.
- Buyer must depart from an international checkpoint in Vietnam.
United States (US)
Unlike many other countries where VAT is applied, the US does not have a VAT system – instead it levies a ‘sales tax’ on the product.
Only consumers must pay this sales tax and not retailers, as it is the consumer who will ‘consume’ the product in the end.
Moreover, the US allows each state to fix its sales tax rate, meaning not only do you not have a VAT refund system but also have to pay different rates for the same product in different US states.
Hong Kong
While the US does not have a VAT system in the first place and levies (non-refundable) sales tax instead, Hong Kong does not levy any tax at all!
Yes, this means that Hong Kong is a tax-free place to shop till you drop! With no tax on goods, tourists do not have to worry about VAT refunds and going through the refund process.
What price you see at the Apple Store here is the final price, and you need not worry about extra taxes being levied on your beloved iPhone 17!
Summing Up
We hope you found the iPhone 17 VAT refund guide super useful! We’ve not only helped you understand what VAT is and how it works, but also guided you through essential tips for claiming a VAT refund.
While Hong Kong is tax-free and the US does not offer a VAT refund, countries like Japan, Vietnam, Malaysia, and the UAE have their own VAT refund scheme.
So, if you’re buying the much hyped iPhone 17 lineup in any of these countries, keep your documents ready, keep your iPhone product unused, and get a VAT refund in a few simple steps!
