London-headquartered fintech Revenir has built and launched a new AI-driven app for its banking clients that allows their customers to swiftly reimburse VAT via debit or credit cards.
The automated VAT reclaims platform is aimed at large retail banks across the UK and Europe.
It is designed in a way that banking clients to which the financial institutions offer the feature can automatically claim VAT refunds on purchases made abroad.
The platform streamlines “the cumbersome VAT reclaim process through partnerships with tax authorities and financial institutions,” explained Shawn Du, the founder and chief executive officer of Revenir.
“By offering a white-label app for banks, Revenir enables refunds directly to customers’ debit or credit cards, with claims processed in as little as 48 hours,” he said.
‘Long and frustrating queues’
Du revealed that he came up with the idea to simplify this process after experiencing “long and frustrating queues” to reclaim VAT at Heathrow Airport.
During an MBA degree at Imperial College London, the young entrepreneur worked out the plans with co-founder Miles Covers and so Revenir was born.
The startup was launched with the idea to simplify financial services through the use of rapidly emerging technologies such as AI, with improving efficiency being the key driver.
“We have used artificial intelligence to transform a complex, rather off-putting process into an easy, effective way for banks and their customers to claim back tax while making travel more rewarding,” Du (left) noted.
“The amounts can be small or large,” he continued, adding that “I believe almost everyone will use it in the coming years.”
Du went on to point out that many bank customers do not know or realise they are eligible to reclaim VAT on shopping across Europe, others “do not bother as it is too much hassle, so some 80 per cent of VAT is left unclaimed by UK travellers abroad.”
While Revenir’s new AI feature enables banks to process returns within around 48 hours, Du continued, he said that in contrast, airport reclaims often entail lengthy queues and fees ranging from 40 to 70 per cent.
“Traditional digital processes can take weeks, involving extensive paperwork and receipt copies, with commissions usually exceeding 35 per cent,” he pointed out.
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