If someone had told me eight years ago when I first started blogging that one day I’d write a post about buying a CHANEL bag I’d have thought they were crazy. Me? The proud owner of the pinnacle of all designer handbags? No way.
I’ve always been a fan of CHANEL and have admired the brand’s coveted quilted bags from afar for years. After falling head over heels in love with my go-to beige Saint Laurent Lou Lou quilted bag (my 26th birthday gift to myself) I knew that I eventually wanted to invest in a similar classic black style. The first purse to come to mind? A timeless CHANEL Classic Flap Bag of course.
I think we can all agree that when considering a very large purchase (in this case a 4-figure handbag) it’s probably best to take your time and do your research before pulling the trigger. A quick browse of luxury handbag blogs and purse forums quickly revealed to me that the most cost effective way to buy a new CHANEL bag was to purchase it OUTSIDE of the United States. Buying designer goods abroad allows American shoppers to avoid expensive U.S. state sales taxes (NYC is 8.875%!) and take advantage of slightly cheaper designer retail prices.
After doing that initial research, I tucked the info away in my back pocket knowing that I wanted to wait for the right international trip to finally invest in my dream bag. Well you all know the rest is history because a few weeks ago in Paris I did just that! Even after walking into the CHANEL flagship store on Rue Cambon, I was still a little unsure if I would actually go through with it. I mean, it’s just SO much money. And for something so small at that!
Outfit Details // Anthropologie Tweed Coat c/o | Free People Bodysuit c/o | Distressed Jeans | Leather Slides| Kendra Scott Necklace c/o
I recognize what a privilege it is to be able to afford such a luxurious item and making the decision to spend such a significant amount of money on a material item is not something I take lightly. That said, I knew that if I was going to buy a brand new CHANEL classic flap bag, now was the time to do it. So I bought the bag! Ahhh!
After revealing my new treasure on Instagram stories and mentioning how I’d saved significantly by buying it abroad I was inundated with questions like: How much did I pay? What size bag did I buy? What would the price have been in the US? What’s a VAT Refund? Why are designer bags less expensive in Europe? All very good legitimate questions, but not ones I could answer off the top of my head. So here we are!
WHAT STYLE CHANEL BAG DID I PURCHASE?
I decided to go with the timeless CHANEL Classic Medium Flap Bag in black with gold hardware. I went with soft lambskin leather over the caviar. I know it’s a much more delicate material, but the caviar just felt so rough to me and given that I’ll only be using this bag on special occasions, I was willing to take the risk. I chose the medium because it’s not too big or too small and perfectly fits my checkbook wallet, iPhone, a lipstick and pair of sunglasses (in a cloth case.) Side note: this style is currently unavailable in the United States and there’s a waitlist for when it comes back in stock.
WHAT I PAID FOR MY CHANEL BAG IN FRANCE:
European Retail Price (including 20% VAT): $5,459.47
– 12% VAT Refund: $668.74
Total Cost: $4,791.47
WHAT I WOULD’VE PAID FOR MY CHANEL BAG IN NYC:
Retail Price (not including tax): $5,600.00
+ NYC Sales Tax (8.875%): $497.00
Total Cost: $6,097.00
TOTAL SAVINGS: $1305.53
I know. Insane right? When I was in the store buying my bag it was a little difficult to fully process how much money I was actually saving. Between the different currencies, exchange rates and then the VAT refund process– it was a bit confusing and part of me kept thinking that I’d just been excited for nothing and in the end it would be a similar price to if I’d purchased at home. Then I actually did the math and needless to say, I was completely shocked. I guess it was really worth it!
WHAT IS A VAT REFUND?
Value Added Tax (VAT) is basically the European Union’s version of sales tax. The standard VAT on retail merchandise in France is 20%, though this tax only applies to EU citizens. Residents of non-EU countries can request a VAT refund on any purchases over 175€ at a customs office before departing the country. If approved, you should see about 12% of the VAT fee you paid returned to your credit card within three months. Why not the full 20%? Sadly there’s an 8% administrative fee that automatically gets deducted from all VAT refunds, but hey 12% is better than nothing! PS I was very pleasantly surprised that I got my refund back in less than 2 weeks!
HOW TO GET A VAT REFUND
Designer stores in major European cities are very used to foreign shoppers wishing to take advantage of VAT refunds. At CHANEL I didn’t even need to ask for help or mention I was American (I mean it was obvious LOL.) While I was paying for my bag, my sales associate automatically walked me through the VAT refund process and provided me with all the necessary paperwork I needed to file my claim at the airport. If a store doesn’t provide you with the necessary documents at checkout, all you have to do is ask them for it!
The next step is to claim your VAT at the airport. You do this before going through security- just look for signs for the customs/VAT offices. Have your passport, receipt, refund paperwork and whatever you purchased ready to be reviewed by a customs agent. They’ll need to stamp your documents approving that you’re eligible for a refund. Once that’s done you turn in your documents and wait for your money. I did this using a pre-paid envelope that was provided by the agent that I then dropped in the refund box right there in the customs office. Make sure to take a photo of the documents on your phone before mailing them in, just in case something happens and you need proof!
MORE SHOPPING TIPS FOR BUYING DESIGNER ITEMS IN EUROPE
Make sure you use a credit card without foreign transaction fees. Certain credit cards will charge small fees on purchase made outside of the United States. These can really add up if you’re making large purchases, so make sure to check yours before your trip!
Do your research. I was very lucky that I was able to walk into the store and find the exact bag I wanted. Before your trip do your due diligence and call ahead to where you plan to shop to see if they have the items on your wish list.
Shop at department stores to easily meet the 175€ VAT refund minimum. To apply for a refund on purchases you need to spend 175€ or more at each individual store where you shopped. So even if you spent thousands of euros on your trip shopping for shoes, if each pair was bought at a different store for 100€ you would not be able to claim VAT, despite the total amount you spent on your trip. If you plan on snagging a bunch of non-designer items abroad, consider heading to a department store to get your shop on. This way you can snag multiple lower ticket items and still have your final receipt read 175€+.
What do you guys think of my new bag? Any other questions feel free to ask in the comments!
Olga says
It’s a beautiful, classic bag! I can’t believe how much you can save by purchasing in Europe! Thanks for the tips!
Olga
http://www.littlethingsolga.com
Nancy Goldstein says
Heading to Paris next month. Want to buy the double flap jumbo in black. Very helpful information.
Lauren says
Thanks for the information I’m headed to Paris in September and I’ve been doing the research. This helps me out greatly.
Kerry says
This is such great information ! I pull up your travel guides and packing info often , so helpful and simplifies the daunting task of packing and planning trips !
You should ditch the influencer game and become a virtuoso travel agent at some point. You and Nick are very detailed and good at it with your creation of maps and efficient itineraries!
Thanks again for such great content
Liz says
gorgeous bag and very informative post!
I currently have my eye on the saint laurent college bag as a possible 30th birthday present to myself next year xx
Ellie says
LOVE the bag-so classic and timeless!! My question is did you then claim the purchase when landing back in the states on the forms that they pass out? I did the whole VAT thing in Paris w a Gucci bag I had purchased but then thought I had to claim it at US customs and ended up having to pay.
Laila B says
I have the same question. Did you claim it at the customs? If so, how much did they charge you?
TerisC says
Wow, my heart skipped a beat when I saw the bag!!! It’s so stunning! I agree that the lambskin just looks and feels so much more luxurious! And thank you so much for the VAT tips! I’ve heard about it, but never knew how it really works. This is so helpful and now I’m just dreaming about my European shopping trip!
Julie says
Great post! FYI after not finding my size in that beautiful scalloped coat from Anthro, I was able to snag it in London while there for work. Fully stocked in the Anthro on Regent street for 190 pounds($249.71).
Cate says
Love this! Can you explain how you handled the us customs side of things? I got charged 3% tax on my purse when I declared in Boston.
Hayley says
Beautiful bag. Did you have to pay a duty tax above the declared amount you’re allowed to bring in when you came back to the US?
Kelleigh says
So happy for you! I have been wanting a Chanel bag for years. After working hard and saving for years, I still could not bring myself to purchase one. I was in Italy last October and learned of the price increase that went into effect November 1st. I decided there would never be a better time, so I bit the bullet and purchased the Classic Jumbo in black caviar. Your story made me laugh because I purchased while on a trip with my mom and FaceTimed my husband and 4am (TX time) for emotional support. When I got home, my husband asked to see the bag and I said he had to wait because I did not want to mess up the packaging. I didn’t open it for 2 weeks. Ha! Enjoy! And now I want to travel to Paris to buy my next one. ❤️ Take care!
Nancy says
Are you happy with the jumbo vs medium.
Naples Local Diva says
Thanks so much for this post!!! Good info to know. I’ve actually been in that very shop but alas didn’t purchase anything. One day!!! And yes the VAT refund is such an Incentive to wait . Thanks again ❤️
Elisa says
Love your bag! She is so beautiful!! Thanx so much for this post, it was really helpful. I been dreaming and saving for a Chanel bag for some years now and buying it in Europe would mean so much more. (And save so much more). Question, when you said you need to apply to get approved for VAT refund back, can they don’t approve you?
Brooke says
Can you do this with a LV bag too?
Michelle says
Obsessed! Going to Paris next week and this is so helpful. How much did you have to pay at US customs though? I think we only get $800 duty free but would love to know if I’m wrong? How did you handle the form asking the value of goods bought abroad?
Sarah says
If you are returning from countries other than the Caribbean countries or U.S. insular possession you are entitled to an $800 duty-free exemption and the next $1,000 worth of the goods you purchased is subject to a flat rate of 3%. If the value exceeds $1,800, the remaining duty will be determined based on duty rates in the harmonized tariff schedule, which are generally between 0-10% (except for clothing and textiles, which can be much higher, up to 25%).
So yes, you would need to pay a little bit when bringing it into the US (not included in the calculation). You would most likely still save a little bit but not as much.
Miche says
Katie: I’m a tax lawyer and am going to assume you just didn’t know you had to declare your bag on the US customs form. You should edit your post so that your US readers don’t accidentally commit tax fraud. I did the math and you would have ended saving around $20-$30 had you declared the bag as legally required to do so. I just don’t want any of your readers to be surprised or even worse caught by custom officers trying to do what you did.
Lana says
Miche-can you elaborate on how the bag was to be declared in the US? I am curious about the harmonized tariff schedule and the temporary tariff of 100 percent on certain goods from places in Europe, like France. Is the 100% tariff on the amount above 1,800 or above 800?
Janet says
I bought the Chanel 2.55 in Paris, declared it on the US customs form when I returned to the US and paid the required duty. Because the dollar was strong at the time, I saved a bit given the currency differential but not nearly as much as Katie did. As a lawyer, I’d echo the warnings from others. The penalties for failing to declare merchandise at customs can be substantial.
Ashley says
Beautiful bag! Did you have to wait in line at the airport when you went to collect your VAT refund? I’ve been told the lines can be long and was curious the total time that process took at the airport?
Marlie says
Hey Katie, couldn’t believe when I saw your new Chanel. I have the exact same purse that I bought in Bal Harbour seven years ago for $5000.00. One thing you don’t realize is how heavy the purse actually is. This is definitely a purse you pass down to your daughters.
MFashion says
Every European country has different minimum amount of purchase. Germany has 25€, so you can get vat refund from Zara if you wish. Also their percentage back is still 20% but you get 14%
Just in case you are interested for the future 🙂
Kimberley says
Amazing tips! I have just purchased my first Chanel pre-loved 🙂
Alivia Derek says
Chanel brand is my favorite. I am using all handbags are Chanel brand. I like this blog. It’s a piece of very nice information. Great Blog!
Rebeca says
Hello! Beautiful bag. Thanks for the informative post. Did you have to declare the bag purchase when returning back to the US? If so did you have to pay any customs fees?
Congrats on the bag!
Tamira says
Did you get a response to this question?
Fitriyana Stedwell says
Thank You for all your tips . It really helps me in the future. What kind of credit card do you suggest to use for shopping abroad?
Thank You ❤️
Michelle says
Thank you! Very helpful – listing out the numbers really help big time. love the bag!
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Dr. P says
Hello Katie,
I love your bag! It is lovely!!! I have a question….is there any way that someone could order Chanel from France then the item could be shipped the to the United States?
Tamira says
Hi Katie,
I am so thankful that I came across your blog. I am traveling to Spain next month and plan to purchase a black Classic Flap Bag as well. Although, I hope to purchase with silver hardware.
Your blog was so helpful. Thank you for the information.
Tamira says
Also, when you received your VAT refund was the refund in EURs or USD?
Haya says
Hi, Katie, Which Chanel store would be cheaper in Italy or France?
Debra Vazquez says
Hello, Im going to Paris in May. I am a little confused with Vat. I want to purchase the Chanel small or medium boy bag. Also deavuille tote.
Is it better to convert my UDS to Euros & pay in Euros. Will I still be eligible for Vat at airport before I leave Paris.
Lizzie says
Hey Katie,
Headed to Paris in February and want to take advantage of the VAT refunds for some expensive wishlist items! Do stores like Louis Vuitton, Chanel, Goyard, etc. offer to ship the items back to the US? I’m trying to plan out what I can purchase but if I need to fit it all in my luggage, will need to do some thinking.
Thanks for your input!
jacq says
Hi there I’m a singaporean , can i check with you for example if i check the US stores the chanel bag price is 5,900 USD then i have to use this amount add on the 8% tax? thank you:)
Denise Thornton says
Thank you Katie for your information about buying Chanel handbag in Europe and saving money. I love all of the Chanel bags!
Glaiza Gueco says
How much did you purchase your chanel flap bag in Euros?