Purchasing Rolex in Japan Duty Free

[jernigan78]

Aloha guys. I have a friend heading to Japan in early April. I have been looking at the Yen exchange rates. It seems that Japan is slowly sliding into recession, and the US dollar is now $1.00 - 118 yen. It is also projected to go even higher. With that said, would it be a good idea to send him there with some cash on hand to purchase a Rolex for me. It seems that there would be a pretty high cost savings, if all works out ok. I have never made a large international purchase, so this would be a first. I also trust my friend with the money, so nothing to worry about there. Rolex in the Haneda airport has a Duty Free shop.

Let me know your thoughts, and if anyone has real experiences doing this.

[Tools]

Duty Free means that the shop didn't pay duty on it (as it never entered the country) and so the price could be a bit less.

You still have to pay duties/taxes when you enter your country - it's not Duty Free for you.. could be a good value but do the math.

[kingkonger]

It maybe a little less attractive now as you may have seen that the price hike hitting very soon in Japan with a 8% increase.

I've heard that you can get the tax return in Japan with luxury watches but I've not experienced it myself. The sales tax there is 8% for goods so see if you can get the full returns.

Another place you could consider is UK since the dollar to pound sterling is pretty good at the moment. There's a Rolex AD inside Heathrow airport which has some good stock sometimes but they do go quickly! Or have a look in London where some boutique do sale tax returns but just beware of what they give you first. The UK tax (VAT) is 20% so you'll be lucky to get anywhere close to that.

[malarky_hk]

Originally Posted by kingkonger

It maybe a little less attractive now as you may have seen that the price hike hitting very soon in Japan with a 8% increase.

Where did you hear this from and when will it happen?

[bbressler]

in Japan you get the 8% tax off with a foreign passport. However, the duty free limit coming back into the U.S. is $800 so you may be responsible for import duty then. It seems that some customs officers will wave people through without charging the duty but you can't count on that for sure.

[jernigan78]

All reasonable concerns. Although, the last time I flew back to hawaii from Japan, the customs agent never asked my about the submariner that I was wearing. So maybe I can have my buddy wear it back, and mail the box from Japan. But..... If he scratches it, then id have to find a new friend... Haha. J/k. Ill wait and see what haplens with the yen. If it keeps going lower, it might be worth a shot.

[Mis3]

First of all, when you pass through the custom, the custom officer usually asks if you have bought something aboard. Should your friend lie?

Second of all, if somehow you sneak it through the custom this time, you will have the same concern every time you return after a trip.

[REDiesel]

Originally Posted by Mis3

First of all, when you pass through the custom, the custom officer usually asks if you have bought something aboard. Should your friend lie?

Second of all, if somehow you sneak it through the custom this time, you will have the same concern every time you return after a trip.

Well his friend can honestly say he didn't buy anything abroad.

Any future travels will be with a watch taken from home and not subject to tax.

[Mis3]

Originally Posted by REDiesel

Well his friend can honestly say he didn't buy anything abroad.

Any future travels will be with a watch taken from home and not subject to tax.

Not sure if I understand. If his friend buys the Rolex for him, he would have to declare it on his way back. Or he can sneak it through.

I don't know about now. Many, many years ago when Rolexes were much cheaper in Hong Kong, the Canadian Custom would issue a card to register the watch for some people who travel back-and-forth often.

[2106]

trying to avoid duty is a risk that i've never been willing to take. airport customs are people you don't mess with in my opinion

[Emir Chehab]

I would take a close look at prices in Canada if accessible to you. Rolex has not adjusted pricing in Canada since the currency drop. The exchange rate is somewhere around 18% back.

[jon_jon]

Didn't Japan have a price increase when their sales tax rate went up back in April?

With the weakening of the Euro, there maybe good pricing in Europe as well.

[jernigan78]

I think some parts of my initial question were misunderstood. Even if he has to pay the duty on arrival back to Hawaii (not cheating), with the Yen being low, wouldn't there be a considerable savings. Its almost like getting the watch for 20% less. The only variable would be if the prices in Japan are higher than US. There is a recent post in this forum about a member who just bought a Rolex in Japan, and was able to save a great deal.

Anyway. It was just a thought. It a little out of my budget right now. I just thought that if I would be able to save %20, I mine as well go for it.

Thanks guys.