Many people go on holiday hoping to secure a tax free Rolex watch. As an experienced Rolex dealer of over 35 years please allow me offer you some very sound advice.
Firstly, watch dealers in places such as Dubai are generally used to dealing with clients who have money, and a lot of it...
They aren't really used to dealing with customers asking for discounts and those that are will be aware that to a large degree they have a captive audience.
There are one or two major chains in the UAE and I would estimate that 95% of the watch stores in Dubai are owned by the same family and come under one company flag.
So running around from one shop to another can actually be a complete waste of time.
If you've asked in one store and the answer was ''no' then you will almost certainly get the same answer down the road. Basically because the shops are owned by the same people!
Of course, there are some discounts to be had and some hard bargaining may get you a result of sorts BUT this will always be only when it suits them and not you (for example if they have had a particular watch for a long time and have found it hard to sell).
Rarely does this apply to any Rolex model, perhaps with the exception of the highest end pieces...
Whilst the list prices 'may' be slightly lower in Dubai (although the last time I visited they were on par with the UK in any case) you will of course be liable to import duty (VAT) when returning to the UK. So add 20% to your purchase price...
Now, we all know the situation here, people will take a chance, or decide that they have a good story to tell Customs if they are stopped, or decide that their chances of being stopped in the first place are very slim.
Let me warn you now, DO NOT TAKE THE RISK.
Firstly, Customs have enormous powers and if you are stopped or questioned about a watch that you have on your possession (Customs are very much switched on to Tax free watch buying, particularly from places such as Dubai) you really are leading yourself into very deep water the moment you start to tell any lies.
I would seriously advise anyone thinking of bringing back a watch from outside the EU to own up the moment they are questioned. ANY lies will be dealt with harshly and proven with relative ease.
For example, if you purchased the watch with a debit or credit card they can check your card / bank details and purchase history within minutes. You are then guilty of a criminal offense...
Thinking of sending the receipt, warranty card and box home by mail? Think again...
Customs know all about that one and have various powers to prove that you have deliberately tried to evade paying duty on your expensive purchase. Again, this is a criminal offense.
Their powers range from seizing the goods altogether, a very hefty fine PLUS the VAT that would have been due in the first place. Trying to save a few hundred can turn into a nightmare of thousands.
I have some innocent experience of this myself.
Back around 2009 I went on holiday to Tenerife with my Wife and two Daughters. Whilst there I made friends with another watch dealer who owned a couple of stores. I bought a watch from him for £14,000 and paid with my card. When we got back to the UK I was wearing the watch and the box and receipt was safely tucked away in my suitcase.
A customs inspector noticed the watch and asked if I'd bought it on holiday and asked where I had been. Thinking I'd done nothing wrong, I told him.
He instantly "arrested" me and I was taken to a room where all of my bags were searched. Contrary to popular belief (that Tenerife is a part of Spain) the Canary Islands are NOT within the EU and therefore I had broken the law by not declaring my purchase.
It was an innocent mistake and Customs accepted my explanation. Apparently its a common misconception for passengers arriving from that part of the world. However, I was fined £300 plus the VAT that at the time was 17.5% so my £14,000 watch suddenly turned into a £16,750 watch... Not so cheap after all.
Customs made it very clear to me that had I tried to dupe them, or had bare faced lied, my fine would have been a lot worse and I could have lost my watch altogether.
They certainly wouldn't accept the same excuse if you'd come from Dubai and the customs 'watch spotters' know exactly who to target and what they are targeting.
Summing up, we all like to save a few quid here and there but trying to buy duty free Rolex watches in Dubai (or anywhere else for that matter) isn't the smartest idea in the world and it carries some severe penalties.
