General
General Products
Simple & Transparent! Policies that match all your insurance needs.
Car Insurance
Two Wheeler Insurance
Commercial Vehicle Insurance
Health Insurance
Property Insurance
Travel Insurance
Business Insurance
Car Insurance
Two Wheeler Insurance
Commercial Vehicle Insurance
Health Insurance
Property Insurance
Travel Insurance
Scan to download
Life
Life Products
Digit Life is here! To help you save & secure your loved ones' future in the most simplified way.
Term Life
Savings Plan
Retirement and Pension Plans
Group Life
Others Products
Term Life
Savings Plan
Retirement and Pension Plans
Group Life
Scan to download
Claims
Claims
We'll be there! Whenever and however you'll need us.
Customer Support
Motor Claims
Health Claims
Others
Customer Support
Health Claims
Scan to download
General
Life
General
Renewals
General
Life
Become an Agent
Resources
Resources
All the more reasons to feel the Digit simplicity in your life!
Exclusive Features
Tools & Calculators
Travel Guides
Transparency Report
Exclusive Features
Tools & Calculators
Travel Guides
Transparency Report
Scan to download
Our WhatsApp number cannot be used for calls. This is a chat only number.
Whenever you travel abroad and visit the airport, one of the most common and prominent facilities you are bound to find are duty-free stores. You will see a wide selection of products like liquor, cosmetics, perfumes, electronics and more that entice you to step in and shop.Â
In some airports and stores, you might also come across another section known as duty-paid. To get a better understanding of duty-free and duty-paid, read on.Â
‘Duty’ means tax. It is a payment levied on importing, exporting, manufacturing, or selling goods.
Items like alcohol, perfumes, designer fashion and accessories, cosmetics, tobacco and electronic products are most affected by duty.
So, when consumers spend close to 6 lakhs on a Rolex, for example, they also pay a considerable amount as tax. To save on this tax, you can purchase items free of duty.
Duty-free means purchasing an item without paying import, sales, value-added, or other taxes. Retail businesses sell products exempt from duties and taxes with the understanding that they will be taken out of the country for use.
That is why you can find many duty-free stores at airports, seaports and other country entry and exit points.
Read More:
Duty-paid, on the other hand, are simply goods on which tax is already paid. You will find duty-paid stores at airports and seaports, but these products are also offered to domestic customers and are not limited to just international travellers.
|
Basis |
Duty-Free |
Duty-Paid |
|
Meaning |
Duty-free refers to items exempt from taxes or duties, typically those imposed by the country's government, where the goods are being sold. |
Duty-paid means that the taxes or duties that are applicable on a particular item have already been paid, either by the importer or the seller, before the item is sold to the consumer. |
|
Taxes Paid |
When a consumer purchases a duty-free item, they do not need to pay any taxes or duties on that item. |
The price of the item includes the taxes or duties, and the consumer does not need to pay any additional taxes or duties upon purchase. |
|
Location |
Duty-free items are usually purchased in designated duty-free shops, often found at international airports, seaports and border crossings. |
Duty-paid items are typically purchased in regular retail outlets, located anywhere within the country. |
|
Objective |
Duty-free stores are mainly set up for the purpose of encouraging tourism. |
Duty-paid stores are just like regular retail stores (like supermarkets) made available for purchase to the general public. |
|
Who Can Buy? |
Duty-free merchandise is sold only to departing international travellers. |
Anyone travelling anywhere can purchase duty-paid items. |
|
Range |
Only certain items with a limited selection are sold in the duty-free section. They are often high-end, globally branded products in high demand. |
Items sold in duty-paid sections are more locally made, widely available, with more variety and choice. |
|
Restrictions |
The items sold in the duty-free section are subject to local restrictions. They are intended for personal use and are often subject to quantity limits for each particular item. |
Duty paid items have higher prices due to included taxes but offer a wider range of options and quantities for each particular item without any purchase restrictions. |
|
Examples |
Alcohol, tobacco, cosmetics, fashion products, etc. |
Energy products, motor vehicles, petroleum products, alcohol, tobacco, etc. |
If you are interested in saving costs while purchasing high-end global products, you must step into duty-free stores at international airports to buy your favourite products. Duty-paid stores will also provide you with a better range of products to shop from as a perfect gift, souvenir or eatable to remember your trip by.
In this article, we have explained the meaning of duty, what is duty-free and duty-paid shopping and their differences. This will help you understand international shopping better while saving your money abroad.
Please try one more time!
Get Visa for Popular Countries from India
Check Pending Challan only on Digit App
closeRead More
Rated App
Rated App
Scan to Download
