Why are there Duty Free stores?

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After countries go thru all the trouble of taxing imports, why then would they allow ppl to just buy whatever they want duty free? Why do these shops exist? What benefit do they serve? And why are they only at airports?

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Anonymous 0 Comments

Basic tax and international law is why there are Duty Free stores. First assume that there is not an insane markup on the goods (not always true). Second, understand that some places, like an international Airport, or while at sea, where you are essentially in “no man’s land”, and thus you are making a purchase outside of all jurisdictions.

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