Thursday, 7 May 2009

Is it "Tax Free at Arrival"?

The Swiss German media have also announced the Government Consultation Process in relation to the proposed concept of "Duty Free on arrival" at airport shops in Switzerland. It is interesting to note how in German this concept is known as "Tax Free at Arrival" but in French "Duty Free a l'arrivee". Perhaps this is just the use and interpretation for each language as in fact there is a significant difference between "Tax" and "Duty" Free.

Duty tends to refer to Excise duties levied on products like Liquors and Tobaccos, whereas Tax normally refers to local sales taxes or value added taxes (VAT/BTW/IVA) on other goods like Fragrances or Gifts. The general understanding is that the Swiss are to review the arrivals purchase scheme for both tax options.

So is it "Tax Free at Arrival" or "Duty Free on Arrival"?

No doubt the public will decide, once the Swiss Government do!

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