Duty-free shop

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“Duty Free” redirects here. For the British sitcom, see Duty Free (TV series).

A typical duty-free store, at Zurich International Airport

Duty-free shops (or stores) are retail outlets that do not apply local or national taxes and duties. They are often found in the customs zones of international airports, sea ports or onboard passenger ships. They are not as commonly available for road or train travellers, although several border crossings between the United States and Canada have duty-free shops for car travellers.

These outlets were abolished for travel within the European Union (EU) in 1999, but are retained for travellers whose final destination is outside the EU. They also sell to intra-EU travellers but with appropriate taxes. Some special member state territories such as Åland and the Canary Islands, are within the EU but outside the EU tax union, and thus still continue duty-free sales for all travellers.

The world's first Duty Free shop was established at Shannon Airport in Ireland in 1946 and is in service to this date. Designed to provide a service for trans-atlantic airline passengers typically travelling between Europe/United Kingdom and the United States/Canada whose flights stopped for refuelling on both outbound and inbound legs of their journeys, it was an immediate success and has been copied world-wide.

This concept of duty-free shopping was expanded by two American entrepreneurs, Charles Feeney and Robert W. Miller, who created the corporation "Duty-Free Shops" on November 7, 1960. Beginning in Hong Kong and spreading from there to Europe and America, the corporation eventually grew into a worldwide enterprise. Robert Miller sold his stake in this corporation in 1996 for £954 million. [1]

Duty-free shopping is also available to foreign visitors in many ordinary shops in the cities. In this case, the visitors will pay the normal price, but get the tax back when leaving the country, on the conditon they have the goods with them.

The first Duty-Free Liquor counter at London Airport, by Fortes Caterers, was opened 9 December 1959. Without duty, a bottle of Whiskey cost only 21/- or $3.