Tariff is basically a kind of tax. This duty is imposed on different goods when they are transported for selling purpose across another country. A Tariff is laid by a country in order to protect the domestic industry of that country.
It is a restrictive measure for regulating trade between different countries. There are many different types of Tariffs such as:
- Protective Tariff
- Prohibitive Tariff
- Revenue Tariff
- Specific Tariff
- Ad Valorem Tariff
The word tariff is defined as a publication which contains the rates, the charges, the classification ratings and the general rules and regulations (or any of them) for a common carrier. A tariff may be in the form of a rate tariff, a classification of articles or commodities or a tariff containing the rules and regulations or the incidental charges.
The word tariff is defined as a duty or a tax which is applied to those goods which are transported from one country to another. Tariffs are also imposed on those goods which are imported. Tariffs raise the prices of imported goods. The imposition of a tariff on a commodity makes it less competitive within the market of the country which is importing the commodity.
The word tariff also refers to the fees which a person has to pay to the attendant at a parking lot while parking his car. The tariff rates are displayed on the tariff board at the car park or the terminal building.