Tariff

Tariff Definition

A tariff is a comprehensive list of charges for services provided or products sold, which allows businesses to standardize their pricing. The term “tariff” can also apply to international trade, where tariffs are taxes or duties imposed on goods imported or exported between countries.

Tariffs can be set by both private and public entities, and can vary depending on the industry, type of product, or service being provided. They are usually set in order to cover costs and generate a profit for the business.

Tariffs can also be subject to regulation by governments, especially in the case of international trade. Governments may impose tariffs on imported goods to protect their domestic industries, or to raise revenue. Tariffs may also be imposed through free trade agreements as a way to level the playing field between different countries.

The importance of tariffs cannot be overstated, as they are key to maintaining a competitive market and guaranteeing that companies are charging fair prices for their services and products.