tollfrjálsan

Tollfrjálsan is an Icelandic term that translates to "duty-free" or "tariff-free." It refers to goods or services that are exempt from import duties, taxes, or other customs charges. This concept is most commonly associated with duty-free shops, typically found in international airports and border crossings.

In Iceland, as in many other countries, certain items purchased in duty-free areas are not subject to the standard Value Added Tax (VAT) or import tariffs. This allows travelers to purchase goods such as alcohol, tobacco, perfumes, cosmetics, and confectionery at potentially lower prices. The rationale behind duty-free sales is often to cater to international travelers and to encourage spending within the country's travel hubs.

However, there are often restrictions on the quantities of duty-free items that can be brought into a country without incurring charges upon re-entry into the traveler's home country. These allowances vary by jurisdiction and the type of goods. Icelandic citizens returning from abroad are also subject to specific duty-free allowances for goods they wish to bring back into the country. The term tollfrjálsan underscores the principle of exemption from these fiscal impositions for eligible purchases and travelers.