The South Korean government has put an end to an old controversy, regarding the possibility of setting up duty-free shops at arrivals gates and terminals at the airports. Hyun Oh-seok, Deputy Prime Minister and Finance Minster concluded that the opening of duty-free shops near arrival zones will increase congestion, as well as unfairness in taxation between the rich and poor.
The Deputy Prime Minister and Finance Minister explained this decision in a meeting with economic policymakers in Seoul on August 7, 2013. If duty-free shops were allowed to open at arrival gates, then the cost of disadvantages would outweigh the cost of benefits to the people, as well as small and medium enterprises.
The Minister of Strategy and Finance went on to say that such stores will increase congestion and will also decrease the efficiency of custom systems at arrival terminals. Moreover, people who cannot afford to travel abroad will have to pay taxes for the goods bought at home and this will only additionally increase inequality between the haves and have-nots.
For now, the only benefit which can be seen is that outbound Korean travelers would have less bags to carry, if the government and the National Assembly are in favor of duty-free shops at arrival terminals.
Photo Credits: DFNI Online
