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A tariff, which is actually a list of commodities along with the leviable rate (amount) of customs duty, is popularly referred to as a customs duty.In the Kingdom of England, customs duties were typically part of the customary revenue of the king, and therefore did not need parliamentary consent to be levied, unlike excise duty, land tax, or other forms of taxes. Customs duty is calculated on the determination of the assessable value in case of those items for which the duty is levied ad valorem.The name "Tarifa" itself is derived from the name of the Berber warrior, Tarif ibn Malik.However, other sources assume that the origin of tariff is the Italian word tariffa translated as "list of prices, book of rates", which is derived from the Arabic ta'rif meaning "making known" or "to define".In drawing up the national tariff, the revenue departments often specifies the rate of customs duty with reference to the HS code of the product.In some countries and customs unions, 6-digit HS codes are locally extended to 8 digits or 10 digits for further tariff discrimination: for example the European Union uses its 8-digit CN (Combined Nomenclature) and 10-digit TARIC codes.This is often the transaction value unless a customs officer determines assessable value in accordance with the Harmonized System.

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For example, 17.03 is the HS code for molasses from the extraction or refining of sugar.A duty levied on goods being imported is referred to as an import duty.Similarly, a duty levied on exports is called an export duty.A customs duty or due is the indirect tax levied on the import or export of goods in international trade.In economic sense, a duty is also a kind of consumption tax.




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