Answer
Margin and padding create space on different sides of the border. • Padding is inside the border and receives the element background. • Margin is outside the border and remains transparent. • Margins may collapse in block layout; padding does not.
💡 Simple Example
.panel {
margin: 2rem;
padding: 1rem;
border: 1px solid;
}
⚡ Quick Revision
Padding is inner spacing; margin is outer spacing.