What is domain tasting?
Domain tasting, also known as domain kiting, is the practice of registering domain names to test the marketing power of a name. If the name is undesirable, the owner attempts to reverse the domain purchase by taking advantage of a 5-day grace allowed for registration refunds.
Is this allowed?
You may do whatever you want with the domain names you register, but HostGator will not allow you to refund your domain names within the 5-day grace period.
This is due to a new policy created by ICANN. They want to prevent domain tasting and domain sniping, so they have limited the number of domain purchases that can be reversed by any registrar. This means we can only unregister a domain name under the most serious circumstances, and even then, you will not be refunded.