The use of bonded warehouses allows you to temporarily store imported goods without the obligation to pay customs duties and VAT. Companies that import their goods from outside the European Union and beyond can take advantage of this opportunity. What exactly is a bonded warehouse, what types of warehouses are there and what are the other benefits of this solution – please read the article.

What is a bonded warehouse?

A bonded warehouse is nothing more than a warehouse or a separate part of it. It differs from ordinary storage space in that it is approved by customs and tax authorities and is subject to their supervision. Therefore, its operation requires specific permits.

Bonded warehouses often operate at customs agencies such as ours, offering their clients an additional option to optimize their sales.

How is this possible?

A bonded warehouse allows you to temporarily store goods without the obligation to pay import duty and VAT. Therefore, you pay the above-mentioned duties when a specific batch of goods enters the market (leaves the bonded warehouse).

Who can use a bonded warehouse?

A bonded warehouse is a great solution for your company if you import goods from outside the European Union. Importantly, the type of your products or activities does not matter.

It is also for you if you re-export outside the EU. In this case, using a bonded warehouse will allow you to avoid paying import duties and taxes twice.

It’s not everything! Also, if you transport your goods further within the EU, storage in a bonded warehouse will be a very advantageous solution for you.

In order for your goods to be in a bonded warehouse, appropriate customs clearance must be carried out. Similarly, if the goods are to leave the warehouse/bonded warehouse.

When it comes to documentation requirements for customs clearance, you will normally need a commercial invoice, load specification, delivery note or bill of lading, and an invoice for transport costs, depending on commercial conditions.

Types of bonded warehouses – what you can choose from

There are many different types of bonded warehouses. The most important difference is between a public and a private ones. Public bonded warehouse – a warehouse where every importer can store goods. Private – this is a bonded warehouse that belongs to you.

Let’s focus on the first ones. There are three types in this category.

Type I bonded warehouse – in such a bonded warehouse, the responsibility (referred to in Article 242(1) of the Union Customs Code) for the availability of goods for inspection and other obligations arising from storage rests with the holder of the permit and the entity authorized to perform the procedure – more simply, with the owner of the warehouse and the owner of the goods.

Type II bonded warehouse – in such a bonded warehouse, the responsibility (referred to in Article 242(1) of the Union Customs Code) rests with the entity authorized to perform the procedure – the owner of the stored goods.

Customs warehouse type III – means bonded warehouses run by customs authorities.

IMPORTANT! While your goods are held in a bonded warehouse, they may receive “special treatment” there. What does it mean?

The following activities can be performed in a bonded warehouse:

• dividing goods into batches,
• labelling,
• repacking,
• maintenance,
• mixing, trimming,
• collecting samples and conducting tests, e.g. tests of the Sanitary and Epidemiological Station or tests of the Trade Inspection,
• processing of goods under the processing procedure (after obtaining permission from the customs authority and when there is no negative impact on customs supervision).

And if something is unclear to you or you have specific questions, please contact us. We will be happy to answer and help you find the best solution for you and your company.

Bonded warehouse – advantages

As we mentioned, storing goods in a bonded warehouse allows you to optimize costs and thus increase competitiveness on the market. How?

Firstly, it is possible to defer the payment of customs duties and other taxes on the import of goods from outside the European Union.

Importantly, goods can be stored for an unlimited period of time (except, of course, for products with a specific expiration date). This allows you to introduce specific batches of products to the market at a time convenient for the company without having to pay customs duties and VAT for all the goods.

Secondly, if the goods are re-exported, no import duties are payable.

The bonded warehouse also provides the opportunity to correct errors and omissions, such as when goods are detained by the customs and tax service due to missing importer markings, CE markings, instructions, or required documents and certificates. Then you do not have to incur additional costs such as customs duties and VAT.

The above advantages apply to companies that introduce their goods to the markets of EU countries. However, a bonded warehouse is also a beneficial solution if the goods leave this area.

If your end client is located outside the European Union, your goods can be transported to their destination on the basis of a transit document (T1). Customs and tax duties will only be paid in the country of destination.

And if you want to use bonded warehouses, please visit DTA. We have our own bonded warehouses in strategic locations such as Wrocław, Pruszków, Gdańsk, Warsaw. Additionally, you can count on support from our experts in the field of customs clearance and transport.