Bonded warehouse

CFS warehouse

Tax suspension warehouse

Define

A bonded warehouse is a system of warehouses that is separated from the surrounding area, specialized in storing goods that have gone through customs procedures, preparing for export, or items from foreign countries that are about to be brought into Vietnam or too. scenes in Vietnam waiting to be exported to a third country.

CFS, also known as a retail collection point is a collection system of container containers. There will be gathering activities of many different shippers into the same container to export to foreign countries or unloading goods from imported containers. The form is similar to stall in Vietnam.

The bonded warehouse is usually set up by exporters. Accordingly, the warehouse will specialize in materials and raw materials that have been cleared (but not paid taxes) to serve the company's production activities.

Type of storage goods

• Imported goods are waiting for the completion of procedures and preparation to enter the Vietnam market.

• Transited goods are about to be exported to a third country.

• Goods ready for export, customs clearance has been completed.

• Goods must be re-exported

• Imported goods without customs clearance.

• Exported goods that have completed customs procedures or registered with a customs declaration, awaiting physical inspection in CFS.

• Diverse materials serving production activities of the bonded warehouse.

• These goods have been cleared of customs clearance but have not yet paid taxes.

Warehouse lease term

No more than 12 months from the date of delivery. If there are plausible reasons, the Director of the Customs Department may extend the contract once (not exceeding 12 months).

No more than 90 days from the date of delivery. If there are plausible reasons, they may be extended once by the head of the Customs Sub-Department (within 90 days).

No more than 12 months from the date of putting raw materials into the warehouse. If there are plausible reasons, the Director of the Sub-Department of Customs may be extended. The extension time will depend on the needs of the production cycle.

Activities and services are carried out in the warehouse

• Reinforcing packages, packaging, dividing, packing, sorting and maintaining goods.

•           Transfer of ownership

• Sampling to meet customs or regulatory clearance requirements

• Especially, if the goods are chemicals, petrol, etc., if they meet the requirements, they can carry out the preparation or conversion activities.

• Packing, arranging export queue

• Splitting, packing transshipment or transiting goods in containers, or also packing them together with Vietnamese exports.

• Splitting the consignment before carrying out import procedures or packing them with other export lots.

•           Transfer of ownership

• Actual inspection activities of the authorities

• Raw materials imported into a bonded warehouse are used only to produce its own export goods

• The management and monitoring of data and status of raw materials in the tax suspension warehouse must comply with the provisions of accounting and statistical laws.

Customs procedures

Customs procedures for bonded warehouses are divided into several cases:

• Customs procedures for goods from foreign countries to be bonded

• Customs procedures for goods brought from the free trade zone or inland from bonded warehouses

• Customs procedures for goods dispatched from bonded warehouses for export to foreign countries

• Customs procedures for goods delivered from bonded warehouses for import into inland or import into non-tariff areas

• Customs procedures for bonded goods to be transported to another bonded warehouse

Please refer to other information about bonded warehouses in the article What is bonded and regulations on bonded warehouses

There are 2 basic types of procedures for CFS warehouses

• Procedures for imported goods

• Procedures for exports

For details of the steps in the process of making CFS warehouse, please refer to the article What is CFS warehouse and the role of CFS warehouse?

For tax-suspension warehouses, customs procedures will be carried out similarly to those applicable to imported goods for export production, but tax payment is not required.

• Raw materials in tax-suspension warehouses can only be used for manufacturing export goods

• Managing materials in tax-suspension warehouses according to accounting principles, complying with accounting laws and statistics.

For more information about bonded warehouses and its regulations, please see HERE