We have already talked about Bonded Warehouses as a great option for companies entering the European market. Here you can find some additional information about the actual process behind importing, storing and selling your goods in Europe. The process is thankfully fairly uncomplicated and is carefully established to make trade easier.
The first step for you to get all the benefits of bonded warehousing is to make us your fiscal representative in Europe. To do that you simply fill in two forms. These can be found on the downloads page of the Dutch Customs Office.
The first form is called Agreement Direct Representation (EN) and it allows to represent your company in Europe legally. The second one is Agreement Limited Fiscal Representation (EN) and it allows us to represent your fiscal interests in Europe legally. What those forms boil down to is transferring the Power of Attorney to us. This allows us to act as essentially your proxy in Europe in matters of warehousing, transport, and sales. In the eyes of the EU, this confirms your companies right to use bonded warehouses.
That is the core of legal matters. The rest is just us agreeing on specific terms that will fit your needs the best.
Some additional concerns that our partners might have are those of VAT liability. If your goods are stored with us in the Netherlands and all your shipment goes outside the Netherlands. As was already mentioned in our article concerning Bonded Warehouses, it depends on where you are shipping to.
To elaborate, your imported goods are stored without paying customs duties in bonded warehouses. If you then ship your goods outside of the EU again, the Customs Department does not recognize them as ever having been „imported“. That is, the bonded warehouse serves as an intermediary warehouse. In that case, you do not have to pay any tax or import duties.
If, however, you ship within the EU the situation is different. Business-to-Business shipments fall under import duties, which we have to then pay for you. The VAT can be shifted to the business the goods are being shipped to.
In the case of B2C or Business-to-Customer shipments within the EU, VAT and customs duties must be paid. We take it upon us to handle this on a case-by-case basis, for which you pay in advance.
In the case that a tax liability arises in the Netherlands, and you appoint us as your fiscal representative, then you would not be charged. Since your fiscal responsibility towards the Netherlands is transferred to us, as your fiscal representative.
As you can see, getting your goods stored in our Bonded Warehouses is easily done. Furthermore, the liabilities for your company are virtually none. And finally, the benefits of doing the European side of your business in this way are potentially boundless.