{"id":3238,"date":"2024-02-17T15:20:49","date_gmt":"2024-02-17T15:20:49","guid":{"rendered":"https:\/\/bcbp.pw\/?page_id=3238"},"modified":"2024-03-06T11:35:42","modified_gmt":"2024-03-06T11:35:42","slug":"warehouse-definition-and-laws","status":"publish","type":"page","link":"https:\/\/bcbp.pw\/?page_id=3238","title":{"rendered":"Warehouse Definition and Laws"},"content":{"rendered":"\t\t<div data-elementor-type=\"wp-page\" data-elementor-id=\"3238\" class=\"elementor elementor-3238\">\n\t\t\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-045fb04 elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"045fb04\" data-element_type=\"section\" data-e-type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"aux-parallax-section elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-2b7af2d\" data-id=\"2b7af2d\" data-element_type=\"column\" data-e-type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-938a47f elementor-widget elementor-widget-elementskit-heading\" data-id=\"938a47f\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"elementskit-heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<div class=\"ekit-wid-con\" ><div class=\"ekit-heading elementskit-section-title-wraper text_left   ekit_heading_tablet-   ekit_heading_mobile-\"><h2 class=\"ekit-heading--title elementskit-section-title \">Bonded Warehouse Definition and Laws<\/h2><div class=\"ekit_heading_separetor_wraper ekit_heading_elementskit-border-divider ekit-dotted\"><div class=\"elementskit-border-divider ekit-dotted\"><\/div><\/div><\/div><\/div>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-ec01613 animated-slow elementor-section-boxed elementor-section-height-default elementor-section-height-default elementor-invisible\" data-id=\"ec01613\" data-element_type=\"section\" data-e-type=\"section\" data-settings=\"{&quot;animation&quot;:&quot;fadeIn&quot;}\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"aux-parallax-section elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-d2d00f8 elementor-tab-content\" data-id=\"d2d00f8\" data-element_type=\"column\" data-e-type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-e865300 elementor-widget elementor-widget-text-editor\" data-id=\"e865300\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<h3>Introduction<\/h3><p>The Bond Unit falls under the responsibility of the Bureau of Customs and Border Protection (BCBP) and has the mandate to carry out documentary control of the goods entering or exiting the warehouse. The unit keeps stock account of goods and carries out physical examination\/ spot checks, stack takes and conduct yearly reconciliation on goods being warehoused.<\/p><p>This guide is not intended as a definitive advice but to be used only as an explanatory guide. It is strongly recommended that where there are aspects relating to law which are not clear or covered in this guide, reference needs to be made to the following legislations and regulations listed below.<\/p><h3>Legislation<\/h3><p>The legislation for the general procedures for bonded warehouse is set down in the following legislation:<\/p><ul><li>RPPL NO. 11-15 (To amend Title 28 of the Palau National Code and include a new chapter to provide for Customs Bonded Warehouse.) Approved on December 22,<\/li><li>Chapter 13 of Division 2 of Title 40, entitled 28 II &#8220;Import Tax&#8221;, and any subsidiary legislation that amends the provisions of that 29 II chapter, successor legislation to that chapter, or other subsidiary<\/li><li>RPPL 11-11 (Palau Goods and Services Tax).<\/li><li>Customs Rules and Regulations (2006).<\/li><\/ul><h3>What is a Customs Bonded Warehouse<\/h3><p><strong>\u00a0<\/strong>A Customs bonded warehouse is any warehouse approved by the BCBP for the deposit of goods. It is a facility provided\u00a0 to\u00a0 traders\u00a0 that\u00a0 allows\u00a0 the\u00a0 payment\u00a0 of\u00a0 duty\u00a0 and\u00a0 taxes\u00a0 on\u00a0 goods\u00a0 imported for warehouse\u00a0 to\u00a0 be\u00a0 deferred\u00a0 until\u00a0 the\u00a0 goods\u00a0 leave\u00a0 the\u00a0 facility\u00a0 either\u00a0 for\u00a0 home consumption or\u00a0\u00a0 for export. In other words, duty and taxes are applicable only on removal of goods from the approved warehouse.<\/p><p>According\u00a0\u00a0 to\u00a0\u00a0 RPPL\u00a0\u00a0 11-17, a Customs Bonded Warehouse or a Bonded Warehouse is a building or secured area, licensed as a bonded warehouse, in which dutiable goods may be stored, manipulated, or undergo manufacturing operations without payment\u00a0 of\u00a0 excise\u00a0 tax\u00a0 prior\u00a0 to such\u00a0 time as\u00a0 the\u00a0 goods\u00a0 are\u00a0 withdrawn\u00a0 from\u00a0 the\u00a0 warehouse\u00a0 for\u00a0 local\u00a0 consumption. Any such are shall be considered an extension of the points of entry for purposes of customs jurisdiction.<\/p><p><strong>Types of Goods Authorized for Bonded Warehouse<\/strong><\/p><p>In accordance with RPPL No. 11-11, Palau Goods and Services Tax&#8221;, Chapter 26 Excise and Carbon Taxes Subchapter I, Excise Tax, Part I.<\/p><p style=\"padding-left: 40px;\">1. &#8220;Excisable goods&#8221; means the goods specified in Column 1 of the table provided in Section 2614(c), other than exempt<\/p><p style=\"padding-left: 40px;\">2. &#8220;Excisable value&#8221;, in relation to excisable goods, has the meaning set forth in Section<\/p><p style=\"padding-left: 40px;\">3. &#8220;Excise tax&#8221; means excise tax imposed under this<\/p><p>The following are types of excise goods that are authorized to enter a bonded warehouse:<\/p><ul><li>Carbonated soft drinks<\/li><li>Beer<\/li><li>Liquor<\/li><li>Grape or other fruit-based wine<\/li><li>Wine coolers or cooking wines with a recognized alcohol content<\/li><li>All other alcoholic beverage products, including liquors, sake, and alcohol products without grape or fruit-base<\/li><li>Vehicles and vehicle chassis<\/li><li>Bottled water<\/li><li>Cigarettes<\/li><li>Other tobacco products<\/li><\/ul><h3>Export of Excise Goods<\/h3><ul><li>The rate of excise tax on an export of excisable goods is zero percent (0%).<\/li><li>Subject to Subsection (f), excisable goods are treated as exported if the goods are delivered to, or made available at, an address outside the Republic. For this purpose, the delivery of the goods to the owner, charterer, or operator of a ship or aircraft operating in international traffic for the purposes of carrying the goods outside the Republic is, in the absence of proof to the contrary, sufficient evidence that the goods have been<\/li><li>Excisable goods are not treated as exported if the goods have been, or will be, re- imported into the<a name=\"_TOC_250006\"><\/a><\/li><\/ul><h3>Classes of Bonded Warehouse<\/h3><p>The following are classed of bonded warehouse:<\/p><ul><li>Class A. Private Bonded Warehouse<\/li><li>Class B. Public Bonded Warehouse<\/li><li>Class C. In-bond Manufacturing Warehouse<\/li><li>Class D. Cleaning, Sorting, Re-packaging, or changing\u00a0 the\u00a0 condition\u00a0 of, but\u00a0 not manufacturing\u00a0 of,\u00a0 imported\u00a0 merchandise,\u00a0 under\u00a0 Bureau supervision,\u00a0 and\u00a0 at\u00a0 the\u00a0 expense\u00a0 of the above<\/li><\/ul><h3>Application for Bonded Warehouse<\/h3><p>You must seek approval from the BCBP to operate a bonded warehouse. The Applicant must submit a completed application on a form to be prescribed by the Director, together with a detailed plan of the proposed bonded warehouse.<\/p><p>The following information has to be submitted with the application:<\/p><ul><li>The name and\/or business name and address of the applicant;<\/li><li>TIN Number of the company or individual;<\/li><li>Whether the place proposed to be operated as a bonded warehouse exists or is to be constructed;<\/li><li>Type of construction of the facility regardless of whether or not it already exists or is to be constructed;<\/li><li>Types of goods to be warehoused;<\/li><li>The location of the premises;<\/li><li>General physical description of the premises;<\/li><li>Security arrangement;<\/li><li>The largest quantity and value of goods to be warehoused at any given time;<\/li><li>The amount and policy holder of fire and general liability insurance covering the value of the merchandise to be stored;<\/li><li>The person who will be in charge of the bonded warehouse ( warehouse keeper)<\/li><li>Whether the applicant intends to store any hazardous materials, and what type; and<\/li><li>Affidavit that applicant complies with Section 1208. Prohibition on Carting Company Ownership of this Title.<\/li><\/ul><p><strong>Who can Apply for a Bonded Warehouse<\/strong><\/p><ul><li>Any person (business or individual) who has established a business can make an application to operate a bonded warehouse;<\/li><li>The applicant is of good character and has not been convicted, found guilty or plead guilty to any felony or crime of dishonesty, unless subsequently pardoned;<\/li><li>The site of the proposed bonded warehouse is within the area served by a customs officer;<\/li><li>The applicant has sufficient financial resources to lease and purchase the facility;<\/li><li>The applicant will provide conditions suitable for the safekeeping of goods, including any hazardous materials;<\/li><li>The Bureau is able to provide services with respect to the proposed bonded warehouse;<\/li><li>A permit from the Environmental Quality Protection Board (EQPB) to operate shall be required for the storage, treatment, or handling of hazardous waste;<\/li><li>Approval will be granted if the applicant meets all the Customs requirements for warehouse operations; and<\/li><li>Any facility, warehouse, building, ports, airports and post office within the Republic, that retain any imported cargo and operates with functions of a Customs Bonded Warehouse, as defined in this chapter, shall be licensed and regulated by the BCBP as a customs controlled area.<a name=\"_TOC_250003\"><\/a><\/li><\/ul><p><strong>Processing of Application for Bonded Warehouse<\/strong><\/p><p>Application is made at the Customs Main Office or by way of the following link:<\/p><p>Email:<a href=\"mailto:admin@palaucustoms.org\"> customs@palaugov.org<\/a><\/p><p>Website:\u00a0<a href=\"https:\/\/bcbp.pw\/\">https:\/\/bcbp.pw\/<\/a><\/p><p>Customs will only accept an application if all relevant information is present. After receiving the application, Customs officers will contact the applicant by phone to make the necessary arrangements to conduct a visit to the proposed warehouse. This is to inspect the building and ensure that the security component and storage areas meet Customs requirements.<\/p><p>The visit will determine if all the following regulatory and administrative requirements have been met:<\/p><ul><li>CCTV camera facility preferable in the entrance of the warehouse<\/li><li>Sufficient lighting facilities in the warehouse<\/li><li>Easy access to the warehouse<\/li><li>Fire security system (fire extinguisher or a water host)<\/li><li>Enough ventilation in the<\/li><\/ul><p>If the proposed warehouse is not to the required standard, Customs officers will advise the applicant on any adjustments or improvement that needs to be done. If the proposed warehouse is at the required standard, the Customs officer will brief the applicant on conditions that have been set to operate a bonded warehouse.<\/p><p>Customs officers will then make the necessary recommendations to the Director of Customs for approval of the facility. It\u00a0 will\u00a0 take\u00a0 Customs\u00a0 maximum\u00a0 three\u00a0 days\u00a0 after\u00a0 the\u00a0 visit\u00a0 to\u00a0 inform\u00a0 the\u00a0 applicant\u00a0 in writing on the status of his\/her application.<\/p><p>The approval for a bonded warehouse is not transferable from one proprietor to another or from one premise or location to another. Depending on the nature of the application, the Director of Customs can impose certain specific conditions when granting the authorization to operate a bonded warehouse.<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<\/div>\n\t\t","protected":false},"excerpt":{"rendered":"<p>Bonded Warehouse Definition and Laws Introduction The Bond Unit falls under the responsibility of the Bureau of Customs and Border Protection (BCBP) and has the mandate to carry out documentary control of the goods entering or exiting the warehouse. The unit keeps stock account of goods and carries out physical examination\/ spot checks, stack takes [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"parent":0,"menu_order":0,"comment_status":"closed","ping_status":"closed","template":"","meta":{"footnotes":""},"class_list":["post-3238","page","type-page","status-publish","hentry"],"_links":{"self":[{"href":"https:\/\/bcbp.pw\/index.php?rest_route=\/wp\/v2\/pages\/3238","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/bcbp.pw\/index.php?rest_route=\/wp\/v2\/pages"}],"about":[{"href":"https:\/\/bcbp.pw\/index.php?rest_route=\/wp\/v2\/types\/page"}],"author":[{"embeddable":true,"href":"https:\/\/bcbp.pw\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/bcbp.pw\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=3238"}],"version-history":[{"count":16,"href":"https:\/\/bcbp.pw\/index.php?rest_route=\/wp\/v2\/pages\/3238\/revisions"}],"predecessor-version":[{"id":3783,"href":"https:\/\/bcbp.pw\/index.php?rest_route=\/wp\/v2\/pages\/3238\/revisions\/3783"}],"wp:attachment":[{"href":"https:\/\/bcbp.pw\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=3238"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}