Do I need a bonded warehouse?
Discussion
I buy two audio (mid range) ranges from Europe, one exclusively for the UK and the other we are one of only 3 dealers. The products also have a limited dealer network throughout Europe. One come in from Ireland and the other from Germany, but shipped from Belgium. Imports have a 0% Import duty and I can defer my VAT using my EROI number.
I get some enquiries from Europe for people who don't have a dealer in their area or even their country, so I could supply but would it be better to bring it all the way into my warehouse in middle of the country and then re-export on a sale. Or find either a Bonded UK Warehouse or an EU warehouse to hold them in until a sale is made and I technically import them for the UK customer or ship them within the EU at that point.
I guess this is made even harder now that EU VAT Rules are due to change in July.
FYI - Kit is over £1000 Ex VAT per unit and they are a relatively slow moving item (ie 2 - 4 a month) So I would only look to hold a pallet for each manufacturer.
I get some enquiries from Europe for people who don't have a dealer in their area or even their country, so I could supply but would it be better to bring it all the way into my warehouse in middle of the country and then re-export on a sale. Or find either a Bonded UK Warehouse or an EU warehouse to hold them in until a sale is made and I technically import them for the UK customer or ship them within the EU at that point.
I guess this is made even harder now that EU VAT Rules are due to change in July.
FYI - Kit is over £1000 Ex VAT per unit and they are a relatively slow moving item (ie 2 - 4 a month) So I would only look to hold a pallet for each manufacturer.
No Import Duty on speakers.
And I could PVA the VAT as well. So it work physically being them into my warehouse.
Half of it is trying to save a handling, shipping and customs costs shipping into europe. But i guess that all changes again in July when customers have to pay VAT in the country of delivery not departure.
That is going to cause one hell of an issue in europe. Especially when they / we cotton on to the fact that the new ruling isnt Brexit related just sneaky EU delaying their implementation by 6months.
And I could PVA the VAT as well. So it work physically being them into my warehouse.
Half of it is trying to save a handling, shipping and customs costs shipping into europe. But i guess that all changes again in July when customers have to pay VAT in the country of delivery not departure.
That is going to cause one hell of an issue in europe. Especially when they / we cotton on to the fact that the new ruling isnt Brexit related just sneaky EU delaying their implementation by 6months.
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