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Preferred term

bonded warehouse  

Definition

  • A bonded warehouse is a public or private warehouse authorized by customs officials to hold goods for which payment of duties and VAT (value added tax) has been deferred until removal. Goods stored in a bonded warehouse can be taken out only after applicable taxes and duties have been paid on them, or when they are moved by a bonded carrier to another bonded warehouse or a customs area. [Source: Encyclopedia of Business in Today's World; Bonded Warehouse]

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https://concepts.sagepub.com/social-science/concept/bonded_warehouse

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