Duty Free Shops - Board Issues FAQ
CBEC has issued 'Frequently asked questions' and their answers on Duty Free Shops & Customs bonded warehouses:
1. Does a DFS operator need to apply for a warehouse licence?
Yes. Any person who is running a Duty Free Shop should apply for a licence under Section 58A.The licensed premises is to be used for storage of the bonded goods, before they are removed to a Duty Free Shop.
2. Are there any restrictions on the items that can be stored in a warehoused licensed under section 58A?
There is no restriction on the items that can be stored in a special warehouse under Section 58A as long as the goods are removed to a DFS under physical escort by the Bond officer.
3. I am a DFS with a warehouse licensed under Section 58A. Can I procure goods from any other public or private bonded warehouse?
Yes. You will have to follow the procedure laid down in the Warehoused Goods (Removal) Regulations 2016. It will be a transfer under Section 67.
4. My warehouse under Section 58A is not large enough to store all the goods imported by me. Can I store the goods in any public bonded warehouse?
Yes. Goods imported by you can be stored in a Public Bonded warehouse licensed under section 57. As and when required, the goods shall be removed from the public bonded warehouse to the warehouse under section 58A. Such removal will be done following the procedure laid down in the Warehoused Goods (Removal) Regulations 2016. It will be a transfer under Section 67.It is also clarified here that the goods stored in the public warehouse cannot be removed directly to the DFS.