Hong Kong Dutiable Commodities Licence Requirements: Who Must Apply and How

Hong Kong Dutiable Commodities Licence and Permit Requirements

Anyone importing, exporting, manufacturing, storing, or dealing in dutiable commodities must hold the appropriate licence or permit from the Customs and Excise Department. The primary authorising legislation is the Dutiable Commodities Ordinance (Cap. 109). A hong kong dutiable commodities licence is not a single document but a set of permits specific to the commodity and the activity.

Four categories of goods are dutiable: liquor, tobacco, hydrocarbon oil, and methyl alcohol. The Customs and Excise Department enforces the specific licence and permit requirements for each category.

Additional Licences for Dutiable Commodities

The licence for selling alcohol to the public is different from the dutiable commodities licence for handling goods before they reach the consumer. The Liquor Licensing Board grants the licence for selling liquor for consumption on premises. The Customs and Excise Department grants the licence covering import, export, removal, and storage of dutiable goods. A restaurant holding a liquor licence still needs a dutiable commodities permit if it imports its own liquor or moves duty-paid stock between premises.

Hong Kong Dutiable Commodities Permit

A hong kong dutiable commodities permit authorises the movement of dutiable goods from one location to another, whether within Hong Kong or across its borders. The permit system covers import, export, and removal. No person may remove dutiable goods from a bonded warehouse, a licensed manufacturing premises, or a duty-paid area without a valid removal permit issued by the Customs and Excise Department.

License for Dutiable Goods Hong Kong

The term license for dutiable goods hong kong refers to the set of authorisations required for dealing with dutiable commodities. The standard licence types are set out below.

Each licence permits the holder to import, export, manufacture, or store the specified commodity. A separate removal permit is required each time dutiable goods are moved.

Dutiable Commodities Ordinance Hong Kong

The dutiable commodities ordinance hong kong is the Dutiable Commodities Ordinance (Cap. 109). It defines dutiable commodities as goods on which excise duty is levied. The ordinance establishes the duty point, the moment at which duty becomes payable, and sets out the rules for excise duty rates, concessions, and exemptions. It also empowers the Customs and Excise Department to issue licences, permits, and to inspect premises and records.

Customs and Excise Hong Kong Dutiable Goods

Customs and excise hong kong dutiable goods refers to the enforcement and administration of the Dutiable Commodities Ordinance by the Customs and Excise Department. This department handles customs clearance, inspections, and the collection of excise duty. It also manages the bonded warehouse system. A bonded warehouse is a licensed premises where dutiable goods can be stored without immediate payment of duty. Goods held in bond are not yet duty-paid and may be re-exported without incurring duty.

Liquor Licence

A liquor licence under the Dutiable Commodities Ordinance is required for any person who imports, exports, manufactures, stores, or deals in liquor that is dutiable. This is separate from the licence issued by the Liquor Licensing Board. A business that imports its own wine or spirits for sale must hold both the dutiable commodities liquor licence and the Liquor Licensing Board licence. The Customs and Excise Department issues the liquor licence for dutiable purposes.

Tobacco Licence

A tobacco licence is required for any person who imports, exports, manufactures, stores, or sells tobacco products that are dutiable. Tobacco products include cigarettes, cigars, and other smoking and chewing tobacco. The licence covers the handling of tobacco before it becomes duty-paid. Retailers selling duty-paid tobacco do not need a tobacco licence. Anyone importing tobacco for commercial purposes must obtain one.

Hydrocarbon Oil Licence

A hydrocarbon oil licence is required for any person who imports, exports, manufactures, stores, or deals in hydrocarbon oils such as petrol, diesel, and kerosene. The licence applies to both duty-paid and duty-free operations. Hydrocarbon oils stored in bonded warehouses are subject to the same permit requirements as other dutiable commodities.

Methyl Alcohol Licence

A methyl alcohol licence is required for any person who imports, exports, manufactures, stores, or deals in methyl alcohol. Methyl alcohol is dutiable and subject to the same control regime as other dutiable commodities. The licence applies to industrial users and commercial dealers.

Import Permit Dutiable Goods

An import permit dutiable goods authorises the importation of dutiable commodities into Hong Kong. Obtain the permit before the goods arrive at the border. The importer must declare the dutiable quantity of the goods and pay the applicable excise duty unless the goods are placed in a bonded warehouse.

Export Permit Dutiable Goods

An export permit dutiable goods is required to export dutiable commodities from Hong Kong. Obtain the permit before the goods leave. Even duty-paid goods being re-exported may require an export permit, depending on the commodity and the circumstances.

Removal Permit

A removal permit is required for moving dutiable goods from one premises to another within Hong Kong. This applies to movements between bonded warehouses, from a warehouse to a retailer, or from a manufacturer to a warehouse. Moving dutiable goods without a removal permit is an offence under the Dutiable Commodities Ordinance.

Duty-Paid Goods and Duty-Free Concession

Duty-paid goods are dutiable commodities on which the excise duty has been paid to the Customs and Excise Department. Once duty has been paid, the goods may be sold, stored, or used without further permit requirements, subject to the conditions of the original licence. A duty-free concession is an exemption from excise duty granted for specified purposes. These include aircraft or ship stores, diplomatic missions, and other specified uses. Goods held under a duty-free concession remain under customs control. Do not divert them to other uses without approval.

Licensee Records

Every holder of a dutiable commodities licence must maintain accurate records of all dutiable goods received, stored, manufactured, removed, and sold. Keep these records at the licensed premises. Customs and Excise officers may inspect them at any reasonable time. The records must include the dutiable quantity of each commodity, the date of receipt or removal, and the name and address of the supplier or recipient. Failure to maintain proper records is an offence.

Customs Clearance

Customs clearance for dutiable commodities involves presenting the relevant permits and paying duty before goods can be released from customs control. The clearance process applies to imports, exports, and movements between premises. The Customs and Excise Department may require physical inspection of the goods, verification of the dutiable quantity, and confirmation that the permits are valid.

Excise Duty Rate

The excise duty rate for each dutiable commodity is set by the Legislative Council and published in the Dutiable Commodities Ordinance. Rates vary by commodity and by type within each category. Duty rates are revised periodically and are available from the Customs and Excise Department. The duty point is the moment when the goods are released from a bonded warehouse or are imported for home use.

Bonded Warehouse

A bonded warehouse is a licensed facility where dutiable goods may be stored without payment of duty. Goods may remain in bond indefinitely, provided the warehouse licence is maintained and the goods are not removed without the appropriate removal permit. Bonded warehouses are subject to regular inspection by the Customs and Excise Department. Re-export goods from a bonded warehouse without paying duty. If goods are withdrawn for home use, pay duty at the point of withdrawal.

For further information, refer to the Customs and Excise Department website at https://www.customs.gov.hk and the full text of the Dutiable Commodities Ordinance (Cap. 109) at https://www.elegislation.gov.hk.