What is Wine In Bond?
“In bond” refers to wine that is stored in a government-authorised bonded warehouse, without duty or VAT (Value Added Tax) having been paid. Bonded warehouses are strictly controlled environments — designed to keep wines in optimal conditions while they mature, are stored for investment, or await resale.
Do You Own the Wine?
Yes, you own wine held in bond where you have clear legal title to it. The wine remains stored at the bonded warehouse, with duty and VAT suspended. While in bond, it can be sold or transferred to another collector or merchant without you first paying these charges. Ownership should always be clearly documented, with records identifying the specific wines, cases and vintages held on your behalf.
Why Use Bonded Storage?
Bonded storage offers several benefits for wine collectors and investors. It allows you to delay paying duty and VAT while the wine remains in bond, and if you decide to sell rather than take delivery, these charges may not become payable by you. Wines that have remained in professional bonded storage can also offer buyers greater confidence in their provenance and storage history, as they have been kept in secure, temperature-controlled conditions. This can make in-bond wines particularly attractive on the secondary market, helping to preserve their condition and marketability. For collectors without suitable cellar facilities at home, bonded storage also provides a secure and professionally managed environment for the long-term storage and ageing of wine.
When Is Duty and VAT Paid?
When wine is removed from bond for UK consumption, the applicable duty and VAT become payable. The amount due will depend on factors including the wine’s alcoholic strength, volume, value for VAT purposes and the applicable rates at the time of removal.
Considering Bonded Storage?
Brightwells works with a number of established bonded warehouses across the UK. If you are considering opening your own bonded storage account, our Wine Department would be happy to guide you through the options and put you in touch with a suitable provider.
Request a Valuation
Buy with Brightwells in Bond
Buying wine in bond through Brightwells allows you to purchase fine wines and spirits while keeping them within bonded storage, with duty and VAT remaining suspended until the goods are removed from bond for UK consumption.
Finding In-Bond Wines
Lots offered in bond are clearly identified within our auction catalogues, including details of the wine, vintage, condition and bonded warehouse location. Browse our upcoming Wine Sold Under Bond auctions online and register to bid on the lots that interest you.
Do I Need a Bond Account?
Yes. Wines purchased in bond must be transferred to a bonded account after the sale. If you already have an account with a bonded warehouse, simply provide us with your account and transfer details once your purchase has been completed.
If you do not yet have a bond account, our Wine Department works with a number of established bonded warehouses and can help guide you through the options and put you in touch with a suitable provider.
Bidding and Payment
Brightwells’ wine auctions are held online, allowing you to bid from anywhere. If you are the successful bidder, an invoice will be issued following the auction. Payment must be made within 48 hours of invoicing by bank transfer.
Buyer’s Premium and any applicable VAT or charges will be detailed within the auction terms and lot information.
Transferring Your Wine
Once your invoice has been settled, we will arrange for the purchased wines to be transferred from the existing bond into your nominated bonded account. You will need to provide the relevant warehouse, account and transfer details so that the movement can be completed correctly.
Any transfer, warehouse administration or delivery charges applicable to the purchase will be advised where relevant.
Keeping Your Wine in Bond
Once transferred into your account, your wine can remain in professional bonded storage for as long as you wish, subject to the terms and storage charges of your chosen warehouse. Keeping wine in bond can help maintain a clear provenance and storage history, while allowing duty and VAT to remain suspended.
You may later choose to sell the wine while it remains in bond or arrange for it to be withdrawn for personal consumption, at which point the applicable duty and VAT will become payable.
Need Help?
Whether you already hold a bonded account or are purchasing in bond for the first time, our Wine Department can guide you through the buying and transfer process. Call us on 01568 619719 or email: wine@brightwells.com