Benzyl carbazate is widely used in organic synthesis as a reagent for the protection of carbonyl groups. It reacts with aldehydes and ketones to form hydrazones, which are stable intermediates that can be easily converted back to the original carbonyl compounds under mild conditions. This property makes it valuable in multi-step synthesis processes, particularly in the pharmaceutical industry, where it aids in the production of complex molecules.

In addition, benzyl carbazate serves as a precursor in the synthesis of various heterocyclic compounds, which are essential in the development of drugs, agrochemicals, and dyes. Its ability to form stable derivatives with carbonyl compounds also makes it useful in analytical chemistry for the detection and quantification of aldehydes and ketones.

Furthermore, benzyl carbazate is employed in the preparation of polymer materials, where it acts as a cross-linking agent or modifier to enhance the properties of the final product. Its versatility and reactivity make it a key component in diverse chemical applications.