FREQUENTLY ASKED QUESTIONS (FAQ)

The honest answer is “yes and no”.

The EU welcomes imports if the importer

• Pays VAT on entry (which can be reclaimed later)
• Pays any customs due on entry
• Fills in forms (EORI, ESL, Intrastat, GPSR, CBAM)

For companies who choose to tackle these formalities on their own, they may feel like a wall of paperwork. For those who appoint an experienced VAT Representative, however, it can be a seamless experience with zero effect on their cash flow. They save time on paperwork, stay compliant and avoid up-front VAT payments.

Cableroad, based in Rotterdam, the Netherlands, is an experienced fiscal agent serving importers from around the world. Cableroad, licenced as a VAT Representative and Importer of Record, handles the entire VAT and customs process for its clients.

The Netherlands, with the major port of Rotterdam and Schiphol airport, is the European Union’s key logistics hub and an importer’s most efficient point of entry into the EU market. The Netherlands is one of only three EU countries that offer import free of VAT (article 23 regime).

Importers of goods into the EU pay both VAT and customs duties. While they are often billed together at the border, they are fundamentally different taxes with different rules for how they are calculated, paid, and reclaimed.

VAT is a tax on the final consumer. When you import goods, you are essentially “buying” them into the EU market, so the tax must be accounted for. Customs duties are protectionist taxes (tariffs) intended to level the playing field for EU-based manufacturers. Think of Customs Duty as a “fee to enter” and VAT as a “pre-payment of sales tax”. One is a cost; the other is a cash-flow challenge.

The article 23 regime is unique to the Netherlands. It refers to article 23 of the Dutch Value Added Tax Act (Wet op de omzetbelasting 1968). This article allows importers to defer VAT on their imports to the time they submit the next VAT return, instead of paying VAT immediately on EU entry of the goods. This is called VAT deferment. In practice, this means the payment is set against refunded VAT, resulting in net 0% VAT.

The article 23 regime represents a significant cash flow benefit for importers. Instead of paying VAT on EU entry of their goods and waiting months to get this money back, they can keep their cash in the business.

To qualify, the importer must be based in the Netherlands or appoint a VAT representative in the Netherlands.

Cableroad, based in Rotterdam, the Netherlands, is an experienced fiscal agent serving importers from around the world. Cableroad, licenced as a VAT Representative and Importer of Record, handles the entire VAT and customs process for its clients.

• VAT: payment, administration and tax return
  Importers pay VAT on EU entry of goods and are expected to maintain a full VAT administration (covering imports, local supplies, intra-EU deliveries/ intracommunity supplies and export deliveries). They must submit a VAT return to the tax authorities. Based on this return, the Dutch authorities refund any VAT paid on entry.
  Appointing a VAT representative saves importers a great deal of administrative work. Moreover, this makes it unnecessary to pay VAT up front and wait for it to be refunded many months later.
• Customs
  Importers must declare all goods subject to customs or excise duties and pay these duties on EU entry of the goods.
  Appointing an Importer of Record saves administrative work. Moreover, the IoR can arrange prefinancing of import duties, providing a significant cash flow benefit.
• Filling in forms
  Importers must deliver data for EORI (Economic Operators Registration and Identification), European sales listing (ESL), Intrastat return (for statistical purposes), GPSR (EU General Product Safety Regulations), CBAM (EU Carbon Border Adjustment Mechanism) and the VAT administration.
  A VAT representative can handle all this paperwork and help to ensure full compliance.

Cableroad, based in Rotterdam, the Netherlands, is an experienced fiscal agent serving importers from around the world. Licenced as a VAT Representative and Importer of Record, Cableroad handles the entire VAT and customs process for its clients.

Fiscal agents offer VAT representation and related services. Once appointed as the importer’s VAT Representative and/or Importer of Record, they can handle all paperwork for importers into the EU, such as VAT administration, the VAT return and VAT deferment, but also filling in all necessary forms.

Cableroad, based in Rotterdam, the Netherlands, is an experienced fiscal agent serving importers from around the world. Cableroad, licenced as a VAT Representative and Importer of Record, handles the entire VAT and customs process for its clients.

A VAT representative,also called (limited or general) fiscal representative, handles all VAT-related paperwork for the importer and arranges deferment of VAT payment. The payment is deferred until after the importer’s VAT return is submitted, when it can be set against the VAT refund, resulting in 0% VAT. The VAT representative can also fill in the necessary forms for the importer.

Appointing a VAT representative is mandatory for non-EU companies who sell goods online in the Netherlands.

Cableroad, based in Rotterdam, the Netherlands, is an experienced fiscal agent serving importers from around the world. Cableroad, licenced as a VAT Representative and Importer of Record, handles the entire VAT and customs process for its clients.

• LFR: A Limited Fiscal Representative arranges VAT deferment and other VAT administration under their own VAT registration number. The appointment of an LFR can be completed in 48 hours if needed. An LFR can also fill in all the necessary forms for the importer.
• GFR: A General Fiscal Representative applies for a VAT number for the importer. This takes 4-5 weeks. The GFR can also get the importer their own Article 23 VAT deferment licence. This greater independence allows the importer to deliver goods from their EU based manufacturers to their EU clients without having to export and re-import. The GFR, like the LFR, also offers full administrative support.

Cableroad, based in Rotterdam, the Netherlands, is an experienced fiscal agent serving importers from around the world. Licenced as a VAT Representative and Importer of Record, Cableroad handles the entire VAT and customs process for its clients. Cableroad can be appointed as an LFR or GFR.

The Importer of Record (IoR) takes over the importer’s administrative work relating to customs and excise duties. Moreover, the IoR can arrange prefinancing of customs and excise duties, providing a significant cash flow benefit.

Cableroad, based in Rotterdam, the Netherlands, is an experienced fiscal agent serving importers from around the world. Licenced as a VAT Representative and Importer of Record, Cableroad handles the entire VAT and customs process for its clients.

An EU Import One-Stop Shop (OSS) is an administrative arrangement that allows importers to keep stock in their EU entry country and sell directly to consumers across the EU via their own web shop. VAT on these sales is only paid in the EU entry country. If this is the Netherlands, the VAT paid is later refunded. In this case, the VAT payment can be deferred and later set against the refund, resulting in 0% VAT. The importer does not need their own VAT number.

A VAT representative (either LFR or GFR) offers full administrative support for setting up and maintaining an importer’s OSS, also arranging VAT deferment.

Cableroad, based in Rotterdam, the Netherlands, is an experienced fiscal agent serving importers from around the world. Licenced as a VAT Representative and Importer of Record, Cableroad handles the entire VAT and customs process for its clients. Cableroad has extensive experience setting up and maintaining OSS structures for its clients.

Incoterms (International Commercial Terms) are sets of standard terms issued by the International Chamber of Commerce. They determine how costs and risks are divided between sellers and buyers. The latest update is Incoterms 2020. There are 11 different Incoterm options. In the EU, clients expect DDP (delivery duty paid), which determines that the sellers handle all risks and costs.

If you have appointed an LFR (limited fiscal representative) to ensure that VAT and customs duties are settled and that the goods are in free circulation, DDP is obligatory.

Cableroad, based in Rotterdam, the Netherlands, is an experienced fiscal agent serving importers from around the world. Cableroad, licenced as a VAT Representative and Importer of Record, handles the entire VAT and customs process for its clients.

For ocean freight, the port of Rotterdam is the most efficient point of entry into the EU. Connecting the deep-sea ocean freight leg to the next transport modality is an efficient and predictable process, only dependent on smooth customs clearance in most cases. What the next modality ideally is (barge, truck, train, shortsea, etc.) depends on the importer’s products, routing and lead-time requirements.

For airfreight, the destination mostly predicts the ideal airport of arrival. However, since Schiphol airport is the largest cargo entry airport in the EU and very efficiently connected with back-land distribution, this is often the best option.

For companies that have arranged tax deferment in the Netherlands, the goods must pass through the Netherlands.

Cableroad, based in Rotterdam, the Netherlands, is an experienced fiscal agent serving importers from around the world. Cableroad, licenced as a VAT Representative and Importer of Record, handles the entire VAT and customs process for its clients. Cableroad is well equipped to make an assessment of your supply chain and advise which transport modalities best fit the legs of your supply chain.

HS (Harmonised System) codes are six-digit codes developed by the World Customs Organisation to classify products.  The HS code determines the duties that are applicable, so it is important to use the correct code. Mistakes can result in additional charges or fines. Appointing an Importer of Record is a good way to save work and avoid mistakes with HS codes. If there is any doubt about which code should be used, the IoR can apply on the client’s behalf for a Binding Tariff Information (BTI) decision from the EU Trade Portal.

Cableroad, based in Rotterdam, the Netherlands, is an experienced fiscal agent serving importers from around the world. Cableroad, licenced as a VAT Representative and Importer of Record, handles the entire VAT and customs process for its clients, including the assigning of HS codes and BTI decision applications.

An EU VAT warehouse is an administrative arrangement for importers who trade in specific products in bulk (for example tea, grain, tapioca, etc.) that are stored in the EU entry country. In the Netherlands, appointing a VAT representative guarantees that the importer pays 0% VAT on the supply of these products. Note that in this case, products sent to other EU countries must always pass through the Netherlands.

Cableroad, based in Rotterdam, the Netherlands, is an experienced fiscal agent serving importers from around the world. Cableroad, licenced as a VAT Representative and Importer of Record, handles the entire VAT and customs process for its clients. Cableroad has extensive experience setting up and running VAT warehouse structures for clients who want to store goods on EU soil without having an entity here. These typically consist of central storage with possibly bonded and non-bonded stock and smaller storage locations throughout Europe to ensure fast delivery. Cableroad designs the optimal mix of locations based on the spread and volume of goods.

Yes, companies can store goods in special bonded warehouses and create a global hub for distributing goods. With a bonded and non-bonded storage solution, importers can decide which goods that have entered the EU need to be in free circulation and which goods might be shipped out of the EU. The latter goods should not be cleared into the EU at entry, otherwise double duties will be charged.

Cableroad, based in Rotterdam, the Netherlands, is an experienced fiscal agent serving importers from around the world. Cableroad, licenced as a VAT Representative and Importer of Record, handles the entire VAT and customs process for its clients.  Cableroad has experience setting up bonded and non-bonded warehouse solutions.

As of 1 July 2026, low-value parcels (under €150) entering the EU will no longer be exempted from EU customs clearance. Consolidating shipments is a very popular method to counter significant additional costs. However, there are strict rules, regulations and prerequisites that need to be taken into account in setting this up. Appointing an Importer of Record is advisable to guarantee compliance.

Cableroad, based in Rotterdam, the Netherlands, is an experienced fiscal agent serving importers from around the world. Cableroad, licenced as a VAT Representative and Importer of Record, handles the entire VAT and customs process for its clients. Cableroad’s experts can create the necessary structures for consolidation of shipments.