LIMITED FISCAL REPRESENTATION (Lfr)

VAT registration takes time? 

Licensing procedures are complex?

Looking to start your business a.s.a.p.?

Limited Fiscal Representation (LFR) might be the right solution for you.

As a Limited Fiscal Representative in the Netherlands, we provide non-EU businesses with full VAT compliance support for imports into the Netherlands and intra-EU distribution. Through our LFR services, non-EU companies do not need to obtain a Dutch VAT number. Instead, they can use our LFR VAT number together with the Article 23 Import VAT Deferral License —— This means no import VAT needs to be paid at the time of import.

By applying the Article 23 License, import VAT is deferred to the VAT return, significantly improving cash flow and accelerating customs clearance — allowing your goods to enter the European market faster.

Please note, however, that the LFR cannot be applied to the following transactions:

  • purchases within the Netherlands

  • purchases within the EU

  • transfers of inventory to the Netherlands from other EU Member States

  • B2C sales

  • At present, Augmar offers LFR services only for cross-docking shipments or goods sold after short-term storage.

Typical import and supplies scenario

Import from Non-EU → Cross-Dock → Direct Delivery to Customers

Downstream Sales:

  • To Dutch business customers: Issue no-VAT invoices → VAT exempt

  • To business customers in other EU countries: Issue zero-rated invoices → VAT exempt

  • To non-EU business customers or consumers: Issue zero-rated invoices → VAT exempt

Restrictions:

  • Purchases within the EU are not permitted.

  • Stock transfers from other EU member states to the Netherlands are not permitted.

  • B2C sales are not permitted.

Typical Supply Chain:

  • Export Origin: non-EU countries

  • Import country: The Netherlands

  • Customs Clearance: Use our LFR VAT number + Art.23 VAT deferment → no VAT payment when declaring import 

  • Warehousing: No long-term storage.

What Augmar Delivers for You

Registration & Licenses

  • Share our LFR VAT number and Art.23 import VAT deferment license with you

  • Application for EU customs registration (EORI)

Ongoing Compliance & Filing

  • Periodic submission of VAT returns, supplementary VAT returns, EU Sales Listings, and EU Intrastat declarations

  • Review of fiscal documents for VAT compliance

Internal Control & Risk Management

  • Identification and mitigation of VAT risk areas

  • Assistance with tax authority inquiries and audit defense, including preparation of supporting documentation

Operational Support

  • Recommendations on invoice templates

  • Advice on Incoterms/importer of record choices (DDP/DAP, etc.), ensuring VAT and customs alignment

  • Team training: compliance guidelines for sales, operations, and finance teams

Other solutions

Looking to import goods without paying VAT upfront, while also making purchases or B2C sales within the EU?

Discover our GFR solution — it might be the right fit for you.

Looking to avoid providing any security while conducting purchases or B2C sales within the EU?

Discover our VAT Agent solution — it might be the right fit for you.

Interested in learning more?

Get in touch with us or tell us more about your business in the Netherlands to receive a tailored fiscal proposal.