International businesses importing goods into Europe often face one major challenge during expansion: import VAT costs. Many companies are surprised when they realize that VAT payments must often be made immediately during customs clearance.
However, the Netherlands offers a solution that has made the country extremely attractive for international trade businesses. This solution is known as the Article 23 VAT Netherlands scheme.
The Article 23 system allows businesses to defer import VAT instead of paying it upfront during customs processing. Because of this, many international companies choose the Netherlands as their European import hub.
Today, eCommerce brands, distributors, Amazon sellers, and trading businesses regularly apply for Article 23 registration while expanding into Europe.
This article explains how the system works and why import businesses benefit from using the Dutch Article 23 structure.
What Is Article 23 VAT Netherlands?
The Article 23 VAT Netherlands scheme is a Dutch VAT deferment system for import businesses.
Normally, when goods enter Europe, import VAT must be paid immediately during customs clearance. This creates cash flow pressure for many companies.
However, businesses using the Article 23 system can postpone VAT payments and report them later through their VAT returns.
Because of this, businesses avoid large upfront VAT costs during imports.
This system is especially useful for:
- eCommerce companies
- Import-export businesses
- Product distributors
- Consumer goods brands
- Amazon sellers
- Trading companies
Similarly, many international businesses choose Dutch import structures specifically because of this VAT advantage.
The Netherlands Is a Major European Import Gateway
The Netherlands has become one of Europe’s strongest logistics and customs hubs.
Businesses importing through the Netherlands benefit from:
- Major seaports
- Strong warehouse infrastructure
- Fast EU distribution access
- Professional customs systems
- International banking connectivity
Because of this, many businesses complete Netherlands business registration specifically to access Dutch import advantages.
Likewise, Dutch logistics infrastructure supports efficient product movement across Europe.
This makes the Netherlands highly attractive for global supply chains.
Article 23 Helps Businesses Improve Cash Flow
One of the biggest benefits of the Article 23 VAT Netherlands scheme is improved cash flow.
Without VAT deferment, businesses may need to pay large VAT amounts immediately during imports.
For example:
| Scenario | Without Article 23 | With Article 23 |
| Import VAT payment | Paid upfront | Deferred through VAT return |
| Cash flow pressure | High | Reduced |
| Working capital availability | Lower | Higher |
Similarly, businesses importing products regularly benefit significantly because capital remains available for operations instead of being tied up in VAT payments.
This is one reason import companies prefer Dutch import structures over many other European options.
Import Businesses Can Scale Operations More Efficiently
Growing businesses often import products frequently.
This includes:
- Inventory restocking
- Seasonal product imports
- Wholesale shipments
- Consumer goods distribution
Without VAT deferment, import costs increase operational pressure.
However, Article 23 VAT Netherlands allows businesses to manage larger shipment volumes more comfortably.
Similarly, companies can use available capital for:
- Marketing
- Inventory growth
- Hiring
- Expansion operations
instead of paying import VAT immediately.
EORI Registration Is Usually Required for Imports
Businesses importing products into Europe generally require customs registration as well.
This is where the netherland eori number becomes important.
An EORI number is used for:
- Customs declarations
- Import processing
- International shipping
- EU trade identification
Similarly, businesses usually apply for a netherland eori number alongside VAT registration and Article 23 arrangements.
Without customs registration, businesses may face shipping delays or customs issues.
Because of this, import planning usually includes:
- VAT registration
- EORI registration
- Customs coordination
- Financial administration
together.
Foreign Businesses Can Access the Article 23 System
Many international entrepreneurs think only Dutch residents can use the system.
However, foreign businesses involved in Netherlands business registration can often apply for Article 23 arrangements if they operate through Dutch import structures.
International companies from countries like:
- United States
- United Kingdom
- India
- UAE
- Canada
- Singapore
regularly use Dutch VAT deferment systems for European imports.
Still, proper registration and compliance setup remain important.
Article 23 Supports eCommerce Growth
eCommerce businesses importing products into Europe benefit heavily from VAT deferment systems.
Many online sellers use Dutch import operations for:
- Amazon FBA inventory
- Shopify fulfillment
- EU warehouse distribution
- Consumer product imports
Without Article 23 VAT Netherlands, upfront VAT payments can slow inventory scaling.
Similarly, businesses importing high-value products benefit even more because VAT amounts become larger.
This is why many eCommerce companies choose the Netherlands for EU expansion.
Proper Netherlands Business Registration Matters
Import operations require proper company registration and compliance planning.
Businesses usually need:
- Dutch company registration
- VAT registration
- Customs setup
- EORI registration
- Accounting systems
Because of this, many companies complete Netherlands business registration before beginning import operations.
Similarly, businesses should organize financial systems early to manage VAT reporting correctly.
Accurate Accounting Is Important for VAT Deferment
Businesses using the Article 23 system must maintain organized accounting records.
This usually includes:
- VAT transaction reporting
- Import documentation
- Customs records
- Financial administration
- Invoice management
Likewise, businesses should track imports carefully to maintain compliance with Dutch tax authorities.
Many companies work with accounting specialists to manage these obligations properly.
The Netherland EORI Number Supports Customs Operations
Import businesses cannot rely on VAT registration alone.
A netherland eori number remains necessary for customs identification across Europe.
Businesses generally require EORI registration before:
- Importing products
- Working with freight companies
- Processing customs declarations
- Shipping goods internationally
Similarly, customs authorities use EORI systems to track trade activity and identify businesses involved in imports.
This makes EORI registration an important operational requirement for scaling businesses.
Why Many Foreign Businesses Choose Dutch Import Structures
The Netherlands offers several advantages for international import companies.
These include:
- Strong logistics infrastructure
- VAT deferment benefits
- Efficient customs systems
- Access to EU customers
- International business reputation
Because of this, many businesses use Dutch entities as their primary European import base.
Likewise, combining Article 23 VAT Netherlands with Dutch logistics systems creates smoother operational scaling opportunities.
Common Challenges Businesses Should Prepare For
Although the system offers major benefits, businesses should still prepare carefully.
VAT Compliance Requirements
Companies using VAT deferment must maintain proper VAT reporting and bookkeeping.
Customs Documentation
Incomplete customs paperwork may create shipment delays.
Operational Coordination
Businesses often need to coordinate:
- VAT registration
- EORI setup
- Banking
- Accounting
- Logistics support
This creates additional planning requirements during expansion stages.
Still, proper preparation reduces most operational issues significantly.
Why Many Businesses Work With Dutch Specialists
International businesses entering Europe often require support with:
- Netherlands business registration
- VAT registration
- EORI applications
- Article 23 setup
- Accounting support
- Customs coordination
Because of this, many companies work with local Dutch firms experienced in international trade operations.
For example, firms like FirmNL support businesses with Dutch company formation, VAT deferment, EORI registration, and import compliance services.
This becomes especially valuable for companies entering Europe for the first time.
Final Thoughts
The Article 23 VAT Netherlands system has become one of the biggest reasons international businesses choose the Netherlands for European import operations.
By allowing businesses to defer import VAT, the system improves cash flow and supports smoother operational scaling.
Similarly, proper Netherlands business registration and obtaining a netherland eori number are essential steps for companies planning long-term European trade activities.
For import-focused businesses, the Dutch system offers strong financial and logistical advantages compared to many other European markets.
With proper planning and local support, international companies can build highly efficient European import operations through the Netherlands.
