Logistics and transit of the EU countries today cannot do without a Fiscal representative.
Following the example of the EU countries in Latvia since 2011, a fiscal representative has been registered.
Any person registered in the EU when carrying out taxable transactions in the Republic of Lithuania (for example, transactions for the sale of goods within a warehouse)
may not register in the Republic of Latvia as a VAT payer, but use his logistics representative - a fiscal representative - to represent his fiscal interests in the Republic of Lithuania.
DIPOL Latvija SIA is able to provide the services of a fiscal representative and has the right to represent its client in transactions made in the Republic of Latvia,
which are related to the export of goods from the European Union or the import of goods into the European Union.
The fiscal representative of DIPOL Latvija SIA gives customers the opportunity to:
• Compile and accommodate shipments originating outside the European Union (to Russia, Ukraine, Belarus and other 3rd countries)
• Complete and adapt incoming shipments from third countries to the European Union in the same way
• Significantly reduce the cost of customs formalities
Fiscal Representative Benefits
Based on the successful experience of the EU countries, Latvia has made changes to its regulations for a clear understanding of such a discipline as a Fiscal Representative.
These provisions help to understand how the rights of every trader registered in the EU or a foreign country to authorize a representative to protect his fiscal interests.
Along with the introduction of these changes, customers receive:
- Removal of VAT liability of the supplier/sender
- Supplier/sender after registration of accompanying documents for the client's fiscal representative (hereinafter referred to as FI) in Latvia,
disclaims any responsibility for paying VAT from the moment the goods are received at the FP warehouse.
In contrast to liability, which theoretically can be delayed by complex or incorrectly executed customs procedures.
Consolidation of goods according to the order, selection and dispatch
By consolidating different shipments from different suppliers in the same FP warehouse and choosing the execution of order picking, delivery to the client is carried out with significant savings in the cost of compiling and processing documentation. For example, if you process 6 partial inbound shipments from 4 different suppliers (LTL) as one outbound (FTL) shipment using fiscal representation, the savings is 6:1.
Possibility of international trade transactions (purchase and sale) without VAT
With the FP, it becomes possible to carry out international transactions for the sale of goods that are in stock and intended for further export, to which VAT is not applied.