This spell effectively "resets" the permanent to being just like it was freshly cast. All counters, Auras, effects, and so on are removed when it is exiled. Then it comes back onto the battlefield like new.

It will trigger "enters" abilities and "leaves the battlefield" abilities. Note that the card does not go to the graveyard, so it will not trigger "goes to the graveyard" abilities.

This could be used to make the target of another spell or ability illegal if this wasn't a sorcery (which makes it really hard to do that). This is because the Flickered permanent leaves the battlefield and then returns as a completely different permanent, and the targeted spell will not recognize it.