Everything to know about Import Export Code Registration
A key business identification number needed for exports and imports in businesses is the importer-exporter code (IEC). No imports or exports may be made without an IEC Number that has been issued by the DGFT. When importing, and exporting services or technology, the IEC code is necessary if the supplier is using benefits provided by the Foreign Trade Policy or is working with particular services or technologies.
Any of the following business structures are eligible to apply for an IEC-Proprietorship, Partnership, LLP, Trust, HUF, and Society. Since the implementation of GST, the company's
PAN and IEC numbers are the same. The DGFT would separately issue the IEC. Let's Discuss Import Export Code and its registration in detail.
Why obtain an import export code?
The following circumstances will necessitate the use of the import-export code by importers and exporters:
- The customs authorities will ask importers for an Import Export Code when they need to clear their cargo through customs.
- Banks will ask importers for an Import Export Code when they transfer money internationally through banks.
- The customs port will request an Import Export Code from exporters when they have to submit their shipments.
- The bank will request an import export code from the exporter when payment is made to the exporter in foreign currency and the funds are deposited directly into the exporter’s bank account.
Benefits of Import Export Code Registration
The main benefit of IEC registration is that it makes it possible for regional firms and industries to develop their markets beyond their borders.
- Business growth: Expanding into new markets, which is easy to do through international trade, is one tried-and-true technique for reaching business expansion and growth goals. For your business to successfully reach these new markets, IEC registration is a vital document.
- Subsidies: An IEC code provides the bearer with discounts on product exports. These can be traditional export subsidies or, in the case of imports, exemptions from excise taxes.
- Tax Benefits: The government offers tax breaks for imports that are finished within a particular amount of time.
- Enables import and export cross-border payments: Banks and other financial institutions need the IEC number to conduct cross-border transactions for their customers.
- Verification and scam checks: The customs agency utilizes the IEC number to assess a company’s eligibility to conduct imports and exports as well as to confirm its legal status in India.
Steps to Apply for in Import-Export Code Registration
- First, visit the DGFT official website.
- Then at the top-header click on the ‘Services’ tab on the homepage.
- From the drop-down menu, choose ‘IEC Profile Management.
- There will be a new page. On the page, select the “Apply for IEC” option.
- Choose the “Register” option from the menu. Then tap on the “Sent OTP” button after entering the required information.
- After entering the OTP, press the “Register” button.
- You will receive a notice containing the temporary password after the OTP is successfully validated, which you can alter after you’ve logged into the DGFT website.
- Enter your username and password to access the DGFT website after registering there.
- Then again choose “Apply for IEC” at the drop-down menu on the website Click the “Submit and Generate IEC Certificate” button after completing the “Aayaat Niryaat Form – ANF2A” application form, uploading the required files, and paying the required costs. It is required to provide Appendix-18B Attested by Applicant’s Banker on Applicant’s Letterhead with two passport-size pictures together with the IEC Code Number Application Form.
- The DGFT will generate the IEC code. Once the IEC code is available, you can print your certificate.
Documents Required for an IEC Code
- Voter identification, an Aadhar card, or a copy of a passport.
- Copy of the residence or the rent agreement or electricity bill.
- Current account information
- Individual /Firm /Company copy Card PAN.
- Certificate from a bank or cancel cheque copies.
- Passport-size photos in two copies.
A self-addressed envelope for registered mail delivery of the Import Export Code certificate.
Validity of IEC Registration
An organization's assigned IEC number must be valid across all of its factories, divisions, units, and branches. The IEC code only requires registering once and has lifetime validity. However, the DGFT mandates that each IEC holder electronically update their information once a year. Inaction would result in deactivation. All you need to do to revive your IEC is do the annual update. According to recently modified IEC regulations, the IEC must be renewed annually between April and June via DGFT system authentication.
How do I apply for an IEC duplicate certificate?
If you obtained an IEC Certificate through the new e-IEC process, you can download the certificate online by logging onto the DGFT portal (you should have an IEC login id and password). If, however, you obtained your IEC through a physical process, you must reapply for an electronic copy with all the necessary documentation, and the DGFT will issue you a certificate in a new online format.
What will happen if an IEC is not updated on time?
If an IEC code is not updated within the allotted time frame, it will be deactivated. However, after a successful update, an IEC that has been deactivated may be reactivated. This would not, however, affect any additional measures that might be implemented in response to violations of other aspects of the Foreign Trade Policy. The specified IEC must be reactivated following a successful upgrade to report the revised status to the Customs system.
Why choose us? : Kaushalya Consultants
- From completing the checklist to processing the documents, our professionals will walk you through the entire procedure.
- We’ll update you on the progress of your application.
- Our professionals will efficiently and affordably finish the import export code registration process.
- With us, the full process lasts roughly 7-10 days.
- We will help you fill out an online application for an import-export license.
Frequently Asked Questions
Import Export Code Code is a unique 10-digit code given to Indian companies by the Director General of Foreign Trade, Ministry of Commerce, Government of India.
It is necessary to apply for an IEC, PAN, bank account, and proper address under the company's name. When issuing the IEC, the DGFT may conduct physical verification of the address. Before applying, please have your PAN, bank information, and firm information handy.
Link your IEC to your user profile if the IEC is already registered. Before linking, kindly have your digital signature receipt handy.
Important information regarding the importing or exporting firm as registered with DGFT is captured in the import-exporter profile. The main component of the Profile is the IEC. Along with the IEC, this profile also includes information on the RCMC, industrial registration information, status holder information, past export performance, etc.
By clicking, you can edit an IEC's details and submit a request for an automatically approved change.
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