Overview
In this age of cut-throat competition, everyone wants to grow their business beyond the limits of the domestic market. However, doing business globally isn’t just a cup of tea for everyone. Before going global, you need to follow several procedures and laws in place and get different registration and license. IEC (Import Export Code) license is one of such prerequisites when you’re thinking of importing or exporting from India. It is also known as Importer- Exporter Code.
IEC (Import Export Code) is required by anyone who is looking to kick-start his/her import/export business in the country. It is issued by the DGFT (Director General of Foreign Trade). IEC is a 10-digit code which has lifetime validity. Predominantly importers merchant cannot import goods without the Import Export Code and similarly, the exporter merchant cannot avail benefits from DGFT for the export scheme, etc. without IEC.
Advantages of IEC Registration
- Expansion of Business – IEC assists you in taking your services or product to the global market and growing your businesses.
- Availing Several Benefits – The Companies could avail several benefits of their imports/ exports from the DGFT, Export Promotion Council, Customs, etc., on the basis of their IEC registration.
- No Filing of returns – IEC does not require the filing of any returns. Once allotted, there isn’t any requirement to follow any sort of processes for sustaining its validity. Even for export transactions, there isn’t any requirement for filing any returns with DGFT.
- Easy Processing – It is fairly easy to obtain IEC code from the DGFT within a period of 10 to 15 days after submitting the application. There isn’t any need to provide proof of any export or import for getting IEC code.
- No Need For renewal – IEC code is effective for the lifetime of an entity and requires no renewal. After it is obtained, it could be used by an entity against all export and import transactions.
Steps Involved in IEC (Import/Export Code) Registration
- Step 1: Application Form: First, you need to prepare an application form in the specified format – Aayaat Niryaat Form ANF-2A format and file it with the respective Regional office of DGFT.
- Step 2: Documents: Secondly, you need to prepare the required documents with respect to your identity & legal entity and address proof with your bank details & the certificate in respect of ANF2A.
- Step 3: Filing Application: Once your application is completed, you need to file with DGFT via DSC (Digital Signature Certificate) and pay the required fee for the IEC Registration.
- Step 4: IEC Code: Finally, once your application is approved then you would receive the IEC Code in a soft copy from the government.
Documents required by different entities for IEC (Import Export Code) Registration
Sole Proprietorship:
- Digital photograph (3*3) of proprietor
- Copy of PAN card of the proprietor
- Copy of passport/voter ID/driving license/UID
- If the business is self-owned, then sale-deed
- If the business is rented, then rental/lease agreement
Partnership Firm:
- Digital photograph (3*3) of the managing partner
- Copy of partnership deed
- Copy of passport/voter ID/UID/driving license/PAN of the managing partner signing the application
- Sale-deed, in the case of self-owned business
- If the business is rented, then rental/lease agreement
- Bank certificate as per ANF 2A/Cancelled cheque bearing blueprinted name of the applicant entity and A/c no.
LLP:
- Digital photograph (3*3) of the designated partner/director of the company signing the application
- Applicant’s copy of PAN card
- Copy of passport/voter ID/UID/driving license/PAN of the managing partner/director signing the application
- Sale-deed, in the case of self-owned business
- If the business is rented, then rental/lease agreement
- Bank certificate as per ANF 2A/Cancelled cheque bearing blueprinted name of the applicant entity and A/c no.
Trust:
- Digital photograph (3*3) of the secretary/chief executive/signatory applicant
- Registration certificate of society/copy of the trust deed
- Copy of passport/voter ID/UID/driving license/PAN of the managing trustee/chief executive signing the application
- Sale-deed, in the case of self-owned business
- If the business is rented, then rental/lease agreement
- Bank certificate as per ANF 2A/Cancelled cheque bearing blueprinted name of the applicant entity and A/c no.
FAQs
1. What is IEC code registration?
Import Export Code or IEC is a 10-digit code that a business or a person needs to import/export goods/services. This code is issued by DGFT (Director General of Foreign trade), Ministry of Commerce and Industries, Government of India. The validity of this code is for lifetime, that is, there is no need to renew it. This code is generated within 5-15 working days after the documents are submitted and all the corrections required are made.
2. What is the process of getting IEC code registered?
Step 1: Preparing application – In order to get code an application must be made in the Aayaat Niryaat Form 2A format to the DGFT in that region where the registered office of the company is established. Government has also arranged online filing facility for obtaining IEC CODE ONLINE. Step 2: Processing of application – Details of the business and its proprietors, directors or partners, bank account details and a bank certificate are the basic requirements of ANF 2A. All the required documents for IEC need to be submitted with ANF 2A. Digital signature is required on the ANF2A form. Step 3: Payment of fee – Once the application is complete, it should be filed with DGFT and an application fee needs to be paid to the government. IEC department may send back your application for correction/change. You need to reply back to the DGFT in 15 days. Step 4: IE code assurance – Once the application is completely verified by the department, the Directorate General of Foreign Trade will allot an IE Code for your business. This IE code comes in both soft copy and hard copy. You receive the softcopy via email and can start the import export transaction with this.
3. What are the documents required to get IEC code registered?
1. Copy of PAN card firm/company 2. Copy of property papers (if owned property) 3. Copy of rent agreement (if rented property) 4. Landlord NOC (format will be provided by us) 5. Cancelled cheque of firm 6. Electricity/water bill (business place) 7. Telephone bill in the same name 8. Copy of tax returns (in case of proprietorship) 9. Certificate of incorporation (in case of company) 10. Bank statement of firm/Company
4. Can a person/entity have more than 1 IEC code?
No. Only 1 IEC is issued to a person/entity. So if more than 1 IEC code is issued, then the same should be surrendered to the Regional Office for cancellation.
5. What happens if IEC number is lost or misplaced?
In such a case, you need to provide an affidavit so that the issuing authority of the IEC code can issue a copy of your IEC number.
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