Guiding Your Finances to Success.

Our expert team is here to guide you every step of the way, helping you navigate the complexities of personal finance.

Call Expert

Need help?


Social Networks

Importer Exporter Code Registration

Let's Connect
Please enable JavaScript in your browser to complete this form.
Name

Import Export Code (IEC) Registration - An Overview

Import-Export Code or IEC registration is mandatory for every person and organization engaged in importing and exporting activities from India. Such a 10-digit code issued by the Directorate General of Foreign Trade (DGFT) is necessitated for carrying out customs clearance, export benefits, and expansion in international markets.

If a firm is eligible, then an IEC can be made applicable by a proprietorship, partnership, LLP, or a company. The procedure includes submitting documents such as PAN card, Aadhar card, mobile number, email address, and other details required for registration. The whole procedure is online, ensuring there is no hitch in applying for the IEC.

1

Benefits of Obtaining an IEC

An Importer Exporter Code (IEC) offers several advantages to businesses involved in international trade. Here are the key benefits of IEC Registration :

 
Advantages of Acquiring IEC

For any business engaged in international trade, an IEC has a host of advantages. Here are a few of those advantages of IEC Registration:

Access to the World Market

The IEC allows the market reach of businesses around the globe and places a product in front of the world. This code streamlines international trade transactions and removes extra paperwork or the necessity to renew it frequently. With the IEC, businesses extend their reach beyond India.

Government Schemes and Benefits

The schemes and the associated tax benefits offered by the government can be availed for developing international trade by businesses with an IEC. Registration has been made simple by the DGFT through its website. The applicant need not possess a Digital Signature Certificate for registration. Even non-registered businesses can apply; Aadhaar authentication is also accepted.

Opportunities for Business Expansion

The IEC helps businesses grow by opening opportunities for expansion globally. It enhances business relationships in quality while observing trade with proper respect of customs regulations. The code offers lifetime validity, hence a long-term solution for companies seeking operations on an international level.

Documents Required for IEC Registration

To get an Import Export Code (IEC) in India, you need to submit some key documents. This registration is a one-time process and doesn’t require yearly filings, but it’s important to keep your information up to date.

  • PAN Card: A Permanent Account Number (PAN) card for the business or individual applying for the IEC.
  • Identity Proof: This can be an Aadhaar card, passport, or voter ID.
  • Address Proof: Documents like an electricity bill, rent agreement, or property papers can be used as address proof.
  • Bank Certificate or Canceled Cheque: You’ll need a bank certificate confirming your account details or a canceled cheque with the business name.
  • Digital Signature Certificate (DSC): If you are applying online, you may need a DSC for submitting the application.
  • Passport-sized Photograph: A recent photograph of the applicant is required.
  • Certificate of Incorporation or Partnership Deed: If you are a company or partnership, you need to provide these documents to prove the legal status of your business.
  • One-Time Registration: The IEC is a one-time registration with no annual filings. However, it’s important to keep your information updated to avoid any issues.
  • Bank Requirements: Banks often need the IEC when handling foreign currency transactions for imports and exports.
  • Annual Updates: While not required, it’s a good idea to update your IEC yearly if anything changes. You can do this by logging into the IEC portal and submitting the updated details with your Digital Signature.

Eligibility for IEC Registration

The Proprietor may make an application for IEC if the proprietor has a PAN card, bank account, and proof of address for business. The DGFT shall also physically verify the address at the time of issuing the code.

 

Partnership
Firms

The partnership firms must present their partnership deed, PAN card, and proof of address. All the partners shall be eligible to file in the name of the firm.

Limited Liability Partnerships

For LLPs, a partnership deed along with an incorporation certificate is mandatory. Valid bank account and business address proof for the firm is also required.

Private Limited Companies

A private limited company needs to provide a certificate of incorporation, PAN card with an address proof of the business. The firm has to get registered under Indian law.

Public Limited Companies

In addition to private limited companies, public limited companies also make use of these documents wherein they use a certificate of incorporation, PAN card, and address proof.

Societies, Trusts, and HUFs

Societies, trusts, and even Hindu Undivided Families or HUFs can also apply for an IEC. The documents they require are a registration certificate, PAN card, and address proof, for which they would have to produce.

 

Foreign Trade (Development and Regulation) Act, 1992

The Foreign Trade (Development and Regulation) Act, 1992 allows the Central Government to manage international trade. It makes the IEC mandatory for anyone wanting to import or export goods. This Act helps businesses follow the right trade rules and encourages more imports and exports.

Directorate General of Foreign Trade (DGFT)

The Directorate General of Foreign Trade (DGFT) is part of the Ministry of Commerce and Industry. It is responsible for giving businesses their IEC and managing trade policies. The DGFT also issues import licenses for restricted goods and ensures businesses follow the trade laws to improve their reputation globally.

Compliance Requirements for IEC Holders

Once businesses get an IEC, they must follow some important rules. They need to update their IEC profile every year. If they don’t, the IEC might get deactivated. The DGFT checks the business address and other details to make sure everything is correct. Not following these rules can cause issues with customs clearance.

Understanding the Foreign Trade Policy

India’s Foreign Trade Policy helps businesses trade with other countries. This policy is updated regularly to help businesses grow. The 2015-2020 Foreign Trade Policy helps businesses enter global markets, benefit from government schemes, and follow trade regulations.

FAQs on Import Export Code

How Long Does IEC Registration Take?

IEC registration typically takes 2 to 5 working days after submitting the application, provided all the documents are accurate and complete.

What Are the Costs Involved in IEC Registration?

The fee for IEC registration is minimal, typically around INR 500. Additional fees may apply if you use professional services to help with the process.

Can I Use a Single IEC for Multiple Businesses?

No, each business entity needs its own unique IEC. You cannot use the same IEC for multiple businesses, even if you own them all.

Is IEC Mandatory for Service Exporters?

An IEC is not required for service exporters unless they are availing benefits under the Foreign Trade Policy. However, it’s recommended to have one for smoother transactions.

How to Check the Status of My IEC Application?

You can check the status of your IEC application by logging into the DGFT website using your credentials. The portal provides updates on the progress of your application.

Â