A Guide To Import Export Code Registration Online
- Posted By CA Nayani Agarwal
- On 01 Jun, 2024
- Category : Registration
International trade presents a gateway of endless possibilities for Indian enterprises. Whether your objective is to import goods, export products Import / export goods and services (if provider is taking benefits under the Foreign Trade Policy), or expand your business securing an Import Export Code (IEC) is the pivotal initial step toward global market access. This unique code, obtainable through Import Export Code Registration facilitated by the Directorate General of Foreign Trade (DGFT) under the Ministry of Commerce, is indispensable for both importers and exporters.
Businesses possess an excellent opportunity to tap into the international market by engaging in the import and export of their products and services. The Import Export code (IEC) stands as a fundamental prerequisite for venturing into the global market, fostering the expansion and advancement of businesses to a significant degree.
At Patron Accounting, we are committed to simplifying this essential process for you. Our user-friendly platform offers comprehensive registration services, ensuring to acquire Import Export Code (IEC) certificate is more accessible than ever. With our assistance, you will be well-equipped to confidently navigate the global trade landscape.
Secure your Import Export Code (IEC) n today with Patron Accounting!
What is Import Export Code (IEC)?
Business entities must acquire an Import & Export Code (IEC) for conducting import and export activities in India. This code commonly referred to a ten-digit unique identifier issued by the Directorate General of Foreign Trade (DGFT), that has lifetime validity. Predominantly importer merchants cannot import goods without the Import Export Code(IEC) and similarly, the exporter merchant cannot avail benefits from DGFT for the export scheme, etc., without IEC, importers must ensure that their entity holds both GST registration and an Import Export Code (IEC) code, as both are necessary for customs clearance.Failure to possess both the IE code and GST Registration will result in goods being held at the port, accruing demurrage charges, or potentially facing destruction.
Acquiring an Import Export Code (IEC) offers numerous benefits, outlined below:
- Convenient Online Registration: The process of Import Export Code (IEC) Registration is effortlessly facilitated through DGFT Website IEC Code Online Apply, ensuring a seamless experience. Once the online application is submitted by paying the appropriate fees and requisite documents, Certificate will be auto-generated. The DGFT will send the IEC Certificate to an applicant through the e-mail.
- Simplified Documentation: - The notarized copy of lease / rent agreement in the name of the company Global Market Access: The IEC serves as a gateway for import and export businesses, facilitating their entry into the global market and enabling the distribution of products worldwide. This code streamlines the international expansion of Indian companies, fostering growth opportunities.
- Lifetime Validity: The Import Export Code(IEC) Registration is valid for the lifetime of the business, requiring no , filings, or renewals as long as the entity remains and its business operates or until the registration is either revoked or surrendered. Additionally, unlike tax registrations such as GST or PF, importers and exporters are not obligated to file any additional paperwork or adhere to specific compliance requirements like annual filings. ..
- Prevents Illegal Goods Transport: Authentic information is a fundamental requirement for obtaining the Import-Export code, preventing the transportation of illegal goods by ensuring accurate documentation.
- Access to Various Benefits: Registered business entities enjoy numerous benefits, including subsidies from Customs, Export Promotion Councils, or other authorities. Additionally, exporters can avail themselves of tax exemptions through GST’s Letter of Undertaking (LUT) filing, or claim refunds on paid taxes for taxed exports.
- Minimal Compliance Requirements: Importers and exporters are not burdened with specific compliance obligations such as annual filings or return filings, unlike other tax registrations.
- Smooth Transactions: With an Import Export Code (IEC), businesses can smoothly conduct international transactions, including payments to foreign suppliers and receiving payments from overseas clients.
- Credibility and Trust: Possessing an Import Export Code (IEC) enhances the credibility and trustworthiness of a business in the international market, as it signifies adherence to legal and regulatory standards.
Type of Entities Acquiring an Import Export Code (IEC):
The type of firms applying for an Import Export Code (IEC) varies and can include various organizational structures such as:
- Partnership Firm
- Sole Proprietorship
- Limited Liability Partnership (LLP)
- Trust
- Society
- Company
What are the Prerequisites for Applying for IEC?
The type of firms applying for an Import Export Code (IEC) varies and can include various organizational structures such as:
- Access to DGFT Portal with authenticated login credentials (Post Registration on DGFT Portal)
- IEC application can be submitted on behalf of above said various types of firms
- Start a fresh application by entering the general information, details of proprietor/partner/director/Karta/managing trustee.
- The firm is required to possess an active Permanent Account Number (PAN) along with details such as Name as per PAN card , Date of Birth, or Incorporation.
- Additionally, the firm must hold a bank account in its name and provide a valid address of Banker before applying.
Note: These details will undergo validation through the Income Tax Department’s website.
What Documents are required for Import Export Code Registration?
The scanned documents necessary for Import Export Code (IEC) Registration include:
-
Details of Business (No documentary proof Required):
- Category of Import/export
- Category of Product/ Services
-
Proof of establishment/incorporation/registration: certificate as follows:
- Partnership deed
- Registered Society
- Trust
- HUF
- Company
- Others
-
Proof of Address: Proof of Address(es) can be any one of the following documents:
- Rent Agreement
- Sale Deed
- Lease deed
- Telephone landline bill
- Electricity bill
- Mobile, post-paid, Landline bill
- Property tax receipts, Etc.
-
Other acceptable documents (for proprietorship only), any of thefollowing:
- Aadhar card
- Voter ID
- Passport
Note: In cases where the address proof is not under the name of the applicant firm, a single PDF document containing the address proof along with No Objection Certificate (NOC) /Consent Letter / Mou(Memorandum of Understanding from the firm premises owner in favor of the firm must be submitted.
- Proof of the Firm’s Bank Account
- Cancelled Cheque
- Bank’s Certificate /Bank Statement
- Users must possess an active Digital Signature Certificate (DSC) or Aadhaar Otp Verification of the Firm’s member for submission.
- Active Firm Bank accounts are required to input their details in the Application and facilitate online payment of the application fee.
Simplify your IEC application process with Patron Accounting
Patron Accounting is your partner in acquiring an Importer Exporter Code (IEC) in India. Here’s how we can assist you:
- Information and Guidance: Patron Accounting offers thorough insights into the IEC application process, outlining eligibility criteria and the necessary documentation.
- Application Preparation: We aid in assembling the requisite paperwork, encompassing the application form and supporting documents.
- Application Submission: Patron Accounting handles the submission of your IEC application to the Directorate General of Foreign Trade (DGFT) on your behalf, ensuring accuracy and timeliness.
- Monitoring and Tracking: Our team monitors the progress of your application and communicates with the relevant authorities, assisting you in navigating potential obstacles or delays.
- IEC Certificate Delivery: Upon approval, Patron Accounting facilitates the retrieval and delivery of your IEC certificate.
- Professional Guidance: For any inquiries or concerns regarding IEC or international trade, Patron Accounting’s experts offer professional guidance and support.
Utilizing Patron Accounting for your IEC application streamlines the process, saving you time and guaranteeing efficient and accurate handling. This enables you to direct your focus on your import and export endeavors.
Begin your journey with Patron Accounting today!