Overview
An Importer-Exporter Code (IEC) is really important if you want to bring things into India or send them out. It is like a special ID number for your import or export business. Since overseas transactions are considered as business activity. Hence, it must be adhered to the regulations of the government. In India, it is the Importer-Exporter Code that is necessary for businesses involved in foreign trade.
What is Import-export license?
The IEC, which stands for Importer Exporter Code, is a special 10-digit code issued by the Directorate General of Foreign Trade (DGFT), Ministry of Commerce and Industry, Government of India. It is given to a business based on their PAN (Permanent Account Number). If an individual or a business wants to do international trade, then IEC registration is necessary.
Benefits of Import-export license
Business Expansion: The Import Export Code registration is the one needed by an import-export business, enabling a person to enter into the international market and, in this way, improving and progressing the business-standard.
A number of advantages: Companies can enjoy various benefits related to their imports and exports through their IEC registration, such as benefits from DGFT, Export Promotion Council, Customs, etc.
No Return Filing: IEC doesn't require any kind of return filing. Once you have it, you do not have to follow any special process to retain its validity. Even for the export transactions, you need not to file any return with DGFT.
Control illegal trade: In order to obtain an IEC Registration, one has to provide valid and accurate information. The department will not issue an IEC registration without receiving complete and accurate information, thus limiting the illegal trade of goods.
No Renewal Required: An IEC code is effective for the lifetime of your business and does not require renewal. Once obtained, it can be used for all export and import transactions.
Documents Required for Import-export license
These are some of the documents you need to submit for license of import-export.
PAN Card of company or firm
Voter ID, Aadhaar card or passport copy of the Proprietor
Proof of incorporation or registration of the partnership, society, proprietorship firm, or company etc. is necessary to apply for IEC code
Proof of address of the business, like sale deed, lease deed, rent agreement or utility bills, such as electricity bill, telephone bill or water bill.
Cancel cheque copies of bank accounts of company or firm.
Procedure for Import-export code registration in India
Step 1: Go to the website of DGFT.
Step 2: On the homepage, you will find 'Services' tab, just click on it.
Step 3: From the drop-down list, select 'IEC Profile Management.'
Step 4: A new page will appear. Click on the 'Apply for IEC' option.
Step 5: Click on the 'Register' option and provide the necessary details. Then, click on 'Send OTP.'
Step 6: Enter the OTP you receive and click on Register option to get Import-export license.
Step 7: Once the OTP is verified successfully, you'll receive a notification with a temporary password. You can change this password after logging into the DGFT website.
Step 8: Log in to the DGFT website using your username and new password.
Step 9: On the DGFT website, click on 'Apply for IEC Code.'
Step 10: Fill out the application form in ANF 2A format, upload the required documents, make the necessary payment, and click 'Submit and Generate IEC Certificate.'
Step 11: DGFT will generate your IEC code, and you can print your certificate once the code is generated.
How to edit and renew IEC registration?
IEC needs to be renewed every year between the months of April and June. Your import-export certificate may get deactivated, if you fail to renew it.
Here is how to renew your IEC:
Login to the DGFT portal.
Select ‘IEC Portfolio Management’ and click on ‘Update/Modify IEC registration’.
Now, you will require to link your IEC by entering the IEC number. You need to verify it through the OTP.
After completing the above process, click on ‘Update IEC’.
You will see a form with the existing IEC details. You need to select the details in the IEC section that you want to update and then update it accordingly.
Now, complete the process by verifying the IEC registration through a digital signature or Aadhaar.
After successful submission of the IEC update form, the process of IEC renewal will get completed.
Proprietorship Registration
