Introduction
A document known as an Import Export Code Certificate (IEC) demonstrates that the imported items into India adhere to particular specifications. These requirements may consist of taxes, restrictions, and safety norms. IEC is crucial for any business because it enables customs agents to expedite the import of products into India. Additionally, it guarantees that the products imported into India are of the highest calibre and adhere to all applicable laws.
What is an IEC Certificate?
Any business importing or exporting products or services from India must register with the Import Export (IE) Code. The Ministry of Commerce and Industries, Directorate General of Foreign Trade (DGFT), and the Government of India are responsible for issuing the IEC. The Directorate General of Foreign Trade must receive an application for an IE code along with all required supporting documentation.
If any business wishes to expand its business globally, they need to grasp the process of obtaining an IEC certificate. In this post, we'll go over the process for obtaining an IEC Certification.
Obtaining an IEC Certificate
For the Government of India to confirm one’s identity as a person or business company, one must provide acceptable documentation and follow the necessary procedures to obtain an IE Code.
Visit the official website to register for IEC.
On the same page, click "Apply for New Import Export Code (IEC)/Modify Existing IEC."Mention your PAN card login information.
Ensure the information you enter is accurate.According to the records kept by the CBDT (Central Board of Direct Tax), the PAN card number will be validated.
Mention your mobile number and email address after verification is complete; neither of these information may be modified and is necessary for login.
Fill out the CAPTCHA form.
An OTP (Serial Number) will be sent to the registered email and contact number.
Enter the business information, such as a Proprietorship, Partnership, or another firm, as soon as the information has been confirmed.
In the section below, mention the applicant's specifics.
When referencing its director, use the DIN (Directors Identification Number).
Include the CIN (Company Identification Number) if it's a firm.
Mention the branch information if the company has one.
Send the appropriate documentation to the company.
Pay the fee and submit the form.
The applicant will receive a personalised IE code within a few minutes of submitting.
Conditions for Applying for an IE Code Number
By exporting and importing the products and services they offer, businesses have a tremendous opportunity to reach the worldwide market. The IEC is a crucial need for joining the global market because it helps the firm grow and thrive. Obtaining an import-export code has several benefits.
In case you are an LLP/ Company/Proprietor applying for an IEC, the following documents must be presented during verification:
Address proof of Establishment, i.e., any utility Bill/ Rent Agreement.
PAN
Company Incorporation/ Partnership/ Proprietorship Documents.
Cancelled Cheque of Company Account, Proprietary Account.
If you are a partner/Director/Proprietor looking to achieve an IEC, the following documents must be submitted in advance for verification:
Photo of partners/ Directors/ Proprietor
PAN
Resolution from the company/partnership approving the selected partner's digital signature and anybody else to apply for IEC registration.
Partners/ Directors/ Proprietor Aadhaar Card
Things to know about an IEC Certification
Why is IEC necessary?
In India, IE Code must be used to import or export. Unless expressly exempted, no person or business may import or export anything without a valid IEC number.
Who may obtain IEC?
An IEC can be obtained by a person or a firm that wants to conduct international business. To apply for IEC, people can use either their business name or their name.
Are service exporters needed to have an IEC?
Except in cases where the service provider receives benefits under the Foreign Trade Policy, IEC will not be required.
Who publishes IEC?
The Directorate General of Foreign Trade, also known as DGFT, part of the Ministry of Commerce, Government of India, issues IEC in electronic form (e-IEC).
What are the IEC fees?
The IEC application fee is Rs. 500.
What technical requirements must be met to file an IEC?
The following documents are the technical requirements for a business to apply for an IEC:
Valid PAN
Valid Mobile Number and Email ID
Valid Digital Signature Token.
Valid Branch Office Address Details
Valid Bank Account in IEC Holder's Name
Valid Aadhar Card matching PAN Card Details
Frequently Asked Questions About IEC Certification
Is there a form one can use to apply for an IEC?
Yes. For the DGFT site to award IEC, an online application (ANF 2A type) must be submitted.
What is the IEC's legality?
An IEC granted to a candidate must be updated annually to keep it active, although it must have perpetual validity. There will be no fee for updating the IEC if it happens between April and June each year.
How to get a copy of the IEC certificate on paper?
Please follow the steps to get a paper copy of the IEC Certificate.
Open https://dgft.gov.in
Type your username and password in.
Select Manage IEC under Services > IEC.
Check Your information
Select IEC Print
A PDF will be shown for printing.
Conclusion
We hope that this article clarifies the IEC Code Application Procedure to you! Now, if you intend to launch your export company from India, you should be aware that the Indian government offers exporters several incentives. The Merchandise Exports from India Scheme provides this export incentive or subsidy (MEIS Scheme). Exporters might receive incentives ranging from 2% to 5% of their invoice value.
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