Do you want to expand your business globally by import and export your goods and services?

But stuck with the compliances, permission and license from the government. No doubt there are various compliances for doing the same under different laws but here we will provide you with the information related to IEC Registration Code required for import/ Export. It is a 10-digit code required to be obtained from Directorate General of Foreign Trade (DGFT) under Ministry of Commerce and Industry, Government of India for taking your business at a global level.

CIRCUMSTANCES WHEN IE CODE IS REQUIRED

In case of import:

1.      When the importer has to clear his shipment from the customs, the custom authorities require IE code

2.      When the importer deals with the bank for the payment of money, Banks require IE code

In case of export:

1.      When an exporter sends the shipment. It is required by the custom port

2.      When an exporter receives money in foreign currency in his bank account, it is required by the Banks

Circumstances When IEC Registration is not required

1.      When the import/ export is done for the personal use and not for the commercial purpose.

2.      When the import/export is done by the government department and notified charitable organizations.

WHO ALL CAN OBTAIN IE CODE?

1.      Individuals

2.      Proprietorship firm

3.      Partnership firm

4.      LLP

5.      Company

6.      HUF

7.      Government undertaking

8.      Registered trust and society

9.      Other entity

WHAT IS THE PROCESS FOR OBATINING IE CODE?

1.      For filing the application you need Class 2 or class 3 Digital signature of the authorized person

2.      Arrange the PAN Card of Individual/firm/company/any other legal entity, passport Size photograph of the applicant and cancelled cheque/Bank certificate. If the applicant is NRI, RBI approval letter needs to be mandatorily attached.

3.      Visit the website of DGFT and login by entering the PAN. After completion of the process of entering OTP sent to mobile and e-mail, fill up the application and upload the documents.

4.      After successfully filling of application attach DSC of the applicant and submit the same along with the fees prescribed by the government.

5.      Generally, IEC Certificate is issued within 2-3 business, if no discrepancy is found in the application.

With the Implementation of GST, Government of India through DGFT, in its effort for ease of doing business in India, vide its notification dated 12^th June 2018, notified that any person having GSTIN can import or export, into or from India, by declaring the GSTIN at the time of import or export.

Additionally, for the entities that are not registered under GST because of its threshold limit, may use their PAN as their IEC for which application should be made to DGFT for authorizing PAN of Applicant as IEC Registration. Further, for the existing IEC holders, necessary changes in the system are being carried out by DGFT so that their PAN becomes their IEC.