FREQUENTLY ASKED QUESTIONS
Most frequent questions and answers
IEC stands for Import Export Code. IEC registration is required by a person for exporting or importing goods. It’s a 10 digit Code or Import Export License Certificate issued by the Directorate General of Foreign Trade (DGFT), Ministry of Commerce and Industries, Government of India to Indian Companies.
Those people who want to import or export goods & services from/or to India. All businesses which are engaged in Import and Export of goods require registering IEC. Importers/Exporters are not allowed to make any import or export without this code. However, certain categories of importers or exporters are exempt from obtaining IE Code.
Following documents required to get IEC
(A) Address Proof
*Address proof of Organisation (Any one of the Following Documents):
- Sale Deed
- Rent Agreement
- Lease Deed
- Electricity Bill
- Telephone Landline Bill
- Mobile Postpaid Bill
*Address proof are allowed only for Proprietor (Proprietorship Firm):
- Aadhaar Card
- Voter ID
(**Note : In case the proof is not in the name of the application firm, a No Objection Certificate (NOC) by the firm premises owner in favour of the firm along with the address proof is submitted.)
(B) Bank Proof :
- Cancelled Cheque or Bank Certificate
- Business name must be printed on Cheque
Following are some benefits of IEC:
- It will helps you to expand your business worldwide by taking your product or services to the International market.
- To avail several scheme benefits or subsidies of their imports/ exports from the DGFT, Export Promotion Council, Customs, etc., on the basis of their IEC registration.
- It will also act as a Government Proof for the business or entity name when you need to submit for any legal or regulatory requirement
- It will helps you for Product scaling and also to sell your product on international e-commerce Platforms.
Authority will issue only One IEC against a single PAN (i.e. One PAN = One IEC). Any proprietor can have only single IEC number. Incase there are more than one IEC’s allotted to a proprietor, the same may be surrendered to the Regional Office for Cancellation.
No, there is no tax on IEC. However, you have to pay custom duty, which depends on the category of the products imported or exported.
- The person who Import / Export goods for personal use &which is not for business purpose. (Not connected with trade or manufacture or agriculture)
- Ministries or departments of central government do not require obtaining IEC.
- Persons exporting or importing goods to/from Nepal or Myanmar through Indo-Myanmar border areas, a value of which does not exceed Rs.25,000/- in a single assignment. In case of Nathula Port, the applicable value ceiling will be Rs 100,000.
- To make any changes in the IEC, you need to request for the same with the DGFT along with the documents relevant to the changes / modifications sought by the entity with paying required Government Fees. This can be done online.
- IE Code does not require the filing of any return. Once, an IE Code is issued there are no further procedures required to maintain validity of the IE Code. Even if import or export transactions occur, there are no filings required.
- An IEC number allotted to an applicant shall be valid for all its branches / divisions / units / factories. IEC is valid for ever and no need to renew the same.