Being an importer or an exporter you need to be aware of IEC (Importer Exporter Code) and all its details like What is IEC?, How to apply for IEC?, How to register for IEC on DGFT? IEC application fees and all other information about IEC. You may scroll down to check the sub-heading contents mentioned inside the table of contents.
In this article, we have explained the step-by-step procedure of the IEC application and all major information and updates related to the Importer and Exporter Code.
What is IEC? How to apply for IEC?
Want to start Import-export? Then this article is for you.
Importer Exporter Code (IEC) is the most important thing without which you cannot do import-export in India. This article will give you detailed knowledge of what is IEC? Why is IEC needed? How to apply for IEC? Etc.
What is IEC full form?
IEC full form is = Importer Exporter Code. It is a 10 digit identification number issued by DGFT (Director General of Foreign Trade), Department of Commerce, Government of India to importers & exporters.
What is IEC?
- IEC also referred to as Importer Exporter Code is a business identification number which is important for Import and Export trade in India.
- You can obtain this business identification number online from DGFT website. No import or export can be done without IEC unless it is specifically exempted.
- IEC is not needed for services import or export unless the service provider has taken the Foreign Trade Policy (FTP) benefit.
- After introduction of GST, IEC is same as PAN number of the firm.
- IEC is issued only to the firms having proprietorship, Partnership, LLP, Limited Company, Trust, HUF or Society.
- To obtain IEC you will need your company PAN number, bank details and valid address.
When and why is IEC code required?
- IEC is required for foreign transactions in import export trade. For example – an exporter having IEC code will receive money in foreign currency directly in his account.
- It is required to file bill of entry in customs and to pay customs duty.
- It is required by the bank to transfer money in the importers/exporters account.
- Customs authorities identify shipments as per IEC code in customs system and therefore it is used an identification code for the importer/exporter.
How much are IEC registration fees?
- If you register it online, the government fees for IEC registration are Rs.500.
- If you register it through an agent, the fees may vary between Rs.1500 to Rs.3000.
- No fees are applicable for renewal of IEC if you do it yourself. An agent might take minimal charges to renew it.
IEC validity period?
- IEC code has lifetime validity but it needs to be renewed/updated every year between April to June or the IEC gets deactivated on the customs system.
IEC CERTIFICATE SAMPLE/ EXAMPLE –
How to apply for the IEC Importers and Exporters code?
We have mentioned below step by step process to apply for IEC Code. You can simply follow the steps and register/apply for IEC.
Steps to Apply for IEC Code on DGFT website:
Step 1. Before starting keep your PAN number, Bank details & address proof ready (Your address should be valid as DGFT authorities might confirm it physically)
To Apply for IEC that is Importer Exporter Code on the DGFT official website portal you need the following things –
a). Valid Login Credentials for DGFT Website portal (You will get this once you register on DGFT Portal)
b). Firms PAN (Permanent Account Number) and all PAN-related details like – Name as per PAN, DOB, or Incorporation. All details will be validated with the Income Tax Department website.
c). Scanned Documents to Upload in the System (PDF Only and Max file size of 5 MB). a. Proof of establishment/incorporation/registration.
ii. Registered Society
b. Proof of Address (any 1 of the following documents):
i. Sale Deed, electricity bill, telephone bill, mobile bill, rent agreement, lease deed, MoU, Partnership deed.
ii. Other acceptable documents (for proprietorship only): Aadhar card, voter id, passport.
iii. In case the address proof is not in the name of the applicant firm then you must provide a NOC (No objection certificate) along with the address proof is to be submitted.
c. Firm’s Bank Account Proof
i. Bank Certificate
ii. Cancelled Cheque
d) Active DSC or Aadhaar of the firm’s member.
e) Firm’s Bank account (for its details in the Application process & for online payment of the application fee)
Note: User will not be able to continue with the application if the Firm’s PAN has already been used for registration of IEC with DGFT. (Either PAN Based IEC or Numeric IEC)
Step 2. Go to www.dgft.gov.in
Proceed with the IEC registration process.
Step 3. Select Register user as Importer/Exporter as shown in the picture. Fill the details that are marked with a red asterisk (*)
Step 4. You will receive an OTP on the mobile number you entered.
Enter the OTP on the next screen.
Step 5. Once your mobile number is verified, you will receive a temporary password.
At the time of your initial login into this portal, you will be asked to change the password.
Choose a new password and click Submit.
Step 6. Now go to the main homepage on the DGFT website portal then login with your valid credentials.
Step 7. You will see a dashboard with your name after you are Logged in.
Click on ‘Apply IEC’. If you do not see the dashboard, navigate using the menu “My Dashboard -> Importer Exporter Code -> Apply for IEC.”
Step 8. Click on the ‘Start Fresh Application’ button or click on the ‘Proceed with existing Application’ button if you have already saved a draft of application in the past.
Step 9. Enter All the details in the general information section. A red asterisk (*) marked fields are required/ compulsory to fill. You also must fill the ‘Firm Address Details’ along with the ‘Basic Details’ section. If only one section is filled, the application will not be saved.
Note: Make sure all your details like Name, Date of Birth/Date of Incorporation should be strict as per PAN or your application will show errors and you might have to apply again.
Step 10. Once you are done filling in all information as above, you must read + accept the declaration.
Step 11. Check the application summary and click on the Sign button. You can sign the application using your digital signature or Aadhar card.
Step 12: You must proceed to make payment for your application once you Sign and confirm.
The application fee for IEC is Rs.500/-
After you have made the payment on the DGFT website for IEC, kindly wait for a few seconds till it is redirected to the DGFT portal and then a receipt will be displayed. You can download it.
Note: In the case where your payment fails and you if are not redirected to the DGFT website then you must wait for an hour for the payment to reflect from the Payment Gateway.
Step 13. The user shall receive the IEC Certificate in the email inbox. The user can also download the IEC Certificate after login on to the DGFT website and using the “Print Certificate” feature in the “Manage IEC”
The IEC status can be seen by navigating to the “My IEC” section and checking the IEC Status bar with “CBIC Transmission Status”
And you are done! Once your status shows completed, you can now use your IEC for import/export.
Make sure to keep your Login details safe. You will need it every year to update your IEC.
If you have any more queries on How to Link your IEC, how to register DSC, How to register Aadhar E-sign, how to Modify IEC, How to track submitted requests, How to contact DGFT etc. Eximpedia has got you covered, simply Download the IEC module User help here and follow the process step by step. You will also find this module on the DGFT portal.