Overview of IEC Registration

Following are the benefits of IEC registration in India:

Business Expansion:

• IEC enables business diversification by opening up opportunities for both exports and imports in India.
• Entrepreneurs and companies can explore new markets and expand their operations seamlessly, without compliance burdens.

Government Benefits:

• IEC registration automatically grants businesses access to government benefits.
• It ensures compliance with various provisions related to imports and exports.
• Additionally, businesses may qualify for specific schemes aimed at supporting their growth.

Simplified Returns:

• Unlike other systems, IEC eliminates the need to file returns, reducing administrative obligations.
• Once assigned the code, businesses are not required to prove legitimacy of certification through return filings.

One-Time Registration:

• IEC registration is a one-time requirement, reducing the need for repetitive compliance procedures.
• Although essential for engaging in import-export activities, the license does not require renewal.

Streamlined Online Processing:

• The IEC registration system operates entirely online, enabling quick and efficient processing.
• Applicants receive an OTP number during the initial registration, contributing to seamless processing.

Government Authorisation:

• Exports from India under the IEC system guarantee compliance with DGFT requirements.
• This certification enhances a business's reputation in international trade, instilling confidence among buyers.

Access to Global Markets:

• IEC facilitates international trade, allowing businesses to tap into global markets.
• It provides a gateway to establish collaborations and partnerships on an international scale.

Regulatory Compliance:

• IEC ensures businesses adhere to import-export regulations, avoiding legal complications and penalties.
• It demonstrates commitment to ethical business practices and regulatory compliance.

Enhanced Credibility:

• Holding an IEC code signifies a business's credibility and legitimacy in the import-export industry.
• It enhances the trust and confidence of international partners, suppliers, and customers.

Documentation Efficiency:

• The IEC system streamlines the documentation process for import-export transactions.
• It reduces paperwork, simplifies customs clearance, and expedites the flow of goods.

Market Intelligence:

• Engaging in international trade through IEC exposes businesses to valuable market insights and trends.
• It provides opportunities for market research, fostering informed business decisions and strategies.

What are the Eligibility Criteria for IEC Registration in India?

In India, the DGFT has specific requirements for obtaining IEC registration. The following entities are mandated to apply for IEC:

• Exporters and Importers: Individuals or businesses involved in export or import activities, whether on a small or large scale.
• Export Houses: Entities that primarily engage in exporting various goods and products.
• Manufacturer cum Exporters: Businesses involved in manufacturing goods and subsequently exporting them.
• Production Facilities Importing Raw Materials: Manufacturing units that import raw materials for production purposes.
• Importers of Goods Seeking Special Authorisation: Entities that import specific goods and require special authorisation from the DGFT.
• Entities Intending to Engage in EXIM Business: Individuals or organisations planning to venture into export-import (EXIM) activities.

To apply for an IEC, the following essentials must be fulfilled: 

• PAN Card: The applicant must have a valid PAN card issued by the IT Department that serves as an essential identification document.
• Bank Account in the name of the individual or the firm: The applicant should have a bank account that should be under the name of the firm or individual.
• Business Entity must be duly registered: The business entity must be duly registered under the ROC or the relevant authority.
• Submission of other relevant documents: The applicant is required to submit relevant documents, including proof of identity, address proof details of the business entity, etc.as part of the IEC application process.

How Long Does Import-Export Code Remain in Force (Validity)?

An IEC is valid for lifetime, meaning it remains applicable for all import and export transactions conducted by the entity. However, there is a need for renewal or updating the IEC every year to aid in providing long-term validity and convenience.

For updating the IEC registration, the following steps must be followed as given under:

• Access the website of DGFT and log in to your account.
• Navigate to the 'Registrations' tab.
• From the main menu, select 'Import/Export', and then choose 'Registration Details' from the sub-menu.
• Locate the 'Update IEC Registration Form' link under the IEC section on the 'Registration Details' page and proceed to access the form.
• Provide the information asked for in the form accurately.
• Once the form is completed, click the 'Submit' button to submit it.
• Your IEC registration will be automatically updated upon successful submission of the form.

Following documents are essential for IEC registration:

The process of obtaining IEC registration involves visiting the portal DGFT and completing the necessary e-form. During the electronic filing, applicants are required to provide and upload detailed documentation, including:

• Copy of Business Certificate:

1. Incorporation certificate for companies or LLP registration certificate for Limited Liability Partnerships.
2. Partnership deed for partnership firms.

• Identity Documents:

1. Copy of the passport, PAN (Permanent Account Number), Voter ID or Driver's License of the managing partner or authorised signatory.

• Tenancy Proof:

1. Documentation demonstrating the business premises, such as a tenancy agreement or ownership proof.

• Bank Certificate or Cancelled Cheque:

1. A bank certificate or cancelled cheque for verification purposes. This is specifically applicable to partnership firms.

Sole Proprietorship:

• Three digital photos (size 3x3) of the applicant.
• PAN details of the proprietor.
• Valid identification documents such as Unique Identification, Voter ID, Passport or Driving License of the applicant.
• In the case of owned business premises, a copy of the respective sale deed must be provided.
• If the premises are leased, a copy of the lease agreement should be submitted.

Limited Liability Partnership (LLPs) and Private Limited Company:

• Three digital photos (size 3x3) of the applicant(s).
• PAN card copy of the LLP or Private Company.
• Valid identification documents such as Unique Identification, Voter ID, Passport or Driving License of the applicant(s).
• In the case of owned business premises, a copy of the respective sale deed must be provided.
• If the premises are leased, a copy of the lease agreement should be submitted.
• Bank certificate in given form i.e. ANF 2A.

Partnership:

• Nine digital photos (size 3x3) of the applicant(s).
• Copy of the partnership deed.
• PAN card of the partnership.
• Valid identification documents such as Unique Identification, Voter ID, Passport or Driving License of the applicant(s).
• In the case of owned business premises, a copy of the respective sale deed must be provided.
• If the premises are leased, a copy of the lease agreement should be submitted.
• Bank certificate in given form.

Trust:

• Certificate of Trust registration.
• Copy of Trust Deed.
• Three digital photos (size 3x3) of the applicant (Managing Trustee).
• PAN card copy of the Managing Trustee.
• Valid identification documents such as Unique Identification, Voter ID, Passport or Driving License of the applicant (Managing Trustee).
• In the case of owned business premises, a copy of the respective sale deed must be provided.
• If the premises are leased, a copy of the lease agreement should be submitted.
• Bank certificate in given form.

Hindu Undivided Family (HUF):

• Three digital photos (size 3x3) of the applicant (Karta of the HUF).
• PAN card copy of the Karta.
• Valid identification documents such as Unique Identification, Voter ID, Passport or Driving License of the applicant (Karta).
• In the case of owned business premises, a copy of the respective sale deed must be provided.
• If the premises are leased, a copy of the lease agreement should be submitted.
• Bank certificate in the given form.

What is the Cost of Registration for IEC in India?

The government imposes a registration fee of Rs. 500 for the Import Export code, which can be conveniently paid through Electronic Fund Transfer (EFT) while submitting the IEC Application form online. Following the successful submission, the applicant will receive the IEC allotment letter containing a unique 10-digit code. This letter is then delivered to the applicant's address via a self-addressed envelope.

Once you have obtained the IEC code, you are eligible to initiate your import and export operations confidently.

StartupFino, with its team of trained professionals, assists you through the registration process in a convenient and hassle-free manner.

The following steps must be followed to register an IEC in India:

• Access the official website of the Directorate General of Foreign Trade (DGFT) and on the homepage, find to the 'Services' tab and then select 'IEC Profile Management' from the provided options.
• On the subsequent page, choose the 'Apply for IEC' option.
• Select the 'Register' option and provide the necessary details.
• Next, ask for the One time password and Enter the received OTP. Then, click on the 'Register' button.
• Upon successful OTP validation, a notification will be sent to the user containing a temporary password. This password can be changed after logging into the DGFT website.
• Log in to the DGFT website using the registered username and password.
• After logging in, access the Dashboard and click on the 'Apply for IEC' option. Choose either the 'Start Fresh Application' button or the 'Proceed with Existing Application' button if a draft application has been saved previously.
• Complete the application form using the ANF 2A format and provide the necessary information in the General Information section.
• Agree to the terms and conditions by selecting the checkbox in the declaration section.
• Review carefully the Application Summary and digitally sign the application using a digital signature certificate.
• Confirm the information and proceed to make the payment for the application.
• Once the payment is successfully processed, the page will redirect to the DGFT website, and a receipt will be displayed. The user also has the option to download the receipt for their records.

The following steps must be followed to register an IEC in India:

• Access the official website of the Directorate General of Foreign Trade (DGFT) and on the homepage, find to the 'Services' tab and then select 'IEC Profile Management' from the provided options.
• On the subsequent page, choose the 'Apply for IEC' option.
• Select the 'Register' option and provide the necessary details.
• Next, ask for the One time password and Enter the received OTP. Then, click on the 'Register' button.
• Upon successful OTP validation, a notification will be sent to the user containing a temporary password. This password can be changed after logging into the DGFT website.
• Log in to the DGFT website using the registered username and password.
• After logging in, access the Dashboard and click on the 'Apply for IEC' option. Choose either the 'Start Fresh Application' button or the 'Proceed with Existing Application' button if a draft application has been saved previously.
• Complete the application form using the ANF 2A format and provide the necessary information in the General Information section.
• Agree to the terms and conditions by selecting the checkbox in the declaration section.
• Review carefully the Application Summary and digitally sign the application using a digital signature certificate.
• Confirm the information and proceed to make the payment for the application.
• Once the payment is successfully processed, the page will redirect to the DGFT website, and a receipt will be displayed. The user also has the option to download the receipt for their records.