Background: The first requisite when you start an import/ export business in India is to obtain an IEC (Import Export Code). In his previous article Navneet Dhiman explained the top reasons to have an ISO 9001 certification. In this article he explains benefits of IEC and how to apply for it.
What is IEC?
Import export code is popularly known as IEC code, which is a 10-digit number issued by the Directorate General of Foreign Trade (DGFT), Ministry of Commerce, Government of India to Indian companies that import or export. IEC is a mandatory requirement to import or export from India.
Import export code is popularly known as IEC code, which is a 10-digit number issued by the Directorate General of Foreign Trade (DGFT).
Benefits of Import Export Code (IEC)
- Export Benefits: In India we have policy, export the goods not the taxes. Therefore, we can avail various refunds of taxes paid while exporting the goods.
- Complete Online Process: IEC Registration is an online process, no need to fear bureaucratic red tape anymore.
- Easy Documentation: Only a few documents required such as PAN Card, copy of ID proof, passport size photo and cancelled cheque.
- Permanent Registration: No renewal required. IEC once issued is issued for lifetime basis, like PAN Card.
- No Annual Compliance: There is no annual maintenance fees for IEC, as there is no legal compliance.
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Documents required for IEC Code for Proprietorship:
- Digital photograph of the proprietor.
- Scanned copy of PAN (front and back page) card of the proprietor.
- Any of these – Scanned copy of Passport (first & last page)/Voter’s Card/ Driving License/Aadhaar card.
- Bank certificate in prescribed format as per ANF 2A (I) or cancelled cheque bearing pre-printed name of applicant and account number.
Documents required for IEC Code for Partnership:
- Digital photograph of the managing partner.
- Scanned copy of PAN Card of the applicant partnership entity.
- Any of these of the Managing Partner of the application – Scanned copy of Passport (first & last page)/ Voter’s Card/ Driving License/ Aadhaar card.
- Copy of Partnership Deed.
- Bank Certificate /Cancelled cheque with name of the applicant entity and account number.
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Documents required for IEC Code for LLP / Government Undertaking/ Public Limited Company/ Private Limited Company/ Section 25 Company:
- Digital photograph of the designated partner/ Director of the Company signing the application.
- Scanned copy of PAN Card of the applicant entity
- Any of these of the Managing Partner/Director signing the application – Scanned copy of Passport (first & last page)/Voter’s Card/ Driving License/ Aadhaar card.
- Certificate of incorporation as issued by the RoC.
- Bank certificate as per prescribed format/ Cancelled cheque having name of the company and Account number.
Timeline: 4-5 working days for all
Note: All documents should be signed and stamped by authorised person.
Also read: How to start an export business
Image courtesy: shutterstock.com
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