It shows that you have a licenses and permissions from Government in order to start Importing or Exporting. You can understand it as a Passport is mandatory for traveling abroad, similarly an IEC Code is mandatory to Export or Import anything from/into India. IEC Certificate is issued by Directorate General of Foreign Trade (DGFT) which comes under Ministry of Commerce and Industry, Government of India. The main objective of DGFT is regulating and promoting Exports from India. IEC is a 10-digit code that has lifetime validity.

Benefits of IEC Registration

No Filing of returns-IEC does not require the filing of any returns. Once allotted, there isn’t any requirement to follow any sort of process for sustaining its validity. Even for export transactions, there isn’t any requirement for filing any returns with DGFT.

Lifetime Validity:
Import Export Code is a lifetime registration valid as long as the business exists. Hence, there are no issues with updating, filing, and renewing Import Export Code registration. Import Export registration is valid until the company exists or the registration is not revoked or surrendered.

Banks Requirement:
Banks require the exporters IE Code while receiving money from abroad.

Easy Processing:
It is fairly easy to obtain IEC code from the DGFT within a period of 2 to 5 days after submitting the application. There isn’t any need to provide proof of any export or import for getting IEC code.

Availing Several Benefits:
The Companies could avail several benefits of their imports/ exports from the DGFT, Export Promotion Council, Customs, etc.

Pre-Requisites for Applying for IEC

• Valid Login Credentials to DGFT Portal (After Registering on DGFT Portal)
• IEC may be applied on behalf of a firm which may be a Proprietorship, Partnership, LLP, PVT, Limited Company, Trust and Society.
• The Firm must have an active Firm’s Permanent Account Number (PAN)
• The Firm must also have a bank account in the Name of the Firm and a valid address before applying.

Documents required for IEC (Import Export Code) Registration

For IEC Code Registration, the following documents are required:

• Individual’s or Firm’s or Company’s copy of PAN Card.
• Passport Size Photograph
• Individual’s voter id or Aadhar card or passport copy.
• Individual’s or company’s or firm’s cancel cheque copies of current bank accounts.
• Copy of Rent Agreement or Electricity Bill Copy of the premise.
• A self-addressed envelope for delivery of IEC certificate by registered post.