Everyone wants import and export business lucrative these days. However, When it comes to commencing a business, there are numerous factors to consider, one of which is the IEC Registration and License. Therefore, in this article we will read about IEC Code Registration and Mandatory documents required for IEC Code Registration.
Who issues IEC Code?
The Director-General of Foreign Trade (DGFT) issues Import-export code. The DGFT operates by collaboration with ministry of commerce and industry.
Is IEC Code Registration is mandatory?
Import Export Code is a ten-digit number assigned by the Directorate General of Foreign Trade (DGFT) for performing import-export operations (IEC). An IEC Code registration is required for all firms and individuals involved in the import and export of goods and services. Or in other words – An IEC code is required in the following circumstances:
- When an importer makes transactions abroad through banks.
- At the time of receiving foreign currency in an importer’s account.
- When an exporter has to parcel his shipments abroad.
Documents required for IEC Code Registration
An IEC number is obligatory to receive advantages from the Export Promotion Council, Customs, or the DGFT. Proper process and documents are necessary to acquire an IEC so that the government can verify your identification as an individual or a business. Therefore, document requirements are different for different types of businesses. Let’s look at each of them in detail.
Documents required for IEC Code Registration as Individual
- Firstly, A PAN Card is a mandatory requirement for the application.
- Secondly,He should have a bank account with a foreign exchange dealing bank, either current or savings.
- Moreover, For address verification, he should provide a sale document, a rental/lease deed, and an electricity/phone bill.
- However, If the applicant is a Non-Resident Indian (NRI) or the firm/company has a Non-Resident stake, they must send a scanned copy of the RBI clearance letter.
Documents required for IEC Code for Proprietorship
- A scanned copy of the Proprietor’s PAN card (front and back pages).
- Scanned copy of passport (first and final page), voter’s card, driver’s licence, or Aadhar card
- Electricity/telephone bill, rent/lease agreement, or sales deed in the event of a self-owned premise are all acceptable proofs of address for the Head Office and any existing branches.
- a bank certificate in the format required by the bank, or Cancelled Cheque with pre-printed applicant’s name and A/C No.
Documents required for IEC Code for LLP /Government Undertaking/Public
- All of the directors’ and the company’s scanned copy of the PAN card.
- Proof of residence for each Managing Partner/Director who signs the application – A scanned copy of passport (first and last page), voter’s card, driver’s licence, or Aadhar card is required.
- Proof of address for the Head Office and all existing branches: In the event of a self-owned premise, the electricity/telephone bill, the rent/lease agreement, or the sales deed are all required.
- The RoC granted a certificate of incorporation is also mandatory.
- Bank Certificate in the appropriate format/Canceled check with the company’s name and account number.
List of Documents for HUF to get IEC Code
- Karta’s PAN Card scanned copies.
- Any of these Karta’s Documents residential proofs – A scanned copy of a passport (first and last pages), voter’s card, driver’s licence, or Aadhar card is primary requirement.
- Proof of address for the Head Office and all existing branches: In the event of a self-owned premise, a bank certificate or a cancelled check with the applicant’s name and account number is required.
- Registration number of Hindu United Family.
Now, we know the mandatory documents required for IEC Code Registration. Let us read about the benefits of registration.
The Advantages of Having an IEC License
There are multiple benefits of IEC License, some of the most significant ones are as follows –
- After obtaining an IEC licence, there is no need to file regular returns.
- An IEC Registration Certificate offers your company a lifetime of validity, which means you won’t have to renew it.
- IEC registration gets completion as little as 10-15 days after the application submission.
- IEC assists you in taking your services and goods to the next level, allowing you to expand your business.
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