Any entity cannot import or export without having a valid IEC Number. It is a mandatory requirement without which facilitation of import or export cannot be done. So, the question of what is IEC number naturally arise.
Well, it is a 10 digit code number which is issued by DGFT(Director General of Foreign Trade) under the Ministry of Commerce of India.
The IE Code Number can be used throughout the life time of the entity and the best part is, there is no requirement for either renewal or filing.
The next question to answer is where is IEC number required. So the following are the areas where the need for registration for IEC number is to be done:
- When an entity imports goods, custom clearance needs to be done. For this, the Custom authority needs the IEC number.
- When an entity i.e, an importer sends funds via Bank, then the Bank requires the IEC number to process it further.
- When an entity wishes to export goods, the IEC number is required by the Custom authorities before the dispatch of the goods.
- When an entity as an exporter receives funds in Foreign Currency directly in his Bank.
Basically, like it is mentioned above, any activities related to import or export require IEC registration under DGFT.
Now that we know what and where, the last one is how. The documents required for Registration of IEC is as follows:
1. A copy of Bank Certificate or a Pre- printed Cancelled Cheque bearing the entity's name.
2. Address proof of the applicant entity:- Any of the following-
Sale deed / Rent agreement / Lease Deed / Electricity bill / Telephone Land line bill / Mobile Postpaid bill / MOU / Partnership Deed.
Other acceptable documents (only for proprietorship) - Aadhaar Card / Passport / Voter ID.
In case the address proof is not in the name of the applicant's firm, a No Objection Certificate(NOC) by the firm premises owner in favour of the firm along with the address proof is to be submitted as a single PDF document.
3. A scanned copy of valid Permanent Account Number (PAN).
4. A scanned copy of MOA, AOA and Certificate of Incorporation of the Company.