registration/ applying importer exporter code (IEC)

Procedure for registration/ applying importer exporter code (IEC)

by CS Mohit Saluja

To import in India or export out of India, IEC Code i.e. Importer Exporter Code is mandatory. IEC Code is unique 10 digit code issued by DGFT – Director General of Foreign Trade, Ministry of Commerce, Government of India. No person or entity shall make any Import or Export without IEC Code Number.

Eligibility condition and Legal Provisions are given for IEC Code Number Application in Foreign Trade (Regulation) Rules, 1993 Ministry of Commerce, Notification No. GSR 791 (E), dated 30-12-1993. However, Directorate General of Foreign Trade(DGFT) issued a Policy Circular No.15 (RE-2006)/2004-2009 Date: 27th July, 2006) for New System for issuance of Importer-Exporter Code Number.
Eligibility and other provisions for applying IEC
1. No export or import shall be made by any person without an Importer-Exporter Code (IEC) Number unless specifically exempted. An Importer/Exporter Code (IEC) number shall be granted on application to the competent authority. Every application for grant of IEC number shall be made by the Registered/Head Office of the applicant, unless otherwise specified, shall be submitted to the Regional Authority of Directorate General Foreign Trade, as per the territorial jurisdiction of the Regional authorities and shall be accompanied by documents prescribed therein. In case of STPI/ EHTP/ BTP units, the Regional Offices of the DGFT having jurisdiction over the district in which the Registered/ Head Office of the STPI unit is located shall issue or amend the IECs.

2.     The Licensing Authority concerned shall issue an IEC number in the format as given in Appendix 2B and will dispatch to the applicant’s address.  IEC is dispatched through Speed Post to verify the address of the Firm/ Entity which intends to carry on the Business of Import Export Therefore not handed to the applicant over the counter. So it is mandatory for the entity to affix the Board indicating name and address of the Firm at the Business Place.

3.     An IEC Number allotted to an applicant shall be valid for all its branches/divisions/units/factories as indicated on the IEC number.

4.    Where an IEC Number is lost or misplaced, the issuing authority may consider requests for grant of a duplicate copy of IEC number, if accompanied by following documents:

1.Request letter on Letter Head for issue of duplicate IEC.
2.Application form as per Appendix 2 and 3 in duplicate.
3.Copy of IEC OR IEC No.
4.Copy of FIR.
5.Affidavit on Rs.20/- Stamp Paper duly notorised.
6.Challan or D.D. of Rs. 200 in favour of Jt.D.G.F.T
7.Self Addressed Envelope affixed with Rs.25/- postal stamp
5. If an IEC holder does not wish to operate the allotted IEC number, he may surrender the same by informing the issuing authority. On receipt of such intimation, the issuing authority shall immediately cancel the same and electronically transmit it to DGFT for onward transmission to the Customs and Regional Authorities to intimate that the said IEC number has become inoperative.

6. If there is any change in the name/address or constitution of IEC holder/licensee, the Actual User eligible for import without a license/recognised status holders, as the case may be, shall cease to be eligible to import or export against the license /IEC Number or any other facility permitted under the Policy and Handbook, after expiry of 60 days from the date of such change in his name or constitution.

Documents Required for Applying the IEC Code

1.Covering Letter on Firm/ company’s letter head for issue of new IEC Code Number.
2.Two copies of the application in prescribed format (Aayaat Niryaat Form ANF 2A ) must be submitted to the Regional Jt..DGFT Office.
3.Each individual page of the application has to be signed by the applicant.
4.Part D In respect to Declaration/ Undertaking ahs to be filled in and signed by the Applicant and has to be submitted along with the application.
5.Rs 250.00 Bank Receipt (in duplicate)/Demand Draft evidencing payment of application fee in terms of Appendix 21B.
6.Certificate from the Banker of the applicant firm in the format given in Appendix 18A.
7.Self certified copy of PAN issuing letter or PAN (Permanent Account Number) Card issued by Income Tax Authority. Photocopy of PAN card has to be submitted along the application. If PAN card not issued to the applicant then a copy of PAN allotment letter from I.T. Department will also be accepted. Only one IEC would be issued against a single PAN number. Any proprietor can have only one IEC number and in case there are more than one IECs allotted to a proprietor, the same may be surrendered to the Regional Office for cancellation. Two IEC can not be issued against one PAN
8. Two copies of passport size photographs of the applicant. The photograph pasted on the banker’s certificate must be attested by the banker with Seal and Signature of the applicant.
9.The applicant shall furnish a self addressed envelope of 40 x 15 cm with postal stamp affixed on the envelope for all documents required to be sent by Speed Post. These documents may be kept secured in a file cover.
10.The application must be submitted in Duplicate.
Application can be submitted in person/by Authorised Employee of the Firm/ Company at the counter in person at the office or it can be sent through Post/Courier. An acknowledgement in form of a receipt having File Number is generated on receipt of application. The file number is used for any correspondence/query regarding the IEC application submitted to the office. The application is then sent to IEC section where it is processed. If the application is found complete in all aspects (as per requirements prescribed) an IEC is generated, or else a deficiency letter stating the nature of deficiency is prepared and sent to the applicant. Replies are awaited in cases where deficiency letter is issued and after due compliance by the applicant the IEC is allotted.

IEC allotment letter is sent through post at the registered office mentioned by the applicant in the application. Similarly deficiency letters are sent to applicant by post.

ONLINE APPLICATION FOR IEC CODE

Earlier the applications were submitted physically with the Regional Jt. Director General of Foreign Trade Office. But vide Policy Circular No. 10 (RE-2010)/ 2009-14 DATED 31ST December, 2010, facility for Online Application for IEC Code has been given to the applicants w.e.f. 01.01.2011 at the DGFT website (http:/ /dgft.gov.in)to reduce the Transaction cost and time for the applicant which will further ensure easy, flexible filing of application and reduce human interface and paper work in the process. But still under this policy circular, the option of online application is not mandatory rather the option to file the application physically is also given. Note: The Documents required under Online Application are same as that were used while Physical submission of documents which have been mentioned above.

Policy Circular No. 10 (RE-2010)/ 2009-14 DATED 31ST December, 2010 can be accessed at the following Link :-

Now apply for Importer Exporter Code code (IEC) online

source:Tax Guru