Latest changes in the process for getting Import Export Code - IEC Online

The new process for getting Import Export Code

A problem in Old Process:

There is as of late a number of Amendments in Policy and Procedure for online IEC applications as many applicants were confronting the issue in obtaining as well as modifying Importer-Exporter Code because, inter alia, internet browser dependencies as well as other browser settings of digital signatures.

PAN as IEC Number:

PAN of the entity was made IEC w.e.f 1.7.2017 vide Trade Notice No 9 dated 12.6.2017and accordingly only one IEC is issued against one PAN. In this way, so as to automate the procedure of issue of IEC and thereby simplifying the business processes for improving “Ease of doing business”, automatic PAN verification has been now enforced in the IEC system. For this reason, the DGFT vide Public Notice No 27 dated 8.8.2018 has notified that IEC would hereafter be system generated an applicant would have the facility of taking a print out of IEC.

No Digital Signature Required:

The requirement of Digital Signature for submitting IEC applications is being done away with. Digital signature for submitting applications for fresh Importer-Exporter Code (IEC) or amendment of IEC shall not be required e.f. 9.8.2018.

Scan Documents to be required for IEC / No Requirement to Submit Physical PAN Document:

By means of the incorporation of PAN web service of CBDT with DGFT’s web server, the requirement of the copy of PAN as one of the obligatory documents for Applicant’s validation is removed.

Consequently, effective from 9.8.2018, online applications for IEC shall require only 2 documents to be uploaded i.e.

• Address Proof the applicant entity, and
• Bank certificate or the canceled cheque bearing entity’s pre-­printed name.

The Importer Exporter Code (IEC) Number online application procedure

1. An applicant must visit the  portal "Online Import Export Code Application"
2. The applicant must mention their PAN Number, Mobile number and Email ID, and the applicant would receive an OTP. Mention all basic details like entity name, address and details of directors and partners if applicable

• Online application for IEC requires only two documents i.e.
• Address proof the applicant entity.
• Bank certificate or the canceled cheque bearing entity’s pre-­printed name is required to be uploaded.
• The documents which are  accepted as address proof of the applicant entity are:
• Sale deed if the premise of the business is self-owned; or
• Rental/Lease Agreement if the office is rented or on the lease; or
• Latest electricity / Landline/ Mobile telephone bill on behalf of the applicant entity

3. Approval Process

After the submission of the application with fees along with requisite documents, IEC shall be auto-generated and intimation regarding allotment of IEC would be sent towards the applicant, through SMS and email, with the hyperlink for downloading and printing the e-IEC. 

4. RA’s will conduct post-verification of online IECs according to the guidelines.
5. The applicant shall be legally responsible for penal/criminal action for furnishing of wrong/incomplete information and IEC would be suspended/canceled in such cases besides taking other legal action against the applicant.
6. As per the present practice, an e-IEC holder would update his profile immediately after issuance of e-IEC. ANF-1 of the Handbook of Procedure (2015-20) contains the profile of the importer/exporter. IEC Holder is in charge of updating the same and when a change takes place immediately or in any case at least once in a year as per para 2.15 of Handbook of Procedure (2015-20).
7. Entities seeking any benefit from any authority, by means of claiming status as a manufacturer exporter, shall have to prove its credibility for the same, independently towards that authority.

Key points to remember

• Applicants should ensure that only relevant legible documents are uploaded.
• Documents must be uploaded in digital format—GIF, JPEG, size not exceeding 5MB.
• It must be ensured that details filled in the application match with the details as in the uploaded documents, i.e., Address proof, and Cancelled Cheque or Bank Certificate.
• Modifications in e-IEC are required to be corroborated with corresponding documents. Accordingly, before seeking a modification in e-IEC, needed modifications in other requisite/supporting documents might be completed and only the updated documents substantiating the changes required while modifying the IEC might be submitted.
• At any given time, an IEC holder/applicant could change either its email id or mobile number. Request for amendment in both email id and mobile number, at the same time, shall not be entertained.
• A new Module was made for the Regional Authorities for facilitating PAN modification in IECs which has been issued prior to 01.07.2017 and also for IECs cancellation.

What is Import Export Code

‘Import Export Code’, is identified as IEC, which is a 10 digit number issued by the Director General of Foreign Trade (DGFT). ‘Import Export Code’ is the compulsory requirement for every one of the people who are engaged in either importing and/ or exporting products or services from India.

Documents required for IEC (Import Export Code) Registration

The documents required for IEC Code Registration are: 

IEC Documents from Individual / Proprietor/Director/Partner

• PAN Card Copy
• Passport size photograph
•  Aadhaar Card/ Voter identity card copy
• Authorization letter (for Partnership)
• Authority from other Directors on letterhead (for the corporation)
• Partnership deed copy (for Partnership)
• Board Resolution/self declaration (for corporation)
• Telephone Bill in the name of the Individual
• Canceled cheque of individual

IEC Documents for Entities

• PAN Card firm/company copy
• Property papers copy (when owned property)
• Rent agreement copy (when rented property)
• Landlord NOC
• Canceled cheque of company
• Electricity/ water bill
• Telephone Bill of the business
• Service Tax returns copy (for Proprietorship)
• Certificate of incorporation (for the corporation)
• Bank statement of the firm/company
• AOA and MOA (for a corporation)
• 1 letterhead of the company (for the corporation)

The Steps Involved in IEC (Import/Export Code) Registration

• First, an applicant is required to prepare an application form – Aayaat Niryaat Form no. 2A format and is required towards filling it with the Regional office of DGFT.
• An applicant is required to prepare the required documents with respect to their identity and legal entity and address proof with their bank details and the certificate in respect of ANF2A.
• When the application is completed, an applicant is required to file with DGFT via DSC (Digital Signature Certificate) and pay the required fee for the IEC Registration.
• Finally, if the application is approved then an applicant would receive the IEC Code in a soft copy from the government.

Conclusion

Thus, an applicant should ensure the Application is complete with all the details. Also, an applicant entity could quickly check the status of their IEC code application online by providing their PAN number.

Author:

eStartIndia Team