Breaking the boundary of your domestic region and spreading the business boundaries to the other countries counted as a significant accomplishment in word of trade. In the highly competitive world, where the people are toiling day and night to do something exceptional and to increase the reputation of their brand, thought of expanding the business to oversee countries is a distant thought.
Undoubtedly, some employers achieve this milestone in unexpected time due to their work commitment, quality delivery, and dedication. However, to do the business globally, some set of procedure takes place. One of these essential procedures is called import export code registration.
Every importer and exporter is mandatory to have IEC otherwise; the business would be on stake. Trading without IEC is same as doing illegal business which can result in cancellation of the business license. Process of IEC is very supportive and accessible. Multiple employers provide hand-on support from applying to receiving the code. You will be guided adequately about every step, and after complete satisfaction, you may start the application process. This is a one-time procedure and valid for a lifetime to use. This is one of the basic necessities to expand your business globally.
IEC registration that is a short form for Import Export Code registration is required when an individual desire to expand the business outside the country or wants to import or export the goods for the trading purpose. IEC represents a 10 digit code that is valid for a lifetime. Without this code, any exchange of goods will be treated as illegal. A person can lose the license of trading and also some strict action can be applied against the person.
Primary situations when IEC is required
• When somebody wants to send money to the abroad through a bank
• Import or export goods for personal or business use
• Import or export goods by government ministries and departments
• When an exporter receives payment in foreign currency directly into his bank account
Steps to apply for Import Export Code registration
• Download the import export application form online and fill is appropriately and get is signed by the designated authority
• Certain documents like PAN cards, current account, bank certificate, photographs, company’s letterheads, phone and email, type of import and export, necessary documents related to the company.
• Self-certified copy of Import Export Code issued by DGFT (Director General of Foreign Trade)
• Company’s email Id, phone, address, and fax number
DGFT stands for Directorate General of Foreign trade is one of the ministries of Government of India. DGFT comes under the ministry of commerce and industry mainly responsible for the execution of import and export policies of India. DGFT is primarily worked for the trading sector and enhancement of trade. DGFT also work to expand the economy of the country and establishing relations with other countries. DGFT also manages all the import and export of private and public firms inside and outside the country.
Advantage of IEC registration
Business growth: IEC supports you to expand your business by crossing the domestic boundaries and spread globally
Renewal is not required: IEC is for a lifetime or till the time you need it for your business. A person is required to apply for the IEC once and no renewal is required throughout the trading.
Easy procedure: Procedure to apply for the IEC and then get the code from DGFT is quite flexible and satisfactory.
No return filing: There is no further proceeding required after receiving IEC code, and IEC doesn’t require a return for any filling.