What is IEC
An Importer -Exporter Code (IEC) is a Business identification number that is mandatory for export from India or
Import to India. No export or import shall be made by any person without
obtaining an IEC unless specifically exempted. For services exports, however,
IEC shall not be necessary except when the service provider is taking
benefits under the Foreign Trade Policy.
Consequent to the introduction of
GST, IEC being issued is the same as the PAN of the firm. However, the IEC will
still be separately issued by DGFT based on an application. The nature of the
firm obtaining an IEC may be any of the follows- Proprietorship, Partnership,
LLP, Limited Company, Trust, HUF, Society.
Update
IEC code by June 30, even if no Changes: DGFT
The Director-General of Foreign Trade (DGFT) has
directed that all Import Export Code (IEC) holders are now legally required to
update their IEC details every year from April to June online, even if there
are no changes. An IEC shall be deactivated, if it is not updated within the
prescribed time. IEC so de-activated may be activated, on its successful
updation. This would however be without prejudice to any other action taken for
violation of any other provisions of the FTP. An IEC may also be flagged for
scrutiny. IEC holder(s) is required that any risks flagged by the system are
timely addressed; failing which the IEC shall be deactivated. In other words,
IEC shall be deactivated, if it is not updated within the prescribed time. IEC
so de-activated may be activated, on its successful updation. This would
however be without prejudice to any other action taken for violation of any
other provisions of the FTP. IEC related provisions in Chapter-1 and Chapter-2
of Foreign Trade Policy, 2015-2020 are amended/ deleted and new provisions
inserted. It is provided that An IEC holder has to ensure that details in its
IEC is updated electronically every year, during the April-June period. In
cases where there are no changes in IEC details the same also needs to be
confirmed online. Therefore, do not forget to Update the IEC code by June 30, 2021.
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