FAQs on Import and Export code (IEC) – Part 2

by varun · Published November 2, 2020 · Updated December 24, 2021

In this article, we are going to discuss 2nd part of important FAQs related to IEC code. We have already discussed important documents required for IEC code registration. If you want to read 1st article on IEC code FAQs then you can click here–

Q – Do you need to renew your IEC code?

A – Import Export Code (IEC) code is issued for lifetime and once issued can be used by the entity throughout its existence which means that you do not require any renewal or filing. Once the company obtained IEC code then the company can perform all their import export requirements without facing any issues.

FAQ IEC code IEC is issued for a lifetime by DGFT and requires no renewal. The IEC code registration is permanent and will remain the same without expiry.

Q – Is there any tax on IEC or do i need to deposit any fee with authorities?

A – No, there is no tax as such on IEC. However, you have to pay custom duty, which depends on the category of the products imported or exported. You need to pay initial fee of Rs 250 at the time of application for IEC code.

Q – Who is exempt from applying for IEC code?

A – Following categories of individuals and firms are exempted from applying for IEC code –

The person or firm who Import / Export goods for personal use and which is not intended for business purpose. (Not connected with trade or manufacture or agriculture)
Central ministry departments are exempted from applying for IEC code.
Person or firm exporting or importing goods to or from Nepal or Myanmar through Indo-Myanmar border areas, a value of which does not exceed Rs.25,000/- in a single assignment. In case of Nathula Port, the applicable value ceiling will be Rs 100,000.

FAQ IEC code

Q – What is the mode of delivery for IEC code?

A – IEC code is delivered digitally and applicant has to take print out of signed digital IEC code for use.

Q – How can i modify my IEC code?

A – To make any changes in the IEC, you need to apply for the same with the DGFT along with the documents relevant to the changes / modifications sought by the entity with paying required Government Fees. This can be done only in online mode.

Q – Can individuals have IEC code?

A – Yes, individuals who are proprietors of a business can obtain IE Code in their name. It is not necessary to incorporate a business entity for obtaining IE Code.

Q – How can i cancel my IEC code?

A – You need to intimate DGFT for cancelling your IEC code. This can be done on online mode by intimating authorities for request of cancelling IEC code. On receipt of such request, concerned authority will intimate to DGFT which then forward it to customs and regional authorities. Whole process is done online and there is no need to submit any application physically for it.

In this article, We have covered 2nd part of FAQs related to IEC code. To read first article on FAQs related to IEC code registration, you can visit this link