Starting an import-export business takes moments of a lifetime for many people. After all, it is a difficult process to reach out ahead of the country’s boundaries. This process requires a lot of documents and licences to reach globally. One of the vital certificates of this export process is the IEC certificate. The Importer Exporter code certificate is a vital certificate to explore international boundaries. Once applied and issued by the Directorate General of Foreign Trade (DGFT), importers and exporters can download their IEC certificate online from the DGFT website. But along with creating the certificate, IEC code verification is equally important. Here is why!
Here is why you need to verify the IEC code
This is why it is imperative to verify the IEC code.
Regulatory Compliance
The governments of different countries may comply with their specific rules and regulations and other taxation policies. Here, the IEC code verification plays an essential role in complying with all the necessary information given by the importers and exporters. Verification of this code ensures that the exporter is capitulating with the government’s policies, customs regulations and taxation policies given by different governments, including customs and foreign trade policies.
Preventing Illegal Activities
Verification of the IEC code indicates safe exports and the elimination of any kind of illegal transport. The codes need to be verified to ensure safe transmission and lawful trade practice. A code will not be verified in case of transport of restricted or prohibited goods.
Tracking Transactions
Shipping of products involves countless documents and legal activities. This is where IEC code verification helps with the making and verification of numerous other documents and records including invoices, bills, export-related paperwork, etc. The verification of these codes aids with the recording and tracking of export transactions accurately. This makes the documents eligible for any further processing.
Taxation and Documentation
Taxation and documentation is an essential part for successful export business. Here, a verified IEC code helps in verifying the authenticity of the taxes and documents. This verified code helps the tax authorities to verify, monitor and collect the applicable taxes and import/ export transactions.
Statistical Data
Verified IEC code helps to maintain the trade statistics and ensure the accuracy of the inserted statistical data. The government uses this data to understand the trade trends and follow the same. With this, the verified code also gives the details about the plan policies. It helps to make informed decisions in respect to international trade. IEC code verification is imperative to measure the accuracy of the data.
Risk Management
Verification of the IEC code assesses the credibility and legitimacy of the several parties involved in the process of export. This makes the verification process a superior part in assessing the risks related to exports. The process is helpful in financial institutions, insurance companies and most of the other entities related with the export transactions.
Foreign Exchange Control
Most of the verification process is associated with eliminating any possible chances of illegal exchange of goods and services. In many of the countries IEC verification is essential for regulating and monitoring the foreign exchange transactions. This helps to eliminate any misuse or illegal diversion of products and services across the countries.
Export Incentives And Benefits
Every country wants to extend more export possibilities. Here, the IEC code verification helps the government to find out if the company is eligible for gaining exports. If it is, then the government offers several tax benefits and incentives to the company, like tax exemptions and subsidies, and other export incentives to encourage support for export businesses.
5 Steps Guide To Verify The IEC Code Online
Here is how you can verify the IEC code without hustling off road.
Step 1
Head to the ICEGATE website and click on the login section provided in the service section.
Step 2
Ahead of the first login step, you will be redirected to the next user login window.
Step 3
Login with the valid credentials for export. Then, select the IE code/ BIN status out of the options available in the list of services.
Step 4
For the IEC code verification IE Code@DGFT option in the first section of the form to verify if the code has arrived at the DGFT headquarters. After this, the data is transferred from the DGFT HQ to the customs portal, ICEGATE. Next, you must verify the IEC code and check the correctness of your application by entering your code. Enter your IE code in the text box section and click on the IE Code @ ICEGATE button.
Step 5
After doing this, you can see your application status with your details and the status of your application.
Types Of Statuses And Their Significance Online
One can get several notifications during the process of verifying the IEC code. Here are the notifications and what it means.
Status of code: Received in DGFT
If you receive this code, you must wait for the next 4 days to complete the process.
Status of code: IEC application rejected
You can resubmit the application after figuring out the mistake or missing information. There are no fees ahead.
Status of code: Transmitted to ICEGATE
On receiving this code, you have to wait for 3 days to accept your IEC.
Status of code: Registered by DGFT and Accepted by ICEGATE
Voila! Use it ahead for the further process.
How To Make This Online Export Process Easier?
While reaching the international market is a process full of licences and documents, Amazon Global Selling has taken the initiative to ease this journey. The customer shopping market can now reach the world with this online platform. The place equips all the latest tools and programs to ease the process of achieving the necessary licence, certificates, shipping and delivering products to the customer in the USA, the UK, the UAE, Australia or any other country. Amazon even packs and delivers products to the international market, making market expansion possible.
