IEC (Import export certificate)

  • Home
  • Start a Business
  • IEC (Import export certificate)

IEC (Import export certificate)

If you are in business of Importing and Exporting of goods in India, it mandatory to have 10 digit Import Export Code. Many a times Import Export Code is abbreviated as IEC. Import Export Code is required for all persons or enterprises involved in Import or Export of goods. Import Export Code is issued by the Directorate General of Foreign Trade (DGFT), Ministry of Commerce and Industries, Government of India. Import Export Code has Lifetime Validity.

FEATURES OF IMPORT AND EXPORT CODE (IEC)

  • LegalDocs is India biggest Import Export Code Agent serving customers across India.
  • It is mandatory for every importer and exporter to register under IEC
  • DGFT, Customs, and Export Promotion Council guarantee benefits can be taken from the import or export. The revenue cannot be claimed without this code
  • IEC code has a lifetime validity, you don’t have to renew it again and again
  • Any of the property owner can obtain the code in their name, though it does not necessarily require establishing a business
  • When it comes to IEC no return filling is not required and even import or export transactions are not required to be filed under DGFT

BENEFITS OF IEC

  • Open International Market IEC helps you in taking your organization and products to the worldwide market and develop your organizations. You can also sell your products on international platforms
  • Product scaling and Increased Revenue there will be a vast increase in the revenue of the organization
  • Several benefits are availed the organization and various companies can avail several benefits from DGFT, customs, etc as per the IEC registration. On Exports the organization can claim tax benefits as well
  • Filing of return is not required IEC does not require the recording of any profits. When allocated, there isn't any necessity to pursue any kind of procedures for supporting its legitimacy. Notwithstanding for fare exchanges, there isn't any necessity for recording any profits with DGFT
  • Easiest procedure It is genuinely simple to acquire IEC code from the DGFT inside a time of 10 to 15 days subsequent to presenting the application. There isn't any need to give a proof of any fare or import for getting IEC code
  • No need of any renewal IEC code is successful for the lifetime of a substance and requires no recharging. It could also be utilized by a substance against all fare and import exchanges

WHEN YOU REQUIRE IEC

  • If an importer needs to clear his shipments from the traditions at that time IEC is required by the traditions experts
  • When in importer sends cash to another country through banks at that point IEC is required by the bank
  • At the point when an exporter needs to send his shipments then its required by the traditions port
  • When an exporter receives foreign currency in his bank account, IEC is required

Trust Registration

What is an NGO?

Voluntary organizations (VOs) / Non Governmental Organizations (NGOs) include organizations engaged in public service, based on ethical, cultural, social, economic, political, religious, spiritual, philanthropic or scientific & technological considerations. VOs include formal as well as informal groups such as: community-based organizations (CBOs); non-governmental development organizations (NGDOs); charitable organizations; support organizations; networks or federations of such organizations; as well as professional membership associations.

What are their main characteristics?

VOs / NGOs should broadly have the following characteristics:

  • They are private, i.e., separate from the Government
  • They do not return profits generated to their owners or directors
  • They are self-governing, i.e., not controlled by Government
  • They are registered organizations or informal groups, with defined aims and objectives
  • In India a Voluntary Organization / Non Governmental Organization can be registered as Trusts, Societies, or a private limited nonprofit company, under section-25 Company of the Indian Companies Act, 1956.

Does NGOs have permission of the Government to receive donations from foreign countries?

  • Yes, it does. For receiving donations from foreign countries, NGOs has taken the permission from Ministry of Home Affairs, Government of India, under Foreign Contributions (Regulations) Act and the statements of all donations received are being reported to the Home Ministry year after year. The foreign donations that we receive is a small percentage of our total requirement (about 10%) and it is mostly from a few well known industrialists of Indian origin.

Does NGOs receive government funding?

  • Yes, NGOs receives a grains and cash subsidy.

Is NGOs a registered charity in India?

  • Yes, NGOs is a registered charity under the Indian Trust Act 1882.

Will I receive any tax exemption certificate?

  • While donating, please mention that you wish to claim tax benefits. The tax exemption certificate will reach you within 45 working days

12A and 80G Registration

12A Registration

Section 12A of the Income Tax Act grants tax exemption to charitable trusts or institutions. Organizations seeking tax exemption on their income need to apply for and obtain 12A registration from the Income Tax Department.


Benefits: With 12A registration, the charitable institution becomes eligible for tax exemption on its income. This allows them to utilize the funds for their charitable activities without paying taxes on the income received.

80G Registration

Section 80G of the Income Tax Act provides tax benefits to individuals and businesses contributing to registered charitable organizations. NGOs or charitable institutions can apply for 80G registration to enable donors to avail of tax deductions on their donations.


Benefits: Donors contributing to organizations with 80G registration can claim a deduction on the donated amount while filing their income tax returns. This encourages individuals and businesses to support charitable causes by providing them with tax benefits.

For Charitable Institutions (12A)

Exemption from Income Tax

  • Income earned by the registered charitable institution is exempted from taxation, allowing the organization to allocate more resources to their social or charitable activities.

For Donors (80G)

Tax Deductions

  • Individuals or businesses donating to organizations with 80G registration can claim a deduction of up to 50% or 100% of the donated amount from their taxable income, subject to specific conditions and limits set by the Income Tax Act.

Encouragement for Donations

  • The availability of tax deductions motivates people to contribute to charitable causes, as it reduces their tax liability while supporting social welfare activities.
  • Both 12A and 80G registrations aim to promote philanthropy and support charitable activities by providing tax incentives to both charitable institutions and donors. Organizations interested in these registrations need to comply with the prescribed criteria and fulfill specific conditions outlined by the Income Tax Department in India