IEC Registration: Frequently Asked Questions

Introduction

Importer-Exporter Code (IEC) is a 10-character alphanumeric code allotted by the Directorate General of Foreign Trade (DGFT). Under the Foreign Trade Policy 2023, IEC is the same as the Permanent Account Number (PAN) of the entity and is separately issued by DGFT through an online application.

IEC registration is generally required before importing or exporting goods from India unless a specific exemption applies. For exports of services or technology, IEC is specifically required under the Foreign Trade Policy where the exporter wants to avail benefits under the FTP.

These FAQs on IEC registration address technical situations involving business restructuring, multiple GST registrations, annual IEC updates, bank validation, service exports, restricted goods, DGFT authorisations, deactivation and surrender.

What Is IEC Registration and When Is It Required?

IEC registration refers to obtaining an Importer-Exporter Code from DGFT through the prescribed online process.

Under FTP 2023, no person can generally import or export goods without an IEC unless specifically exempted. However, an IEC is an importer-exporter identification code. It does not replace licences, permissions, NOCs or other approvals required for restricted or regulated goods.

Businesses that want to understand how IEC supports customs clearance, international transactions and export-import activities can also read Role of IEC in International Trade guide.

For service exporters, IEC registration should also be considered separately from GST export requirements such as a Letter of Undertaking.

FAQs on IEC Registration

1. What happens to an existing IEC when a proprietorship is converted into an LLP or company and the PAN changes?

Where restructuring results in a new PAN, an IEC must be obtained against the new PAN within 30 days if one does not already exist. Previous IECs may also be operationally linked to the new IEC in qualifying merger, acquisition, inheritance or business-transfer situations.

2. Can a company use the same IEC for multiple GST registrations, branches and business locations?

Yes. Where branches, units and GST registrations belong to the same PAN-based entity, one IEC generally covers them. DGFT provides that an IEC covers all branches, divisions, units and factories of the applicant, so separate state GSTINs do not independently require separate IECs.

3. Is a fresh IEC required when a company changes its name but retains the same PAN?

Generally, no. If the PAN and underlying legal entity remain unchanged, the existing IEC should normally be updated rather than replaced. Changes in primary IEC particulars must be updated online within 30 days of the change taking effect.

Businesses making such changes can use our IEC Modification service for professional filing assistance.

4. What should an IEC holder do if bank account validation fails on the DGFT portal?

From February 2026, DGFT uses an NPCI-based real-time bank validation system for IEC applications and modifications. If validation fails, the applicant should verify that the PAN, account-holder name and bank account details submitted to DGFT exactly match the records maintained by the bank. The applicant should also ensure that all active bank accounts linked with the relevant PAN are correctly declared before resubmitting the application.

5. What happens if annual IEC confirmation is not completed by 30 June?

An IEC can be deactivated if the required annual confirmation or update is not completed during the prescribed period. It may generally be reactivated after successful updating. Annual updating during April to June is free, while the current DGFT fee after the stipulated period is ₹200. For more details, read our IEC Update guide.

6. Does an IEC expire after a fixed number of years?

No. An IEC generally has permanent validity unless it is suspended or cancelled by the competent authority. However, the IEC holder must still complete the prescribed annual update or confirmation. If this requirement is not completed within the specified period, the IEC may be deactivated and can generally be reactivated after successful updation.

7. What happens if an address, bank or constitution change is not updated within 30 days?

Where the PAN remains unchanged, changes in address, bank details or other primary IEC information should be updated online within 30 days of the change taking effect. However, if a change in constitution results in a new PAN, an IEC must be obtained against the new PAN within 30 days if one does not already exist. Existing holders who need to correct or update their records can explore Ebizfiling’s IEC License Update Procedure service.

8. Is IEC mandatory for a software, consulting or other service exporter who does not claim FTP benefits?

Not necessarily under the Foreign Trade Policy. FTP 2023 specifically requires IEC for export of services or technology when the service provider intends to avail benefits under the Foreign Trade Policy.

GST, FEMA and banking requirements remain separate. Eligible GST-registered exporters exporting without payment of IGST may also need to consider LUT requirements. Ebizfiling explains this separately in its LUT for Exporter under GST guide.

9. Is IEC required for importing or exporting goods for personal use?

Not always. Under the DGFT framework, an IEC is not required for importing or exporting goods for personal use where the activity is not connected with trade, manufacture or agriculture, subject to the applicable exemption conditions. This exemption is limited to genuine personal-use transactions and should not be treated as an exemption for commercial import or export activities.

10. Is IEC registration enough to import or export restricted goods?

No. IEC registration only identifies the importer or exporter and does not by itself authorise trade in restricted goods. Under the Foreign Trade Policy 2023, goods classified as “Restricted” may be imported or exported only with the required DGFT authorisation or permission, or in accordance with the procedure prescribed through the applicable Notification or Public Notice. Product-specific approvals, NOCs or other regulatory compliances may also apply.

11. Can unredeemed DGFT authorisations be transferred to a new IEC after a merger or acquisition?

Yes, subject to DGFT approval. Where a merger, acquisition, inheritance, business transfer or similar restructuring results in a new PAN and IEC, an application may be made to the original jurisdictional Regional Authority for transfer of unredeemed authorisations from the earlier IEC to the new IEC. The transfer is subject to scrutiny and submission of supporting documents required by DGFT.

12. Can an IEC be surrendered while DGFT authorisations or obligations are still pending?

Generally, no. An IEC can be surrendered only after all authorisations and obligations linked to that IEC have been closed. However, where the business has been amalgamated, acquired, merged or otherwise transferred to another entity, surrender may be permitted after all such authorisations and obligations have been transferred to the IEC of the new entity in accordance with DGFT requirements. Businesses planning closure can read our guide on Surrender of IEC License.

13. Can DGFT deactivate an IEC even when the annual IEC update was completed on time?

Yes. Annual non-updating is not the only reason for deactivation. DGFT may flag an IEC for scrutiny, and the holder is required to address risks identified by the system. Failure to resolve those risks in time can result in deactivation. A holder dealing with an inactive code can explore Ebizfiling’s Activate IEC Code Online service.

14. Does an SEZ, EOU, STP or EHTP unit need a separate IEC if the entity already has one?

Not merely because its unit status changes. DGFT provides that IEC remains valid irrespective of whether the firm operates as a DTA, EOU, SEZ, EHTP, STP or BTP unit.

However, separate approvals and scheme-specific compliance may still apply to such units.

15. Can an exporter apply for RCMC if its IEC is deactivated or the IEC profile is not updated?

No. DGFT’s e-RCMC process requires an active IEC and an updated IEC profile. The applicant also needs a linked Digital Signature Certificate or Aadhaar e-Signature for submitting the application. SEZ and EOU exporters can also explore Ebizfiling’s E-RCMC Registration under EPCES service for related registration assistance.

IEC Registration Support Made Easier with Ebizfiling

Applying for IEC involves PAN-based entity details, address verification, bank validation and proper online authentication. Mismatches between PAN, bank and business records can create filing issues during IEC registration or modification.

Ebizfiling assists proprietorships, partnerships, LLPs and companies with IEC applications and related DGFT compliance.

For new applicants, Ebizfiling provides IEC Registration Online assistance. Existing IEC holders can use the IEC Modification service for changes to existing details or the IEC License Update Procedure service for annual and other updates.

Need Help with IEC Registration? Ebizfiling Can Assist

Conclusion

IEC is a PAN-based identification code issued by DGFT and is generally required for importing or exporting goods from India unless a prescribed exemption applies. For service exporters, the IEC requirement under FTP specifically applies where benefits under the Foreign Trade Policy are being availed.

Although IEC registration has permanent validity unless suspended or cancelled, IEC holders must still confirm or update their details electronically every year during April to June.

Businesses should also monitor changes in PAN, constitution, address and bank information, maintain an active IEC profile and obtain separate approvals wherever restricted goods or export-promotion schemes require them.

These FAQs on IEC registration can help importers and exporters understand restructuring, annual updating, bank validation, deactivation, RCMC and other technical DGFT issues connected with IEC registration.