If you’re considering getting into the import-export business, this info is super important for you. You need to understand what AD Code registration is all about. This 14-digit code, issued by your bank, isn’t just for customs clearance or generating shipping bills on the ICEGATE portal; it also makes you eligible for export rewards and government benefits. Here we’ll discuss how the AD Code aids with export incentives and refund claims. It can save you a lot of money.
In this blog, we’ll talk about how AD Code helps in claiming export incentives & refunds. And we promise that it can save you a significant amount of money. Let’s get started now!
Guide to Claiming Export Incentives & Refunds with Your 14-Digit AD Code.
The Indian government offers refunds and incentives to support you, and your AD Code registration connects you to these benefits.
- GST Reimbursement: Your AD Code ensures that the funds are deposited in your bank account promptly, and exporters can get their GST reimbursement.
- Rodtep Scheme: It provides a portion of the export value as a rebate to the exporter. It is a benefit scheme to expand exports by refunding taxes and duties. These are hidden taxes and duties that don’t get refunded under other schemes.
- Duty Drawback: Through the Duty Drawback scheme, exporters can recover the customs duties they paid on materials brought in from other countries.
- Direct Credit of Incentives: Benefits associated with exporting are directly transferred by the government into the exporter’s registered bank account.
4 Easy Steps for AD Code Registration
Follow these steps to register your AD code.
- IEC is Mandatory: The first requirement for getting your AD Code is to have a valid IEC number from the DGFT.
- Go to Your Bank: Contact your authorised dealer bank and provide the documents. These include your PAN card, IEC, and your business registration certificate to receive your AD Code.
- Get Your AD Code Letter: The bank will send out a letter with your AD Code in the format that DGFT recommends.
- Log in to ICEGATE: Remember to register the AD Code for the designated ports by logging into the ICEGATE site. This step is required to generate shipping bills.
FAQs
1. What does an AD Code stand for?
An AD Code stands for Authorised Dealer Code. It is a 14-digit code issued by an authorized bank. It’s essential for customs clearance and to access various benefits, such as rewards for exporters.
2. What is the cost of ad code registration?
The cost of AD Code registration depends on the service provider you choose. If you do it yourself, it may be free, with only a nominal fee charged by the bank. However, it can be challenging to do it on your own. If you opt for assistance from a service provider, the cost typically ranges between ₹2,000 to ₹5,000.
3. Can I use the same AD Code for multiple ports?
No, you need to register the AD Code separately for each port of export.
4. How long is the AD Code valid?
The AD Code remains valid as long as there are no changes in the bank account details.
5. Is there any fee for AD Code registration?
No, registering an AD Code on the ICEGATE portal is free of charge.
6. Can I change my AD Code?
Yes, if you change your bank or branch, you need to obtain a new AD Code and register it accordingly.
7. How does the AD Code help in claiming GST refunds?
The AD Code links your export transactions to your bank account, facilitating the direct credit of GST refunds.
8. Is the AD Code required for service exports?
The AD Code is primarily for goods exports; however, kindly consult with your bank for specific requirements related to service exports.
9. What happens if I export without an AD Code?
Without an AD Code, your shipments won’t pass through customs, and you’ll miss out on financial benefits. Moreover, your shipments will also experience delays and complications. This will lead to both time and financial losses.
10. Where should I register my AD Code?
You can register your AD Code on the ICEGATE’s official portal – [www.icegate.gov.in] for the respective ports of export.
Conclusion
AD Code helps in claiming export incentives & refunds. Proper registration of the AD Code ensures smooth export operations and financial benefits.
At E-Startup India, we take care of the AD Code registration for exporters. Whether you’re a new exporter or an established business expanding to new ports, our team provides complete assistance, from preparing documents to registering your AD Code with ICEGATE.
We have helped 10,000+ businesses, and we specialise in services related to IEC registration, AD Code registration, GST, and more. To get your AD Code registered quickly, contact E-Startup India today!
How to Apply for an AD Code Online in 2025: A Step-by-Step Guide
Moreover, If you want any other guidance relating to registering AD Code or IEC , please feel free to talk to our business advisors at 8881-069-069.
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