IEC in India (Required For Paypal)

Discussion in 'PayPal' started by adithya, Feb 26, 2010.

  1. raoraj

    raoraj Well-Known Member

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    #81
    i just found a "Laws - Guide for freelancers in India"

    it says
    more details are on link below
    http://www.scribd.com/doc/11445538/Laws-Guide-for-freelancers-in-India
     
    raoraj, Feb 27, 2010 IP
  2. rahul7281

    rahul7281 Peon

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    #82
    hi all,
    please clarifying few things to me..firstly i am a freelancer, with no company registered,no current account how can i get this export code.:mad:
    i have paying taxes since last 6-7 years but the problem arises in the IEC form they need company name,documents and other stuff:(
    so please let me know will it be possible for a indivdual to apply for a IEC code without having current account and company name?
    Regards
    Rahul
     
    rahul7281, Feb 27, 2010 IP
  3. Mr52

    Mr52 Peon

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    #83
    oh yea the same problem goes with mine
    any help from some one would be appreciated
     
    Mr52, Feb 27, 2010 IP
  4. rahul7281

    rahul7281 Peon

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    #84
    and dude i remember i read this somewhere if the amount of single transaction is below $2500 there was no requirement of IEC code
     
    rahul7281, Feb 27, 2010 IP
  5. paulnet

    paulnet Active Member

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    #85
    IEC code is compulsory for only those whose annual income is above 10 lakh. I read this in this forum before. Correct me if I am wrong. Its worth a hassle for those who don't have enough income to go for this IEC code stuff. I hope paypal will also give other solution to freelancers like us. Its should not be mandatory requirement if the income is not enough like as in the Case of PAN card also i.e. 1,60,000.
     
    paulnet, Feb 27, 2010 IP
  6. Mr52

    Mr52 Peon

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    #86
    nope its not like that

    if amount is less then or equal to
    160000
    then no tax

    but IEC code is required for everything
     
    Mr52, Feb 27, 2010 IP
  7. rahul7281

    rahul7281 Peon

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    #87
    yeah this was what i was looking for see page no. 7
    it mentions something about 25,000rs transactions if your amount from a single transaction is below it there is no requirement for IEC code right?
     
    rahul7281, Feb 27, 2010 IP
  8. rahul7281

    rahul7281 Peon

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    #88
    yeah right and check this page no 7 at the bottom
    http://www.scribd.com/doc/11445538/Laws-Guide-for-freelancers-in-India
    if paypal doesnt work i will have to rely on bank wires....i am ready to pan card details on paypal since there is nothing to fear i have been paying taxes regularly...i hope paypal allows us to do so:)
     
    rahul7281, Feb 27, 2010 IP
  9. rahul7281

    rahul7281 Peon

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    #89
    nope dude i have read long time back somewhere that it depends on the amount of single transaction for which IEC code is required...you are wrong here :)
     
    rahul7281, Feb 27, 2010 IP
  10. paulnet

    paulnet Active Member

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    #90
    I read somewhere IEC not compulsory if income below 10 lakh. But the thread is buried somewhere in digitalpoint itself. Its worth a hassle if Govt made it compulsory for freelancers. Pls. share source of your claim If Govt. made this compulsory for freelancers who is providing only services??
     
    paulnet, Feb 27, 2010 IP
  11. raoraj

    raoraj Well-Known Member

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    #91
    there is a interesting old thread which i think guide on some issue related to tax laws.
    http://forums.digitalpoint.com/showpost.php?p=2378323&postcount=9

    i think this DP guy "arvind_srivastava" has some serious knowledege abot this issue.

    if he can start a new thread on"Guide for freelancers in India" it'll be really helpful for all of us.


    btw that is $25000 not Rs.
     
    Last edited: Feb 27, 2010
    raoraj, Feb 27, 2010 IP
  12. samlocalguy

    samlocalguy Active Member

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    #92
    After the rules of RBI, paypal allowed their withdrawal services to Indians. But only for those who have IEC code.
    Lots of peoples are thinking its hard to get IEC specially students..
    RBI wants to track the payment coming from outside India. Before this rule paypal was a Havala.(becoz of no record of payment, you can withdraw money in any account)
    Now you have to give proper IEC code. So, RBI can track every transaction of you.

    To getting IEC is a process of 2 week to 6 week.

    Step 1.Open a current account in bank. (You need min 10k deposit, very bank to bank)
    Step 2. After some transaction in your c/a account. You have to take a certificate letter from your bank of current running account.
    Step 3. Complete your IEC file. Attach all document with it. You can take help of any CA.
    Step 4. IEC fees is now Rs.250 instead of Rs.1000 which you have to submit into bank and have attach the slip copy with IEC file.

    It will take 2 week to 8 week to come your IEC code. Depend on city to city.

    Note: Complete your all documents carefully. Uncomplete file means add 2-3 weeks more...

    Recommended : Better is to take help of any experienced CA.
     
    samlocalguy, Feb 27, 2010 IP
  13. gopalgkb

    gopalgkb Guest

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    #93
    are making youself that much accessible to the Govt

    THAT IS EXCATLY WHAT THE ISSUE WAS ABOUT. NOW YOU GOT IT.. THIS IS WHAT THE GOVT WANTS TO DO..


     
    gopalgkb, Feb 27, 2010 IP
  14. paulnet

    paulnet Active Member

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    #94
    I think we simply have to provide PAN numbers in case of Freelancers who are just providing services. Also several freelancer sites only ask for your PAN information not this IEC code stuff. Its a burden if you are not having enough income and then file unnecessory paperwork and yearly returns. Ofcourse we are ready if our income crosses this threshhold. In any country its not like that and in US also if you are freelancer you only have to provide only your personal Tax number.
     
    paulnet, Feb 27, 2010 IP
  15. unna

    unna Well-Known Member

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    #95
    at last a good news came with some confusion...

    but i think we will get resolve it...

    congratulations guys and cheers.
     
    unna, Feb 27, 2010 IP
  16. shanmugasundaram

    shanmugasundaram Active Member

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    #96
    yes so according to arvind it means that a guy/girl with PAN can do freelancing as an individual
    hmm lets all wait till march 1st
     
    shanmugasundaram, Feb 27, 2010 IP
  17. powerboss

    powerboss Active Member

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    #97
    Ahh, looks like its not an big issue. Its govt & RBI plan to tax us.
     
    powerboss, Feb 27, 2010 IP
  18. rahul7281

    rahul7281 Peon

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    #98
    yeah i agree i cant maintain current a/c and all other stuff when my income is not that much....i am happy to pay taxes and provide all tax related information..we are no big time exporters.........
     
    rahul7281, Feb 27, 2010 IP
  19. paulnet

    paulnet Active Member

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    #99
    IEC code is compulsory for only those whose annual income is above 10 lakh. I read this in this forum before. Correct me if I am wrong? Its worth a hassle for those who don't have enough income to go for this IEC code stuff. I hope paypal will also give other solution to freelancers like us. Its should not be mandatory requirement if the income is not enough?? We can give paypal PAN card in case of freelancers that are providing only services.
     
    paulnet, Feb 27, 2010 IP
  20. Balur

    Balur Peon

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    #100
    Balur, Feb 27, 2010 IP