This article provides a comprehensive overview of the EXIM Code registration and renewal process, including requirements, procedures, documents, costs, and relevant laws.

Prime Law Associates specializes in EXIM Code Registration & Renewal Service in Nepal. The Firm acts has Legal Advisor to multiple Trading & Import/Export Companies throughout Nepal. The Firm can be contacted through the following:

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What is EXIM Code?

The EXIM Code is a unique 13-digit identification number issued by the Department of Customs to businesses involved in importing and exporting goods from Nepal. The EXIM Code contains the company’s 9-digit PAN number, followed by a 2-digit ownership code, a 2-digit system-generated number, and “NP” at the end to denote Nepal. The Exim Code is a 13-letter code issued by the Department of Customs, Ministry of Finance (Government of Nepal), which enables businesses to engage in international trade by exporting and importing goods.

Before engaging in any import or export activities, it is a must to register a business as a manufacturing industry or trading firm with the relevant authorities in Nepal. This typically involves registering the company with the Department of Industry and obtaining a Company Registration Certificate. For home-based producers, it is compulsory to register as a private firm at the local ward office. Additionally, obtaining a PAN and VAT numbers is a requirement from the local office of the Inland Revenue Department. Traders (exporters/importers) must acquire an Exim Code from the Department of Customs to conduct trade.

Requirements for Obtaining EXIM Code

The requirements for obtaining EXIM Code are as follows:

Company registration with relevant government departments
Minimum paid-up capital of NPR 10 lakhs (for import activities)
PAN/VAT registration
Tax clearance certificate
Bank account in Nepal
Bank guarantee of NPR 3 lakhs

There is no minimum capital requirement for companies engaged solely in export activities.

EXIM Code Registration & Renewal Service in Nepal

Prime Law Associates has registered and renewed more than 50 EXIM Codes in Nepal till date. The Firm is legal advisor to several Trading & Import Companies in Nepal.

Amit Karna

Amit has experience in the registration and renewal of EXIM Codes in Nepal

Contact Amit

Sukra Subba

Sukra Subba has 10 Years of experience in the Corporate Sector of Nepal & facilitating EXIM Code Registration & Renewal at the Firm.

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Process of EXIM Code Registration in Nepal

The process for obtaining an EXIM Code in Nepal involves the following steps:
Step 1: Register company with Department of Commerce/Industry
Step 2: Gather all required documents
Step 3: Submit online application on Customs Department website
Step 4: Upload scanned copies of all documents
Step 5: Submit physical copies of documents to Customs Department
The department verifies the application and documents. If approved, the EXIM Code certificate is issued within 1-2 weeks.

Step 1: Company Registration

Register your company with the Department of Commerce, Supplies and Consumer Protection or Department of Industry. Ensure you meet the minimum paid-up capital requirement of NPR 10 lakhs for import activities. For export-only activities, there’s no minimum capital requirement. Obtain necessary licenses and certifications for your business operations.

Step 2: Preparation & Submission of Documents

Gather all required documents, including company registration certificate, PAN/VAT certificate, tax clearance certificate, bank account details, and citizenship certificates of directors. Prepare a bank guarantee of NPR 3 lakhs from an A-class commercial bank. Create an office location map and obtain passport-sized photographs of directors/owners.

Step 3: Online Application Submission

Visit the Department of Customs website and access the EXIM Code registration portal. Fill out the online application form with accurate company and director details. Upload scanned copies of all required documents.

Step 4: Physical Document Submission

After submitting the online application, prepare a set of physical copies of all uploaded documents. Visit the Department of Customs office and submit these documents along with the original bank guarantee letter.

Step 5: Verification and Issuance

The Department of Customs will verify your online application and physical documents. They may request additional information or clarifications if needed. Upon successful verification, the department will issue your EXIM Code certificate, typically within 7-10 working days. Collect the certificate from the customs office.

Document Required for EXIM Code Registration in Nepal

Application form
Citizenship copies of an individual or of all shareholders in a partnership firm
Company/firm registration certificate.
PAN/ VAT certificate
Recent passport size photo of the proprietor
Special certificates (if required).
Minimum 10 lakh paid-up capital proof for companies registered under Department of Industry, Department of Commerce, or Department of Small and Cottage Industry (Share Certificate)
Recommendation from the bank where the applicant has an account.
Request letter from Department of Industry for companies registered at Department of Small and Cottage Industry after 2074 which is mandatory.
Recommendation letter from Bank (if necessary)
Exact MAP tracing of the enterprise.
Bank Guarantee Document amounting to NRS 3,00,000 or cheque deposit issued by a Class A bank certified by Nepal Rastra Bank.

Time taken for EXIM Code

The typical processing time for obtaining an EXIM Code in Nepal is 7-10 working days from the date of submission of the complete application with all required documents.

Cost for EXIM Code

The direct government fees for EXIM Code registration in Nepal are minimal. The main costs involved are:

Bank guarantee of NPR 3 lakhs (for import)
Document preparation and notarization charges
Service Fee

The bank guarantee amount is refundable upon cancellation of the EXIM Code.

Also Read: Company Registration in Nepal: Company Registration Lawyer

EXIM Code Renewal in Nepal

The EXIM Code Renewal Fee is NPR 1,000/- per year. The renewal can be done up to 5 years in advance. Codes not renewed for 5 consecutive years are automatically cancelled. Late renewal attracts fines ranging from NPR 500 to 10,000 depending on the delay period. The renewal process typically takes 3-5 working days if all documents are in order.

Process of EXIM Code Renewal in Nepal

The process of EXIM Code Renewal in Nepal are:

Login to EXIM portal on Customs Department website
Fill renewal application form
Upload required documents
Pay renewal fee online or at bank
Submit physical copies of documents to Customs Department

Documents

Documents required for EXIM Code renewal:

Renewal application form
Tax clearance certificate of previous fiscal year
Renewed bank guarantee letter
Company registration renewal certificate (if applicable)
PAN/VAT registration certificate
Renewal fee payment receipt

Laws governing EXIM Code

The key laws governing EXIM Code in Nepal are:

Customs Act, 2064 (2007)
Customs Rules, 2065 (2008)

Authorities governing EXIM Code

The primary authorities governing EXIM Code in Nepal are:

Department of Customs – Issues and renews EXIM Codes
Department of Commerce – Regulates trading companies
Department of Industry – Regulates manufacturing companies
Inland Revenue Department – Handles tax-related matters

Necessity of EXIM Code

An EXIM Code is essential for several reasons:

It allows businesses to legally engage in import and export activities.
It enables customs clearance for international shipments.
It facilitates tracking of foreign trade transactions by regulatory authorities.
It is required for processing foreign exchange transactions related to trade.
It helps prevent unauthorized or illegal cross-border trade.
It allows the government to monitor trade flows and collect accurate trade data.

EXIM Code Registration & Renewal in Nepal: FAQs

Frequently Asked Questions

Can individuals apply for an EXIM Code in Nepal?

Yes, individuals registered as sole proprietors can apply for an EXIM Code. They need to provide their citizenship certificate and business registration documents along with other required documents.

Is an EXIM Code mandatory for all types of exports from Nepal?

An EXIM Code is mandatory for most commercial exports. However, exports valued below NPR 10 lakhs in a single consignment may be allowed without an EXIM Code, subject to customs regulations.

Can a company have multiple EXIM Codes?

No, a company can have only one EXIM Code. The same code is used for all import and export transactions of the company. Branch offices use the EXIM Code of the parent company.

What happens if an EXIM Code is not renewed on time?

Late renewal attracts fines. If not renewed for 5 consecutive years, the code is automatically cancelled. The company would need to apply for a new code to resume international trade.

Can an EXIM Code be transferred to another company?

No, an EXIM Code cannot be transferred. It is unique to each company. If a company is acquired or merged, the new entity must apply for a fresh EXIM Code.

Is there a separate EXIM Code for services export?

No, the same EXIM Code is used for both goods and services exports. However, certain service exports may have additional registration requirements with other regulatory bodies.

How can I check the validity of an EXIM Code?

The validity of an EXIM Code can be checked online on the Department of Customs website by entering the code number. It shows the current status and expiry date of the code.

Conclusion

The EXIM Code is an indispensable requirement for businesses engaged in international trade in Nepal. Timely renewal and compliance with regulations are essential to maintain the validity of the EXIM Code.

Disclaimer: This Article is for informational purposes only and shall not be construed as legal advice, advertisement, personal communication, solicitation, or inducement of any sort from the firm or any of its members. The firm shall not be liable for consequences arising out of any action undertaken by any person relying on the information provided herein.

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