Digital Signature for AD Code Filing: Is It Really Necessary?

Overview

Before engaging in international trade activities, exporters and importers from India are required to obtain specific documents. These documents are vital to identify the businesses that deal with export and import. Apart from the IEC (Import-Export Code), for the foreign exchange management, the AD code registration is a vital requirement. The 14-digit authorized dealer code is vital for international trade. Not having a valid AD code raises potential challenges such as restrictions from customs clearance, non-compliance with regulatory regulations, and many more. In short, the code is the gateway to adhere to the RBI’s set regulations. However, businesses require a digital signature for the AD code filing. Do you need DSC for AD Code?  Let’s break down the page to know why a digital signature is vital for you and how it is helpful during AD code filing. 

Requirement of AD Code Registration At Ports

For the goods clearance at the ports, linking the bank account with the customs department is vital. The code enables exporters to clear goods at the ports. The code is a vital tool for individuals or businesses. The role of code is to link the current bank account with the export-import activities. Once goods clear at the ports, the exporters get approval to trade in foreign exchange. Registering the 14-digit code at each port is vital for businesses that intend to export. On the other hand, for AD code filing, gather the necessary documents such as the AD code letter on the bank’s letterhead, IEC number, GST certificate, PAN card of the company, cancelled cheque, authorized signatory details, and DSC. The class 3 DSC is necessary to register the AD code on the ICEGATE portal. 

What is a Class 3 Digital Signature Certificate (DSC)?

In India, a Class 3 DSC is recognized as the highest level of digital identity certificate. Take a deep look at its key functions:

• Strongest Security: Class 3 DSC is widely preferred by individuals or organizations. It is remarked as one of the most secure and reliable tools for authenticating identity in digital transactions.
• Rigorous Identity Verification: Compared to lower-class DSCs, the function of Class 3 DSC is the highest. It provides stringent verification security to determine the applicant’s identity. 
• Legal Recognition: Under India’s Technology Act, 2000, Class 3 DSC provides the legal identity. It offers a legally binding digital signature with the same handwritten signature structure. 

User Query: Can One Exporter Use Multiple AD Codes? Here’s What You Need to Know

The Common Uses of Class 3 DSC

Digital signature is used in various locations for multiple purposes, including:

• Obtaining the Class 3 DSC is important to participate in e-tendering and e-procurement procedures.
• It is used for e-filing of documents such as GST, income tax, and other important registrations.
• For the registration of trademarks and patents online.
• Important for signing contracts, conducting online financial transactions, and other risky e-commerce applications.

The Requirement of a Digital Signature during AD Code Filing

Digital signature for AD code registration filing marks a strategic move to obtain the necessary authentication. It is further legally accepted to submit the documents electronically. Applicants are restricted from signing important documents without the DSC. Meanwhile, the AD code registration with a digital certificate is necessary because:

Identify the AD code applicant.

DSC is required to authenticate the identity of the applicant or entity that submits the AD code. Furthermore, it demonstrates that the organization is a legitimate entity.

Provides the High Security

A hardware token is used to secure the digital signature. It is beneficial to ensure that the document is authentic as well as protected from unauthorized use after the electronic document signature.

Legal Validity

Under the Information Technology Act, 2000, a digital signature certificate is legally accepted for the AD code filing. 

Simplify Registration Process

By speeding and streamlining the process, DSC offers the strongest verification method. It directly impacts the approval of AD code registration. 

How to Obtain a Class 3 DSC for Online Filing AD Code?

A multi-step approach is involved to secure the Class 3 digital signature. To acquire this, follow these steps:

Step 1: Choose a Licensed CA

It is crucial to select a reputable and licensed certifying authority.  The Indian government usually recognizes them to issue DSCs. Otherwise, get in touch with LegalRaasta, which provides DSC approval service.

Step 2: Apply for DSC

Fill out the details on the selected CA’s official website. Mention the details, such as contact number and residential address, in the application form.

Step 3: Gather necessary documents

Provide the required documents, such as address and identity proof, which include a PAN card, an Aadhaar card, or a passport.

Step 4: Complete verification  

Upon application submission, a video verification via email and SMS on the registered mobile number will be sent by the CA. A few services of CA provide verification in person. 

Step 5: Choose Online Payment Mode

Pay the fees of Class 3 DSC through the online payment gateway.

Step 6: Download DSC

With the password-protected USB token, the applicant downloads the DSC (Digital Signature Certificate). 

How to Use a Digital Signature for AD Code Registration Filing?

For the online filing of the AD code via DSC, obtain a digital signature from a government-authorized certifying authority. Upon approval of the DSC, the applicant can apply for registration for an AD code bank account. Furthermore, the necessary documents required apart from DSC are the IEC number, PAN card, bank details, and an AD code letter on letterhead from an authorized bank. To sign the documents digitally, having downloaded JAVA (JRE) is crucial for Java security. It allows you to navigate the sections on the ICEGATE portal. Here is the AD code registration process on ICEGATE:

• By using your ID and password, navigate the ICEGATE portal.
• Log in to your profile on the portal and visit the section ‘Bank Accounts.’
• By selecting the ‘Add New Bank Account,’ mention the bank details. Further input the AD code.
• Upload the digitally signed documents on the portal (must be in PDF format).
• Complete the OTP verification process and apply online

Sum Up | Digital Signature Importance for Exporters AD Code

In essence, Class 3 DSC (Digital Signature Certificate) provides the authenticity, legal validity, and security during online submission. Using the digital signature for AD code bank account registration is beneficial for high-level security. It helps protect the sensitive information from unauthorized access. For the ICEGAT portal access, DSC is useful in logging and signing customs documents. To gain international market access, apply now for AD code registration with DSC. LegalRaasta facilitates businesses in procuring the DSC (Digital Signature Certificate). Your services at lower costs for DSC authorization.

FAQs | Clear your Confusions with these Questions and Answers.

1. Which digital signature is used for AD code filing?

Ans. For the registration of the AD code, the applicant must use the Class 3 Digital Signature Certificate (DSC). Obtain the DSC from the licensed certifying authority.

2. Can I get the Class 3 DSC online?

Ans. Yes, to obtain the Class 3 DSC online, contact a licensed Certifying Authority (CA). Visit their official website and fill out the application form. Upon application submission and other necessary processes, the DSC will be available to download online.

3. Is DSC required for the filing of the IEC code?

Ans. No, to obtain the Import-Export Code, there is no need for a digital signature certificate. For the authentication, the organization or individual can use the Aadhaar.

4. How to register the AD code online?

Ans. Visit your current bank, which will issue the AD code letter on its letterhead. Use it to register on the ICEGATE portal.

5. Which documents are required for a digital signature?

Ans. To obtain the DSC, the applicant must provide identity proof, such as a PAN card, Aadhaar card, passport, driving license, bank passbook, etc., and choose any one. For the address proof, provide a telephone bill, electricity bill, water bill, bank statement, or property tax receipt (any one). Other required documents are a passport-size photo, email address, mobile number, and an application form.