23 January 2017
I have dout. Providing software/techincal consultancy service to foreign clients as an independent consultant, do I need to file SOFTEX form to receive foreign remittances ? Who all require to file SOFTEX form ?
25 July 2025
Great question! Here's a clear explanation about **SOFTEX forms** for software and IT service exports:
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### What is a SOFTEX Form?
* **SOFTEX** is a mandatory document filed with the **Software Technology Parks of India (STPI)** or **Export Promotion Council for IT & Software (NASSCOM)** for the purpose of tracking software exports. * It certifies the export of software or IT-enabled services and helps in **getting export benefits** and in monitoring foreign exchange inflow.
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### Who needs to file SOFTEX form?
* **Only companies or entities that are exporting software products** (including packaged software, software services, IT-enabled services) **need to file SOFTEX forms.** * Filing SOFTEX is mandatory to get the **software export benefits** like incentives, duty drawbacks, and to get export recognition. * Typically, **Software Export Houses, STPI units, and companies registered with NASSCOM** file SOFTEX forms.
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### What about independent consultants?
* If you are an **independent consultant providing software/technical consultancy services to foreign clients** and **receiving foreign remittances**:
* You **generally do NOT need to file SOFTEX forms** because:
* SOFTEX forms are primarily for exporters registered under specific export promotion councils. * Independent consultants may not be registered exporters under STPI or EPC. * However, you **should maintain proper documentation** of your export invoices, contracts, and foreign remittance receipts. * For income tax and FEMA compliance, you will declare your foreign income through bank statements and invoices.
* Even if SOFTEX is not mandatory for you, ensure that:
* Foreign remittances are routed through **authorized dealer banks**. * You maintain **proper contracts and invoices**. * You comply with **income tax filing** and **foreign exchange regulations**.
* If you plan to scale your business and register as a software exporter under STPI or EPC, then SOFTEX filing will be required.
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If you want, I can help you with:
* Guidance on registering as a software exporter. * Details on other export documentation. * Income tax or FEMA compliance related to foreign services.