Gst, export of service, convertible foreign exchange and paypal/remitly/transferwise etc.

If I do freelance data entry work exclusively for foreign clients and receive money through PayPal/Remitly/Transferwise etc, will it be considered as "Export Of Service" under GST ? Do I need to register for GST ? My gross income is less than 10-lakh/year.

What does "Convertible Foreign Exchange" mean ? 

Replies (8)
yes. cmplsry reg under sec 24. no tax since it is zero rated.
I would like to know if export is done on micro level through courier services by payment without tax or Zero Rated Then to claim refund what all documents we need to upload to claim refund and which form we need to fill for claiming refund.


Also would like to know if export done by paying tax or IGST then what all details will be needed and which form need to fill 

Thanks for your reply.

If I get money through Remitly (https://www.remitly.com), the transaction is shown in my bank account in "NEFT-<TransactionID>-<ClientName>" format.

Is it considered as "Convertible Foreign Exchange" ? My client forwarded me the email that he got from Remitly.

Here is the format of email from Remitly:

  • Submitted: May 08, 2019 7:46 AM PDT
  • Reference No.: Rxx xxx xxx xxx
  • Delivery: Bank Deposit
  • Bank: My Indian Bank Name
  • Bank Account: Last 4 digit of My Account number
  • Branch Info: My Bank's IFSC Code
  • Delivery Speed: Economy
  • Currency: INR
  • Available: May 14, 2019 7:18 AM PDT (May 14, 2019 7:48 PM IST)
  • Payment Method: Last 4 digit of My client's US Bank Account number
  • Amount Sent: xxxx.00 USD
  • Fee: 0.00 USD
  • Total Amount Charged: $ xxxx.00 USD
  • Net Recipient Amount: ₹ xxxx.00 INR
  • Exchange Rate: 1 USD = 69.33 INR

 

I'm confused.

As per Notification No. 10/2017 – Integrated Tax, 

"persons making inter-State supplies of taxable services and having an aggregate
turnover, to be computed on all India basis, not exceeding an amount of twenty lakh rupees in
a financial year as the category of persons exempted from obtaining registration under the
said Act.
"

If I understand correctly, export is considered as "inter-state service".

Do I still need to register for GST ?

 

 

no ...no need to registered. In term of section 22 of CGST Act the threshold limit is 20lac .
And Yes U R correct ... As per Notification 10 IGST , dtd.13/10/19 , Inter state taxable SERVICE provider is exempted to obtain registration , if his aggregate turnover is below the threshold limit prescribed in section 22 CGST Act
Sorry it's 13/10/2017

Thanks a lot for your confirmation. I was very worried as my US clients will never pay Indian GST.

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