GST on export of services & RUC

Hello everyone!

This is my first post here, I am a new business owner and my company is into the service of providing branding & interiors to the clients

Recently, I closed in on a project in Nicaragua and based on my knowledge export of services wouldn't need require GST charges to the client - listing down more info below

1. It's a partnership firm registered in India

2. The client stays in Nicaragua

3. The client will be depositing money from a forex account

4. The money will be transferred to an Indian bank account

5. There’s no intermediary involved; I am in direct touch with the client

My questions

1. Please confirm if no GST is required to be charged

2. How do i file this transaction on the GST portal

3. The client has given me an RUC number. Based on a google search i could make out this is related to company identification and taxes in the host country, anyone here has any idea about this? or anything i need to be vary off as to not end up paying out of my project fee.

Thanks in advance!

Siddharth

Hi Siddharth, and welcome to GST discussions! Congrats on your international project — exciting times!

Let's address your queries one by one regarding export of services under GST and the details you shared:

1. Is GST chargeable on Export of Services?

Under GST law:

Export of services is defined as supply of service where:
- The supplier is located in India,
- The recipient is located outside India,
- The place of supply is outside India,
- Payment is received in convertible foreign exchange or in Indian rupees from a person outside India,
- The supplier and recipient are not related persons, or if related, supply is made with an invoice.
Export of services is treated as a zero-rated supply under GST, meaning:
- You do NOT charge GST on your invoice to the foreign client,
- You can claim refund of input tax credit (ITC) on inputs/input services used to provide the export service.

In your case:

Your firm is in India (supplier location),
Client is in Nicaragua (outside India),
Payment is from foreign currency to your Indian bank account,
You are dealing directly (no intermediary),

This satisfies the conditions of export of services.

So, you should issue a zero-rated invoice (without GST) and mention it is an export of services.

2. How to file this transaction on the GST portal?

You need to report export of services in your GSTR-1 and GSTR-3B as follows:

In GSTR-1, report the export invoice under Table 6A (Zero-rated supplies) with the invoice details and mark it as export.
In GSTR-3B, declare the export turnover under the relevant column (usually under "Outward supplies - Exports").
If you have paid GST on inputs/services used to provide the export service, you can claim refund of ITC on export (file refund application separately).

3. About the RUC number given by your client

RUC typically stands for Registro Único de Contribuyentes, which is the unique taxpayer identification number used in countries like Nicaragua, Peru, and some other Latin American countries.
It's similar to a Tax Identification Number (TIN) or GSTIN in India.
Your client’s RUC number is their local tax ID.

What this means for you:

Since you are exporting services to a foreign company, their RUC is useful for your record-keeping and to show you are dealing with a valid business.
It does NOT affect your GST liability in India.
You should ensure you maintain proof of export (contract, invoice, payment receipts, etc.) for audit and refund claims.

Summary for your export of services:

Aspect	Action/Outcome
GST on export of services	0% GST (Zero-rated supply)
Invoice	Without GST, mention export
Reporting in GSTR-1	Table 6A (zero-rated supplies)
Reporting in GSTR-3B	Declare export turnover
Refund	Claim ITC refund on inputs
Client’s RUC number	Client’s local tax ID; keep for records