Is GST registration required for software service exports

Not required if you don't want to claim any refund of input GST.

Thanks for the clarification!

Thanks for answering it with detailed reference.

I looked at the said tweet, dated Dec 22, 2017. It says, 
Question : I export services but turnover is below threshold. Should I take registration?
Answer: Yes, as it is an inter-State supply, you are liable to take mandatory registration under section 24

But I am not 100% sure, if this tweet should be taken at face value. Because as per Notification No.10/2017 Integrated Tax dated on 13th October, 2017, GST registration is exempted when IGST taxable turnover is lesser than 20 lakhs. So this FAQ answer directly conflicts with the official notification issued at an earlier date.

I looked at section 24, It lists "persons making any inter-State taxable supply;". But export of services is non-taxable (zero-rated supply). So one can interpret that export of services doesn't fall under section 24.

But I would take your advice and get GST registration, as we cannot risk arguing with the GST officers if they send us any notice.

As I understand GST authorities will definitely send a notice for non-registration sooner or later based on the turnover data shared by IT department. (In the IT returns we won't mention whether it is exports or domestic supply).

Maybe it will be helpful if somebody doing service exports shares their experience on receiving notice from GST authorities for non-registration and if they succeeded or failed in convincing them after mentioning they do exports-only. Practical experience is more applicable/legitimate than the ambiguous/inaccurate tweet.

Exports are deemed inter state supplies. Interstate supply( which includes exports ) of goods required GST registration from Re. 1.

However, Interstate supply of services ( which includes export of services ) have been given relaxation from registration upto 20 lakhs turnover.

The issue is that Turnover over 20 lakhs will become liable for GST in absence of LUT exemption. Accordingly you will have to shell out 18% GST plus interest.

Penalty for non registration will also become applicable.

Export of services is zero rated supplies but they are also deemed inter state supplies which makes registration necessary.

Zero rated supplies ( export sales of services ) can be done under LUT which is 0%GST. But in case of no GST registration it means yoi cannot apply for LUT. Hence once you are liable for GST registration, subsequent Turnover will become liable for GST. and in absence of LUT, it will be liable to 18% GST from your own pocket.

You may contact on raj @ rcdco.in for further advice

Since it is Export, GST and IEC is required. Rs 40 lakh /Rs 20 lakh Turnover is not criteria applicable to exports. Must need to get register GST and IEC

Since your turnover is more than 20 Lakhs you are required to take registration 

Also export is taxable supply, but zero rate 

Section 23 is not applicable here - 100%  Nil and expent services are excluded.

Section 23 - Person who is not liable for registration under GST | GST Gyaan

Section 23 is not applicable here - 100%  Nil and expent services are excluded.

Section 23 - Person who is not liable for registration under GST | GST Gyaan

For software service exports, GST registration works differently from domestic services.

MANDATORY REGISTRATION if:
Your total turnover (including zero-rated exports) exceeds Rs 20 lakh in a financial year. Export of services is zero-rated, meaning no GST is charged to the foreign client. But if your turnover crosses Rs 20 lakh, registration is still required.

If your only income is from software exports and it stays below Rs 20 lakh per year, registration is NOT required.

IF REGISTERED (or voluntarily registered):
You have two options for export of services:
1. File a Letter of Undertaking (LUT) and supply without charging IGST. Then claim refund of ITC accumulated on inputs (hosting, software, office expenses). This is the most common route.
2. Pay IGST on exports and claim a refund. This blocks working capital.

LUT must be filed for each financial year on the GST portal (Services > User Services > Furnish Letter of Undertaking). It is free and quick.

For the full registration threshold chart, LUT filing steps, and how to claim ITC refund on zero-rated exports, this [GST guide for IT software services](https://taxgarden.in/blog/gst-on-it-software-services-india-rates-sac-codes-2026) has the applicable SAC codes and export rules.