How Can Startups in India Receive International Payments in 2026?

• Typical ticket size: Small monthly or annual SaaS subscriptions from many customers, plus larger enterprise contracts, pilots and annual licences billed by invoice. Annual plans are often paid in advance.
• Currencies: Mostly US dollars, with euros, British pounds, Australian dollars, Canadian dollars, Singapore dollars and UAE dirhams from customers who want to pay in their own currency.
• Client geography: Businesses and consumers in the United States, United Kingdom, Europe, Singapore, Australia and the Gulf, and in some cases a foreign parent or group company of the Indian startup.
• Payment methods: Card payments and recurring billing for self-serve plans, domestic bank transfers in the customer's country, international wires for enterprise invoices, and app store payouts for mobile apps.

1. 1Customer pays by card, transfer or wireDeduction: A sending fee on an international wire, often small or nil for a domestic transfer in the customer's country. The customer's bank or card issuer charges for outgoing cross-border payments.
2. 2Intermediary or correspondent banksDeduction: A fee taken in transit on many SWIFT wires. Each bank in the chain can deduct a charge before the money reaches India.
3. 3Collecting provider, checkout or app storeDeduction: A percentage fee per card payment, a transfer fee, or a store commission. The party that collects the money abroad charges for processing and sending it to India.
4. 4Currency conversion to rupeesDeduction: The gap between the rate applied and the mid-market rate. Whoever converts the foreign currency, the AD bank or a provider, sets the rate it pays the startup.
5. 5AD bank credits the company accountDeduction: An inward remittance or advice charge at some banks, plus GST on bank and provider charges. Domestic fees for crediting and documenting foreign receipts are taxable supplies in India.

The table ranks platforms with full published pricing for USD by the INR received on USD 5,000, then lists other business platforms that accept USD, unranked. Fees were checked on 30 Sept 2026 or later.

Each row applies the platform's published fee, FX markup and 18% GST on the fee to the mid-market rate of ₹94.86 per USD for 3 Nov 2026.

• Recurring billing: Subscription revenue needs a route that renews without the customer acting each month. Card checkouts and saved domestic transfer details suit renewals better than a new wire for every invoice.
• Advance payments: Annual plans are often paid upfront. Regulation 10(1) of the FEMA Regulations, 2026 asks an exporter to route an advance and any later realisation through the same AD bank, unless it informs both banks of a change.
• Group payments: A startup with a foreign holding company can bill it for services. Regulation 7 lets an AD bank allow set-off of export receivables against import payables with the same overseas party or its group companies.
• Investor funds: Money from foreign investors counts as foreign investment and stays outside export income. It follows the RBI Master Direction on Foreign Investment in India, with separate reporting such as Form FC-GPR, so keep it apart from customer receipts.
• Reconciliation: Card and app store settlements arrive as batches. Keep the provider's payout reports that map each batch to customer invoices, because the EDF, EDPMS closure and GST return all work invoice by invoice.

Startups exporting services follow the FEMA (Export and Import of Goods and Services) Regulations, 2026, in force from 1 October 2026. Each receipt needs a purpose code and an inward remittance record. Payment must arrive within nine months of the invoice date, or twelve months if invoiced or settled in rupees, and the AD bank may extend this.

• FIRA: FIRA is a market name and is not a term defined in the FEMA regulations. The AD bank issues an inward remittance certificate or advice. CGST Rule 89(2)(c) asks for BRC or FIRC details in a refund claim, and the DGFT eBRC FAQs explain self-generated eBRCs. See FIRC vs FIRA vs eBRC.
• Purpose code: The RBI FETERS purpose code list describes P0802 as "Software consultancy/implementation (other than those covered in SOFTEX form)" and P0807 as "Off site software exports". Consulting startups may use P1006, "Business and management consultancy and public relations services". See P0802 vs P0807.
• LUT: A GST-registered startup can export services without paying IGST by filing a Letter of Undertaking in Form GST RFD-11 under CGST Rule 96A. File it on the GST portal before raising export invoices. See LUT filing on the GST portal.
• GST reporting: Report each export invoice in Form GSTR-1 as an export made without payment of IGST, which CGST Rule 96A(2) links to the export invoice details in GSTR-1. Keep the inward remittance record against each invoice for any refund claim.
• EDF: File an Export Declaration Form within 30 days from the end of the invoice month under Regulation 3(2), and one EDF can cover a month. Software exporters cannot use the option to file on or before receipt. Circular No. 20 replaced SOFTEX with the EDF. See EDF form.
• EDPMS: Under Regulation 4(2), the AD bank closes the EDPMS entry when it credits the payment. For invoices up to Rs 10 lakh, it may close the entry on the exporter's declaration, including a quarterly bulk declaration. See EDPMS closure.

Service exports by startups in India are usually zero-rated for GST and taxed as business income in India. Under IGST Act section 16, an export of services is a zero-rated supply. Income tax follows the Income-tax Act, 2025 from 1 April 2026, and foreign customers may ask for tax forms or withhold tax.

• GST zero-rating: The supply must meet all five conditions in IGST Act section 2(6), including a recipient outside India and payment in convertible foreign exchange or in rupees where RBI permits. Fees charged by Indian banks and providers carry GST as domestic supplies.
• Foreign parent: Many startups bill a foreign holding company. CBIC Circular 161/17/2021-GST clarifies that an Indian company and a company incorporated abroad are separate persons, so services to the foreign group company can qualify as an export if the other conditions are met.
• Income tax: The presumptive schemes of old sections 44AD and 44ADA now sit in section 58 of the 2025 Act, per the Income Tax Department FAQ. Under the old Act, the ITR-4 FAQ limited presumptive filers to resident individuals, HUFs and firms other than LLPs, so a startup company or LLP generally falls outside these schemes.
• Company tax: A startup run as a private limited company or LLP usually computes tax on its actual profits from export income. Check the rates and any startup incentives that apply for tax year 2026-27 with a tax adviser, as income earned before 1 April 2026 stays under the 1961 Act.
• Withholding: US customers often ask a company for Form W-8BEN-E, and an individual founder billing before incorporation for Form W-8BEN. If a customer abroad deducts tax, keep the certificate, because a tax treaty may allow a credit in India. See W-8BEN-E for Indian companies.

Rules and rails are linked to official sources below with the dates they were checked. Platform figures come from each platform's own pages, checked on 30 Sept 2026 or later, and RBI authorisation was checked against RBI's published list. Rates are XE live mid-market rates, dated 3 Nov 2026. The method is on the methodology page.

1. Foreign Exchange Management (Export and Import of Goods and Services) Regulations, 2026, Notification No. FEMA 23(R)/2026-RB, Reg 2(1)(f)(iii) and Explanation: services include software, specified authority AD or STPI; Reg 3(2) EDF within 30 days from end of invoice month, single EDF, (b) non-software services may file on or before receipt; Reg 4(2) EDPMS closure on declaration up to Rs 10 lakh, quarterly bulk; Reg 5 realisation; Reg 7 set-off with overseas group companies; Reg 10(1) advance through same AD bank; Reg 19(3) reasonable charges (checked 8 Oct 2026)
2. Foreign Exchange Management (Export and Import of Goods and Services) (Amendment) Regulations, 2026 (22 September 2026), Regulation 5(1): 'fifteen months' replaced by 'nine months'; 'eighteen months' replaced by 'twelve months' (checked 8 Oct 2026)
3. RBI A.P. (DIR Series) Circular No. 20 dated 16 January 2026, Supersedes the Master Direction on Export of Goods and Services and the SOFTEX circulars from 1 October 2026 (checked 8 Oct 2026)
4. RBI A.P. (DIR Series) Circular No. 84: Purpose codes for reporting under FETERS (29 February 2012), P0802 'Software consultancy/implementation (other than those covered in SOFTEX form)'; P0807 'Off site software exports'; P1006 'Business and management consultancy and public relations services' (checked 8 Oct 2026)
5. RBI FETERS purpose code list (annex to A.P. (DIR Series) Circular No. 84), Receipt purpose codes, Group 08 computer and information services and Group 10 other business services (checked 8 Oct 2026)
6. RBI Master Direction on Regulation of Payment Aggregators, Para 11(d): maximum Rs 25 lakh per inward or outward transaction processed by a PA-CB; para 11(h): documents to AD bank for EDPMS closure (checked 8 Oct 2026)
7. RBI Master Direction - Deposits and Accounts, EEFC account: foreign exchange earnings credited; accruals not used for approved purposes converted by the end of the next calendar month (checked 8 Oct 2026)
8. RBI Master Direction - Foreign Investment in India (updated up to 15 June 2026), Foreign investment regulated under FEMA and NDI Rules; reporting in Form FC-GPR; para 6.14 convertible notes issued by an Indian startup company (checked 8 Oct 2026)
9. IGST Act, 2017, Section 2 (definitions), Section 2(6): export of services, conditions (i) to (v), payment in convertible foreign exchange or in Indian rupees wherever permitted by RBI (checked 8 Oct 2026)
10. IGST Act, 2017, Section 16: Zero rated supply, Section 16(1): export of services is a zero-rated supply (checked 8 Oct 2026)
11. CGST Rules, 2017, Rule 96A, Export of services under bond or Letter of Undertaking in Form GST RFD-11 without payment of integrated tax, furnished prior to export; Rule 96A(2): details of export invoices contained in Form GSTR-1 (checked 8 Oct 2026)
12. CGST Rules, 2017, Rule 89, Rule 89(2)(c): BRC or FIRC details for refund claims on export of services (checked 8 Oct 2026)
13. CBIC Circular No. 161/17/2021-GST: Clarification relating to export of services, condition (v) of section 2(6) of the IGST Act (20 September 2021), Paras 5.1 and 5.2: an Indian company and a foreign company are separate persons; services by an Indian subsidiary to its foreign group establishments are not barred by condition (v) (checked 8 Oct 2026)
14. DGFT FAQs on Self-Generation of eBRC, Self-generated eBRC from bank inward remittance data (checked 8 Oct 2026)
15. Income Tax Department: Objective and scope of the new Act (Income-tax Act, 2025), 1961 Act replaced from 01.04.2026; FAQ 25: presumptive schemes in sections 44AD, 44ADA and 44AE consolidated into section 58 (checked 8 Oct 2026)
16. Income Tax Department: File ITR-4 (Sugam) Online FAQs, FAQ 1: ITR-4 can be filed by a Resident Individual / HUF / Firm (other than LLP) with presumptive income u/s 44AD, 44ADA or 44AE (checked 8 Oct 2026)
17. IRS: About Form W-8 BEN-E, Used by foreign entities to document their status for purposes of chapter 3 and chapter 4 (checked 8 Oct 2026)
18. IRS: About Form W-8 BEN, Given by a foreign person who is the beneficial owner of an amount subject to withholding to the withholding agent or payer when requested (checked 8 Oct 2026)
19. Skydo homepage (pricing and fee calculator), Know what you pay; calculator showing GST 18% of transaction fee (checked 6 Oct 2026)
20. Razorpay MoneySaver Export Account (International Bank Transfers) pricing, Standard Plan: 0% FX markup, 1% fee, FlashLinks 2%, GST applicable, flat fee of INR 1,000 on transactions below INR 1,00,000, setup and AMC INR 0 (checked 6 Oct 2026)
21. Kotak Everyday Savings Account fees and charges, Foreign Inward Remittance certificate (Branch Request) INR 100/Request; GST on Foreign Currency Conversion; fees exclusive of GST (checked 6 Oct 2026)
22. HDFC Bank: Remittance Services Fees & Charges, Inward Remittance Charge: No Charge; FIRC Charge for Inward Remittance & FCY Cheque Collection INR 200 per FIRC; GST slabs on amount of currency exchanged (checked 6 Oct 2026)
23. Wise India: Fees for receiving money (Business), Conversion fee depends on the currency; eFIRC for every transfer; GST 18% of (conversion fee + eFIRC fee); calculator (checked 6 Oct 2026)
24. Stripe India pricing, International cards with USD/other currency presentment 4.3% + 2% if currency conversion is required; Mastercard and Visa cards issued outside India 3% + 2%; American Express outside India 3.5% + 2%; dispute received INR 1,000.00 (checked 7 Oct 2026)
25. PayPal India Merchant Fees, Receiving international transactions; Currency Conversions (3.0% converting balance and payments received; 4.00% all other cases); Withdrawals Out of PayPal; Dispute Fees; Other Fees (Last Updated 28 March 2024) (checked 6 Oct 2026)
26. Airwallex Help: Eligible Countries and Territories, INDIA IN - AWX Legal Entity SINGAPORE (checked 7 Oct 2026)