What Is the P1006 Purpose Code?

The P1006 purpose code covers money received from abroad for business consultancy, management consultancy and public relations services. RBI lists P1006 in group 10, Other Business Services. In plain terms, P1006 applies when a foreign client pays you for advice on how to run, organise or grow a business, or for managing its public image and media relations. Architectural, engineering and other technical services have their own codes in the same group: P1009 (Architectural services), P1014 (Engineering Services) and P1022 (Other Technical Services including scientific/space services). AD banks report the code you choose under FETERS, as set out in A.P. (DIR Series) Circular No. 84 of February 29, 2012. Regulation 18(2) of the 2026 Export and Import Regulations keeps this FETERS reporting in place.

P1006 vs P0802: P0802 is "Software consultancy/implementation (other than those covered in SOFTEX form)" in the Telecommunication, Computer & Information Services group. Both codes use the word consultancy. If the advice is about software, such as designing or implementing a system, P0802 is the closer match. If the advice is about strategy, operations, organisation or communications, P1006 is the closer match.

Use the P1006 purpose code when a foreign client pays you for business consultancy, management consultancy or public relations work. Typical cases are strategy projects, market entry advice, process and operations reviews, interim management advice, investor or media relations, and press outreach. The deciding question is what your invoice and contract describe. Group 10 of the RBI purpose code list has separate codes for closely related services, so check the alternatives below before you choose P1006.

• Use P1016 instead: Use P1016 (Market research and public opinion polling service) when the client pays mainly for surveys, research data or polling.
• Use P1007 instead: Use P1007 (Advertising, trade fair service) when the client pays for advertising campaigns or trade fair services rather than PR advice.
• Use P1015 instead: Use P1015 (Tax consulting services) when the advice is about tax matters.

The P1006 purpose code is used by Indian residents who sell consulting or PR services to clients outside India, such as independent management consultants, strategy and operations advisers, consulting firms, and public relations agencies. The Indian recipient of the payment declares P1006 to the AD bank or payment provider that credits the foreign currency.

• For example, a freelance strategy consultant in Mumbai is paid by a Dubai family business to design its expansion plan and declares P1006.
• For example, a PR agency in Gurugram runs media outreach in India for a US technology company's product launch and receives its retainer under P1006.
• For example, an operations adviser in Chennai reviews the supply chain processes of a Dutch manufacturer and bills the fee under P1006.
• For example, a consulting firm in Bengaluru advises a UK startup on organisation design and hiring plans and declares P1006 on the payment.

• The client pays for legal advice or legal drafting. Use P1004 (Legal services).
• The client pays for bookkeeping, accounting or audit work. Use P1005 (Accounting, auditing, book keeping services).
• The work is architectural design or engineering services. Use P1009 (Architectural services) or P1014 (Engineering Services).
• The consultancy is software design or implementation. Use P0802 (Software consultancy/implementation (other than those covered in SOFTEX form)).

For the P1006 purpose code, the core documents are the invoice, the contract or engagement letter, and an Export Declaration Form (EDF). Under Regulation 3(2) of the 2026 Export and Import Regulations, in force from October 01, 2026, an exporter of services must furnish an EDF with the full export value. For services other than software, the EDF may be submitted on or before the date of receipt of payment. This changes paragraph B.7 of the Master Direction, superseded by A.P. (DIR Series) Circular No. 20, which let such services be exported without a declaration.

• Invoice: Raise an invoice naming the foreign client and describing the consulting or PR service, the period covered, the amount and the currency.
• Contract: Keep the engagement letter, retainer agreement, statement of work or email confirmation that shows the scope of the work.
• EDF: Submit the Export Declaration Form to an Authorised Dealer in the DTA, or to the SEZ Development Commissioner in an SEZ. One EDF can cover all services exported to one or more recipients in a month. SOFTEX never applied to consulting or PR work.
• Work evidence: Keep reports, presentations or media coverage summaries delivered to the client, in case the bank or a tax officer asks what was supplied.
• Bank requests: Your AD bank may ask for KYC details or the remitter's details. Under Regulation 4(2), invoices up to ₹10 lakh can be closed in EDPMS on your declaration that the payment has been realised.

1. Check the invoice and contract to confirm the payment is for business consultancy, management consultancy or public relations work.
2. Open the inward payment in your bank or payment provider's portal, app or branch form when the foreign currency arrives or when you are asked for the purpose.
3. Select P1006 from the purpose code list, or write the code and its description if the form asks for text.
4. Attach or keep ready the invoice, contract and Export Declaration Form, and add the invoice number in any remarks field so the payment can be matched.
5. Confirm the code shown on the credit advice or inward remittance certificate is P1006, and ask your bank or payment provider to correct it if it is wrong.

• FIRA/FIRC: The inward remittance advice or certificate your bank or payment provider issues normally records the purpose of the payment. Keep it with the matching invoice. Check with your AD bank on the exact format it issues.
• GST status: Consulting or PR work for a foreign client is an export of services only if all five conditions in section 2(6) of the IGST Act are met. These include the place of supply being outside India, so PR work tied to events or locations in India needs a separate place of supply check with a tax professional.
• Zero rating: Export of services is a zero rated supply under section 16(1)(a) of the IGST Act, and input tax credit may be availed for it under section 16(2).
• LUT: Section 16(3) allows a registered person to make zero rated supplies without payment of integrated tax under bond or Letter of Undertaking. The LUT is filed as FORM GST RFD-11 on the GST portal.
• Income tax: The purpose code does not change how the income is taxed. Consulting fees are part of your income and are reported in your return. The Income-tax Act, 2025 replaced the 1961 Act from 01.04.2026. Take advice from a tax professional on the correct head and return form.
• Realisation: Under Regulation 5(1)(a) of the 2026 Regulations, the export value of services must be realised and repatriated within nine months from the date of invoice, or twelve months where the export is invoiced or settled in Indian rupees. The September 22, 2026 amendment cut these from fifteen and eighteen months. Your AD bank may extend the period on request.

• Assumed meaning: Treating P1006 as the code for architectural or engineering work. RBI lists those as P1009 (Architectural services) and P1014 (Engineering Services).
• Software work: Declaring P1006 for software consulting because the invoice says consulting, where P0802 describes the service.
• Advertising: Using P1006 for ad campaign fees, which RBI lists under P1007 (Advertising, trade fair service).
• Catch-all code: Using P1099 (Other services not included elsewhere) when P1006 describes the consulting service.
• Personal codes: Selecting a transfer code such as P1301 (family maintenance) for consulting fees, which misstates the nature of the receipt.
• No EDF: Assuming consulting work needs no declaration. From October 01, 2026, Regulation 3(2) requires an EDF for services, filed on or before the date of receipt of payment for services other than software.

The code, its official description and every rule on this page are linked to RBI and other official sources, checked on the dates below.

1. RBI: Guidelines for Submission of Data, Foreign Exchange Transactions Electronic Reporting System (FETERS), purpose code list for receipts, Annex purpose codes, receipts, Group 10 Other Business Services: P1002, P1004, P1005, P1006, P1007, P1009, P1014, P1015, P1016, P1022, P1099; Group 08 P0802; Group 13 P1301 (checked 6 Oct 2026)
2. RBI A.P. (DIR Series) Circular No. 84 dated February 29, 2012: Compilation of R-Returns, Reporting under FETERS, Paragraph 3: AD banks to report all foreign exchange transactions as per the revised purpose code list from April 2012 (checked 6 Oct 2026)
3. RBI Notification No. FEMA 23(R)/2026-RB: Foreign Exchange Management (Export and Import of Goods and Services) Regulations, 2026 (amended up to September 22, 2026), Regulation 1(2) (in force from October 01, 2026); 2(1)(f) (specified authority for services other than software); 3(2) and 3(2)(b) (EDF for services, on or before receipt of payment for non-software services); 4(2) (EDPMS closure up to ₹10 lakh); 5(1)(a) (nine months from invoice date, as amended on September 22, 2026); 18(2) (FETERS reporting) (checked 6 Oct 2026)
4. RBI A.P. (DIR Series) Circular No. 20 dated January 16, 2026: Export and Import of Goods and Services, Paragraphs 4 and 7 and Annex A: Master Direction on Export of Goods and Services and listed circulars, including the SOFTEX circulars, superseded from October 01, 2026 (checked 6 Oct 2026)
5. RBI: Export Declaration Form, Annex to the 2026 Regulations, Part 2B (details of services provided to multiple recipients) and Part 5 (certification by Custom, SEZ, Authorised Dealer or STPI) (checked 6 Oct 2026)
6. RBI Master Direction: Export of Goods and Services (updated as on July 17, 2026; superseded from October 01, 2026), Superseded from October 01, 2026; cited only to explain the earlier rule in paragraph B.7 (export of services without a specified form) (checked 6 Oct 2026)
7. IGST Act, 2017, Section 2: Definitions (CBIC tax information portal), Section 2(6): definition of export of services (checked 6 Oct 2026)
8. IGST Act, 2017, Section 16: Zero rated supply (CBIC tax information portal), Section 16(1)(a), 16(2) and 16(3): zero rated supply, input tax credit, supply under bond or Letter of Undertaking (checked 6 Oct 2026)
9. GST Portal user manual: Furnishing of Letter of Undertaking (FORM GST RFD-11), Filing path Services > User Services > Furnish Letter of Undertaking (LUT) (checked 6 Oct 2026)
10. Income Tax Department e-filing portal: Objective and scope of the New Act, Repeal of the 1961 Act on 01.04.2026 and the tax year concept (checked 6 Oct 2026)