How Do You Receive Money from Malaysia to India in 2026?

A Malaysian client paying an Indian freelancer uses either a Malaysian domestic rail or an international wire. DuitNow Transfer sends ringgit instantly to a DuitNow ID, and Interbank GIRO moves ringgit between participating Malaysian banks. These reach Malaysian accounts only. Paying an Indian bank account directly needs a SWIFT transfer from the client's bank.

• Rails: PayNet runs DuitNow Transfer, available on 42 banks' internet and mobile banking, and Interbank GIRO, which connects 43 participating banks. Online shoppers pay through FPX from their bank accounts. A transfer to an Indian bank uses SWIFT.
• Client enters: For local MYR details, the client enters your account name, the bank and the account number, or a DuitNow ID. For a SWIFT wire, the client enters your name, Indian account number, your bank's SWIFT code and bank address.
• Client cost: PayNet lists an Interbank GIRO fee of RM0.10 per internet or mobile banking transaction, with up to RM1,000,000 per transaction subject to bank limits. International wires carry the sending bank's own fees, and intermediary banks may deduct charges.
• Speed: DuitNow Transfer is instant. Interbank GIRO credits within the same business day or by the next business day, depending on the cut-off. SWIFT payments usually take one to a few business days to reach an Indian bank.
• Limits: PayNet's DuitNow Cross Border Fund Transfer currently sends money to Singapore only, up to RM3,000 a day. There is no DuitNow link to Indian bank accounts, so a Malaysian business client cannot pay an Indian invoice through DuitNow.

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

You often receive less than the MYR invoice value because of conversion margins, sending fees and intermediary deductions. A bank may also price MYR to INR through US dollars. For example, at an example mid-market rate of ₹20 per MYR, an RM5,000 invoice is worth ₹1,00,000, but a 2% margin leaves about ₹98,000 before any flat fees.

Each row applies the platform's published fee, FX markup and 18% GST on the fee to the mid-market rate of ₹23.29 per MYR for 4 Nov 2026.

• Total cost: Add the conversion margin, any percentage or flat fee and intermediary deductions, then compare the INR that lands in your account.
• Local rail coverage: Check whether the method gives Malaysian account details that accept DuitNow Transfer or Interbank GIRO, so the client pays domestically.
• Settlement speed: Compare how long the money takes from the client's payment to the INR credit in your Indian bank.
• FIRA: Confirm that you get an inward remittance record for each payment. FIRA is a provider term, and GST refund rules refer to a FIRC or BRC.
• Client experience: A Malaysian client finds a domestic DuitNow or GIRO transfer, or a card payment, easier than an international wire with SWIFT details.
• Support: Check how quickly the provider or bank resolves a held, returned or wrongly coded payment.

Receiving money from Malaysia as an export of services needs an inward remittance record, the correct purpose code and an EDF. The FEMA (Export and Import of Goods and Services) Regulations, 2026 apply from 1 October 2026. Payment must arrive within nine months of the invoice, or twelve months if invoiced or settled in INR.

• FIRA or e-FIRA: FIRA is not a term defined in RBI regulations. CGST Rule 89(2)(c) asks for BRC or FIRC details for each invoice in a refund claim, and the DGFT eBRC FAQs explain self-generated eBRCs from bank data. See what a FIRA is.
• Purpose code: Banks report receipts in FETERS using RBI's purpose codes under A.P. (DIR Series) Circular No. 84. For example, P0802 is "Software consultancy/implementation (other than those covered in SOFTEX form)" and P1006 is "Business and management consultancy and public relations services".
• EDF for services: Declare service exports in an EDF within 30 days from the end of the invoice month under Regulation 3(2). Circular No. 20 supersedes the SOFTEX circulars from 1 October 2026, so software exports now use the EDF too. Exporters of services other than software may instead submit the EDF on or before the date the payment is received. See the EDF form.
• EDF for goods: Goods exporters declare the full export value in an EDF at the time of export under Regulation 3(1). For goods shipped through an EDI port, the EDF is deemed submitted as part of the shipping bill.
• EDPMS: Your AD bank closes the EDPMS entry when it credits the payment. For an invoice up to ₹10 lakh, the entry can be closed on your declaration, singly or in a quarterly bulk declaration, under Regulation 4(2).
• PA-CB fund safety: A cross-border payment aggregator must hold inward collections in an Inward Collection Account with an AD Category-I bank under the RBI Master Direction on Payment Aggregators. It can process up to ₹25 lakh per transaction.

Money received from Malaysian clients for services is usually a zero-rated export for GST and taxable income in India. Under IGST Act section 16, an export of services under an LUT carries no IGST. The India-Malaysia DTAA decides whether Malaysia may tax the fee. Malaysian withholding on special classes of income applies only to services performed in Malaysia.

• GST and LUT: A supply meeting the five conditions in IGST Act section 2(6) is an export of services. File an LUT in Form GST RFD-11 before exporting to avoid paying IGST under CGST Rule 96A. See LUT filing on the GST portal.
• Platform fees: Fees that an India-based payment provider or bank charges you are a domestic supply and usually carry GST. Keep the tax invoices, because registered exporters may be able to claim input tax credit.
• Income tax: The Income-tax Act, 2025 replaced the 1961 Act from 1 April 2026. The presumptive schemes, including old section 44ADA for professionals, are now consolidated in section 58. Earlier tax years stay under the 1961 Act.
• India-Malaysia DTAA: Under Article 7 of the India-Malaysia agreement, business profits are taxable only in India unless you have a permanent establishment in Malaysia. Article 15 covers an individual's professional services. Article 13 lets Malaysia tax fees for managerial, technical or consultancy services paid by a Malaysian resident at up to 10 percent of the gross amount.
• Malaysia withholding: LHDN guidance on withholding tax says special classes of income, such as fees for technical advice or management services, carry 10 percent withholding only on the part attributable to services performed in Malaysia. Contract payments for services in Malaysia carry 10 percent plus 3 percent. Confirm the position with the client.

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 European Central Bank reference rates (via frankfurter.dev), dated 4 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) specified authority; Reg 3(1) EDF for goods at the time of export, deemed part of shipping bill at EDI ports; Reg 3(2) EDF for services within 30 days from the end of month of invoice, with proviso (b) letting non-software service exporters submit on or before the date of receipt of payment; Reg 4(2) EDPMS closure on declaration for invoices up to ₹10 lakh, quarterly bulk option; Reg 5(1) realisation; Reg 18(2) FETERS reporting (checked 8 Oct 2026)
2. FEMA (Export and Import of Goods and Services) (Amendment) Regulations, 2026, Notification No. FEMA 23(R)/(1)/2026-RB (22 September 2026), Regulation 5(1): 'fifteen months' replaced by 'nine months'; 'eighteen months' replaced by 'twelve months'; in force from 1 October 2026 (checked 8 Oct 2026)
3. RBI A.P. (DIR Series) Circular No. 20, RBI/2025-26/194: Export and Import of Goods and Services (16 January 2026), Supersedes the Master Direction on Export and listed circulars, including A.P. (DIR Series) Circular No. 9 of 25 October 2001 on Certification of SOFTEX Forms, from 1 October 2026 (checked 8 Oct 2026)
4. Foreign Exchange Management (Manner of Receipt and Payment) Regulations, 2023, Notification No. FEMA 14(R)/2023-RB, Reg 3(2): receipts through an Authorised Bank or Authorised Person; for countries outside the ACU, receipt in INR or any foreign currency (checked 8 Oct 2026)
5. RBI circular RBI/2026-27/08: Guidelines to facilitate faster cross-border inward payments (9 April 2026), Para 3: banks shall endeavour to credit inward payments received during forex market hours within the same business day and those received after market hours on the next business day; para 4: effective six months from the date of the circular; operative from 9 October 2026 (checked 8 Oct 2026)
6. RBI Master Direction on Regulation of Payment Aggregator (PA), RBI/DPSS/2025-26/141, Para 11(d): maximum ₹25 lakh per transaction for PA-CB; para 11(h): PA-CB provides documents for EDPMS closure; para 16(a) and Table 1: funds held in an Inward Collection Account (InCA) with an AD Category-I scheduled commercial bank (checked 8 Oct 2026)
7. RBI A.P. (DIR Series) Circular No. 84: Compilation of R-Returns, reporting under FETERS, revised purpose codes (29 February 2012), P0802 Software consultancy/implementation (other than those covered in SOFTEX form); P1006 Business and management consultancy and public relations services (checked 8 Oct 2026)
8. RBI Master Direction - Deposits and Accounts, EEFC account: 100 percent of foreign exchange earnings may be credited; non-interest bearing; accruals of a calendar month converted to INR by the last day of the succeeding month after approved uses (checked 8 Oct 2026)
9. RBI Master Direction - Money Transfer Service Scheme, Only cross-border personal remittances such as family maintenance are allowed; trade related remittances shall not be made through this arrangement; cap of USD 2,500 per remittance; 30 remittances per beneficiary per year (checked 8 Oct 2026)
10. Central Goods and Services Tax Rules, 2017, Rule 89 (CBIC tax information portal), Rule 89(2)(c): statement of invoices with relevant BRC or FIRC for refund on export of services (checked 8 Oct 2026)
11. Central Goods and Services Tax Rules, 2017, Rule 96A (CBIC tax information portal), Export of services without payment of IGST under a Letter of Undertaking in Form GST RFD-11 (checked 8 Oct 2026)
12. Integrated Goods and Services Tax Act, 2017, section 2 (CBIC tax information portal), Section 2(6): five conditions for export of services, including payment in convertible foreign exchange or INR where permitted by RBI (checked 8 Oct 2026)
13. Integrated Goods and Services Tax Act, 2017, section 16: Zero rated supply (CBIC tax information portal), Section 16(1): export of services is a zero-rated supply; section 16(3): supply under bond or LUT without payment of IGST (checked 8 Oct 2026)
14. DGFT FAQs on Self-Generation of eBRC, Exporters self-generate eBRCs on the DGFT portal from inward remittance data shared by banks (checked 8 Oct 2026)
15. Income Tax Department: Objective and scope of the new Act (Income-tax Act, 2025) FAQs, FAQ 2: 1961 Act repealed on 01.04.2026; FAQ 25: presumptive schemes under sections 44AD, 44ADA and 44AE consolidated into section 58 of the Income Tax Act, 2025 (checked 8 Oct 2026)
16. Income Tax Department: Malaysia, Comprehensive Agreement (India-Malaysia DTAA signed 9 May 2012), Article 7(1): profits taxable only in the state of residence unless carried on through a permanent establishment; Article 13(2): tax on fees for technical services in the source state not to exceed 10 percent of the gross amount; Article 13(3): fees for technical services means payment for managerial, technical or consultancy services; Article 13(5): deemed to arise where the payer is resident; Article 15: independent personal services, fixed base or stay of 183 days or more (checked 8 Oct 2026)
17. Inland Revenue Board of Malaysia (LHDN): Withholding Tax, Section 107A contract payments to non-residents: 10% and 3% on the service portion, services performed in Malaysia; Section 109B special classes of income: 10%, applies only to the amount attributable to services performed in Malaysia; DTA rates may apply (checked 8 Oct 2026)
18. Bank Negara Malaysia: FEP Rules for Resident, Payment in Foreign Currency, A resident is free to make or receive FC payment to or from non-resident for any purpose, except listed derivative transactions (checked 8 Oct 2026)
19. PayNet: DuitNow Transfer for Your Business, Receive payments through a DuitNow ID such as a Business Registration Number; available on internet and mobile banking platforms of 42 banks and participating eWallets (checked 8 Oct 2026)
20. PayNet: Interbank GIRO for You, 43 participating banks; RM0.10 per transaction via internet or mobile banking, fees may vary by bank; up to RM1,000,000 per transaction subject to bank limits; funds availability same business day or next business day by cut-off (checked 8 Oct 2026)
21. PayNet: DuitNow Cross Border Fund Transfer, Send money to Singapore using the recipient's PayNow mobile number or VPA; up to RM3,000 a day (checked 8 Oct 2026)
22. PayNet: FPX for Your Business, FPX lets customers pay online through internet banking, with funds moving directly from customers' bank accounts (checked 8 Oct 2026)
23. 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)
24. 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)
25. ICICI Bank - Inward trade remittances, Receive remittances in 24+ currencies; BIRC for export proceeds, FIRC for FDI/FII on request; funds credited within 1 hour of disposal instruction and documents (checked 7 Oct 2026)
26. PingPong India home, Digital FIRCs in your PingPong dashboard. Free of cost; All fee charges are shown on the account dashboard (checked 7 Oct 2026)
27. Cashfree Docs: Global Collections overview (checked 6 Oct 2026)
28. Tazapay Pricing, Global Collection Accounts: *Contact sales; Global Cards 3.8% + USD 0.5; APMs 0.8%-2.5%; FIRC (India) USD 4; Custom tier: Volume-Based Discounts, Payment Method-Specific Rates, Customized FX (checked 7 Oct 2026)