How Do You Receive Money from Sri Lanka to India in 2026?

Author:: Manoj Sharma
Verified by:: Editorial team
Published:: 8 Oct 2026
Last modified:: 3 Nov 2026

Short answer

You can receive money from Sri Lanka through local LKR account details, a SWIFT wire to your Indian bank, a card or online checkout, or a remittance app. On LKR 1,700,000, Stripe pays the most of the platforms with full published pricing for LKR: about ₹4,49,508 on 3 Nov 2026.

Top picks
Method	Cost	Speed	FIRA
Local LKR account details	Usually a percentage fee or a markup on the LKR to INR rate, sometimes both. The client normally pays only its own bank's domestic transfer charge, if any.	Depends on the provider's processing and cut-off times. Ask how many business days pass between the client's transfer and the rupee credit in India.	The provider or its partner AD bank usually issues an inward remittance advice per payout. Confirm it shows the purpose code and foreign currency amount.
SWIFT wire to an Indian bank	A sending fee charged to the client, possible correspondent charges, an inward remittance charge at your bank and the bank's exchange margin.	Often one to three business days once the client's bank releases the payment. From 9 October 2026, an RBI circular dated 9 April 2026 says banks shall endeavour to credit payments received during forex market hours the same business day.	Your AD bank issues an inward remittance advice or certificate on request, often through net banking.
Card or online checkout	A percentage processing fee per transaction, often with a currency conversion margin and possible international card surcharges.	Usually a few business days after the card payment, depending on the gateway's settlement cycle and risk review.	Gateways regulated as PA-CB usually provide an inward remittance advice or settlement statement. Confirm before you start using one.
Remittance app	A transfer fee and an exchange margin, usually paid by the sender and shown on their side.	Varies by service and by the checks done in Sri Lanka.	Not always available in a form your AD bank will accept as evidence of an export receipt.

Who this is for: This page is for Indian freelancers, agencies and registered exporters of services or goods who invoice clients in Sri Lanka and want the payment credited in rupees to an Indian bank account.

CurrencyLKR

Invoice amount

At the mid-market rate

₹4,85,608

Highest payout: Stripe

₹4,49,508

1.Stripe₹4,49,508cost 7.43%

1 LKR = 0.2857 INR, ExchangeRate-API open access feed rate for 3 Nov 2026. Payout = amount minus fees, converted at the reference rate minus each platform's markup, minus 18% GST on fees where charged. Platforms without published pricing are left out.

What are the ways to receive money from Sri Lanka to India?

Methods compared
Method	Fees	Markup	Settlement	FIRA	Regulatory status	Best for
Local LKR account details	Usually a percentage fee or a markup on the LKR to INR rate, sometimes both. The client normally pays only its own bank's domestic transfer charge, if any.	Set by the provider. Compare the Indian rupee amount credited with the mid-market LKR to INR rate on the day of conversion.	Depends on the provider's processing and cut-off times. Ask how many business days pass between the client's transfer and the rupee credit in India.	The provider or its partner AD bank usually issues an inward remittance advice per payout. Confirm it shows the purpose code and foreign currency amount.	Indian entities offering this service fall under the RBI Payment Aggregator Master Direction, which caps each cross-border transaction at ₹25 lakh and requires a PA-CB to give your AD bank the documents to close EDPMS entries.	Freelancers with regular Sri Lankan clients, where a provider actually offers a Sri Lankan rupee collection account.
SWIFT wire to an Indian bank	A sending fee charged to the client, possible correspondent charges, an inward remittance charge at your bank and the bank's exchange margin.	Your AD bank's TT buying rate for the currency received, usually US dollars, on the day of credit.	Often one to three business days once the client's bank releases the payment. From 9 October 2026, an RBI circular dated 9 April 2026 says banks shall endeavour to credit payments received during forex market hours the same business day.	Your AD bank issues an inward remittance advice or certificate on request, often through net banking.	Under A.P. (DIR Series) Circular No. 09 of 2022, all eligible current account transactions with Sri Lanka, including trade, may be settled in any permitted currency outside the ACU mechanism until further notice.	Registered exporters and agencies with larger invoices from Sri Lankan companies.
Card or online checkout	A percentage processing fee per transaction, often with a currency conversion margin and possible international card surcharges.	Set by the gateway. Check the rate used on the settlement report against the mid-market rate.	Usually a few business days after the card payment, depending on the gateway's settlement cycle and risk review.	Gateways regulated as PA-CB usually provide an inward remittance advice or settlement statement. Confirm before you start using one.	Cross-border gateways in India are regulated as PA-CB under the RBI Payment Aggregator Master Direction, with the same ₹25 lakh per-transaction cap.	Small payments from individual clients in Sri Lanka whose cards work for overseas purchases.
Remittance app	A transfer fee and an exchange margin, usually paid by the sender and shown on their side.	Built into the rate the sender sees. You receive whatever rupee amount the service quotes to the sender.	Varies by service and by the checks done in Sri Lanka.	Not always available in a form your AD bank will accept as evidence of an export receipt.	Export earnings must be reported with a services purpose code from the RBI purpose code list. A payment tagged as a family remittance can create EDPMS, GST and income tax mismatches.	Not suited to invoiced export income from Sri Lanka.

How does each method of receiving money from Sri Lanka work?

How does Local LKR account details work for payments from Sri Lanka?

A cross-border payment service gives you Sri Lankan bank account details. Your client in Sri Lanka pays them by a domestic rupee transfer. The service then sends the money to India and pays Indian rupees into your bank account.

Pros: The client makes a domestic LKR transfer through a familiar local system such as CEFTS or SLIPS; No intermediary bank deductions on the client's side, because the payment stays inside Sri Lanka; Services regulated in India as a Payment Aggregator - Cross Border (PA-CB) must help close your EDPMS entries
Cons: Few services offer Sri Lankan rupee collection accounts to Indian businesses, so check availability first; The money still has to leave Sri Lanka through an authorised dealer under Sri Lanka's foreign exchange law, which can add steps and time; Each PA-CB transaction is capped at ₹25 lakh
Cost: Usually a percentage fee or a markup on the LKR to INR rate, sometimes both. The client normally pays only its own bank's domestic transfer charge, if any.
Settlement: Depends on the provider's processing and cut-off times. Ask how many business days pass between the client's transfer and the rupee credit in India.
FIRA: The provider or its partner AD bank usually issues an inward remittance advice per payout. Confirm it shows the purpose code and foreign currency amount.
Ideal for: Freelancers with regular Sri Lankan clients, where a provider actually offers a Sri Lankan rupee collection account.

How does SWIFT wire to an Indian bank work for payments from Sri Lanka?

Your client asks its bank in Sri Lanka to send the payment to your Indian AD bank, usually in US dollars. Trade payments with Sri Lanka may be routed through the Asian Clearing Union or settled outside it in any permitted currency, using SWIFT messages and correspondent accounts.

Pros: Works with any authorised dealer bank in Sri Lanka and any Indian AD bank; Large invoices are possible without a PA-CB cap; Your AD bank reports the receipt directly against your EDPMS or EDF records
Cons: The client's bank checks documents before releasing foreign exchange, which can take time; Bank charges on both sides and your AD bank's exchange margin reduce the amount; Correspondent banks can deduct charges along the way, so the credit may be less than the invoice
Cost: A sending fee charged to the client, possible correspondent charges, an inward remittance charge at your bank and the bank's exchange margin.
Settlement: Often one to three business days once the client's bank releases the payment. From 9 October 2026, an RBI circular dated 9 April 2026 says banks shall endeavour to credit payments received during forex market hours the same business day.
FIRA: Your AD bank issues an inward remittance advice or certificate on request, often through net banking.
Ideal for: Registered exporters and agencies with larger invoices from Sri Lankan companies.

How does Card or online checkout work for payments from Sri Lanka?

You send the client an invoice link or checkout page. The client pays by an internationally enabled card or another online method. A cross-border payment gateway collects the money, converts it and settles rupees to your Indian account.

Pros: Fast for the client, with no bank details to enter; Suits small, one-off or subscription payments; Works for individuals as well as companies, where their card allows overseas payments
Cons: Card processing fees are usually higher than bank transfer costs; Some Sri Lankan cards may have limits on overseas payments, so a card can be declined; Chargebacks can reverse a payment after you have delivered
Cost: A percentage processing fee per transaction, often with a currency conversion margin and possible international card surcharges.
Settlement: Usually a few business days after the card payment, depending on the gateway's settlement cycle and risk review.
FIRA: Gateways regulated as PA-CB usually provide an inward remittance advice or settlement statement. Confirm before you start using one.
Ideal for: Small payments from individual clients in Sri Lanka whose cards work for overseas purchases.

How does Remittance app work for payments from Sri Lanka?

A consumer remittance app moves money between individuals for personal use. A Sri Lankan resident who sends money abroad buys foreign exchange through an authorised dealer, which checks the purpose under section 6 of the Foreign Exchange Act, No. 12 of 2017.

Pros: Simple for an individual sender where a service is available; Can be quick once a transfer is accepted; No invoice link or card needed
Cons: Outward services from Sri Lanka may not be available, so check before relying on this route; Built for personal remittances, so the purpose code may not match an export of services; You may not get the inward remittance advice your bank and GST refund need
Cost: A transfer fee and an exchange margin, usually paid by the sender and shown on their side.
Settlement: Varies by service and by the checks done in Sri Lanka.
FIRA: Not always available in a form your AD bank will accept as evidence of an export receipt.
Ideal for: Not suited to invoiced export income from Sri Lanka.

How do Sri Lanka clients usually pay Indian vendors?

Inside Sri Lanka, clients pay through systems overseen by the Central Bank of Sri Lanka: CEFTS for real-time transfers, SLIPS for bulk and scheduled transfers, and the RTGS in LankaSettle for large payments. These are domestic systems. To pay an Indian bank, the client's bank sends a foreign transfer, usually by SWIFT.

Rails: The Central Bank of Sri Lanka operates the LankaSettle RTGS for large payments. LankaClear runs CEFTS, which supports real-time transfers 24 hours a day, every day of the year, and SLIPS, which settles on the same day in two cycles.
Client enters: For a local LKR transfer, the client enters the beneficiary name, bank, branch and account number. For a payment to India, the client gives its bank your name, Indian account number, your bank's SWIFT code and the invoice, contract and purpose.
Client cost: The CBSL has specified maximum fees that banks can charge customers for SLIPS and CEFTS transfers. Charges for sending money abroad are set by the client's bank, and the client may choose whether it or you bears them.
Speed: CEFTS lets customers make domestic payments 24 hours a day, every day of the year. A payment to India takes longer, because the client's bank first checks the documents and then settles through correspondent accounts or the ACU.
Bank checks: Under section 6 of Sri Lanka's Foreign Exchange Act, the client's authorised dealer bank asks for information or documents to confirm a current transaction, and must refuse the payment if they are not provided.

Which platforms are best for receiving LKR in India?

The table ranks platforms with full published pricing for LKR by the INR received on LKR 1,700,000, then lists other business platforms that accept LKR, unranked. Fees were checked on 30 Sept 2026 or later.

Platforms for LKR
Platform	Best for	FX markup	Fee	FIRA	Settlement	RBI status	INR on LKR 1,700,000
Stripe	Registered Indian businesses selling online to card-paying foreign customers	2% if converted; Stripe says rate is generally mid-market	4.3% intl cards; 3% Visa/Mastercard, 3.5% Amex; + 2% if converted	Standard Chartered payment advice; FIRC cost not confirmed	Daily INR payouts; card funds after five business days	Not confirmed	₹4,49,508
Cashfree Payments	Registered Indian businesses wanting card checkout and bank transfer collection	Collections states no forex markup; card FX charge unpublished	Collections on request (2023: 1% to 1.5%); cards 2.99% + GST	e-FIRA in 1 day free; FAQ: e-FIRS T+1 on request	Cards T+2; collections within 7 days, typical time not confirmed	RBI authorised PA and PA-CB inward and outward	Not published for LKR
Tazapay	Indian businesses collecting B2B or e-commerce payments from many countries	Not published; rate shown before you confirm	Collection fee by contract; cards 3.8% + USD 0.5; + other fees	USD 4 FIRC fee; NOC for AD1 bank FIRA	Weekly default; local same day to T+1, SWIFT to T+5	Not confirmed on RBI PA-CB list; cites Rupee Drawing Arrangement	Not published for LKR

Why do you receive less than the mid-market LKR to INR rate?

You receive less than the invoice because fees and exchange margins come off the amount, often across two conversions. The CBSL publishes an indicative USD/LKR rate based on interbank trades. For example, at an example rate of ₹0.29 per LKR, LKR 1,000,000 is ₹2,90,000. At ₹0.28 you receive ₹2,80,000.

How much INR do you receive on LKR 660,000, 1,700,000 and 3,300,000 from Sri Lanka?

Each row applies the platform's published fee, FX markup and 18% GST on the fee to the mid-market rate of ₹0.2857 per LKR for 3 Nov 2026.

INR received on LKR invoices
Platform and invoice	At mid-market	INR received	Cost	Best for
Stripe, LKR 660,000	₹1,88,530	₹1,74,515	7.43%	Registered Indian businesses selling online to card-paying foreign customers
Stripe, LKR 1,700,000	₹4,85,608	₹4,49,508	7.43%	Registered Indian businesses selling online to card-paying foreign customers
Stripe, LKR 3,300,000	₹9,42,650	₹8,72,574	7.43%	Registered Indian businesses selling online to card-paying foreign customers

What should you consider when choosing how to get paid from Sri Lanka?

Total cost: Add the percentage fee, any fixed fee and the exchange margin, then compare the rupees credited with the invoice amount at the mid-market rate.
Local rail coverage: Check whether the method lets your client pay by a domestic LKR transfer, or whether the client's bank must send the payment abroad.
Settlement speed: Ask how many business days pass between the client's payment and the rupee credit, including the document checks in Sri Lanka.
FIRA: Confirm you get an inward remittance advice for every payment, showing the purpose code, foreign currency amount and rupee amount.
Client experience: Sri Lankan companies usually pay through their bank with a contract and invoice. Card checkout suits individuals whose cards allow overseas payments.
Support: Check how the provider or bank handles payments held for documents, returned payments and name mismatches.

What documents and compliance apply to payments from Sri Lanka?

Receiving money from Sri Lanka as export income needs the right purpose code, an EDF where required, and realisation within nine months. These rules come from the FEMA (Export and Import of Goods and Services) Regulations, 2026, in force from 1 October 2026. Sri Lanka trade may settle outside the ACU.

FIRA / e-FIRA: FIRA is a common name for the bank's inward remittance advice. It is not a term defined in FEMA. GST refund rules under CGST Rule 89 refer to a foreign inward remittance certificate issued by an AD Category-I bank. See what is FIRA.
Purpose code: Use a services code from the RBI purpose code list, such as P0802 "Software consultancy/implementation (other than those covered in SOFTEX form)" or P1006 "Business and management consultancy and public relations services".
ACU relaxation: Trade with ACU members normally settles through the ACU under Regulation 3(2)(I)(a)(ii) of the 2023 receipt and payment rules. For Sri Lanka, Circular No. 09 of 2022 allows settlement in any permitted currency outside the ACU. See Asian Clearing Union payments.
EDF (services): Under Regulation 3(2) of the 2026 Regulations, a services exporter files an EDF within 30 days from the end of the invoice month. A.P. (DIR Series) Circular No. 20 replaced SOFTEX with the EDF from 1 October 2026.
EDPMS: Export value must be realised within nine months, or 12 months if invoiced or settled in rupees. For invoices up to ₹10 lakh, your AD bank may close the EDPMS entry on your declaration.
PA-CB fund safety: A PA-CB must keep collected funds in an Inward Collection Account with a scheduled commercial bank, under paragraph 16 of the RBI Payment Aggregator Master Direction.

What tax applies to money received from Sri Lanka?

Export income from Sri Lanka is taxed in India, and GST is zero-rated when the export conditions are met. The India-Sri Lanka DTAA, in force since 22 October 2013, taxes business profits only in India without a permanent establishment in Sri Lanka. Sri Lanka may tax fees for technical services at up to 10%.

GST zero-rating: Services to a Sri Lankan client are an export when the conditions in IGST Act section 2(6) are met. Exports are zero-rated under section 16, and you can supply without IGST under a Letter of Undertaking filed under CGST Rule 96A.
GST on fees: Fees charged to you by a bank or payment service in India can carry GST, shown on its tax invoice. Under IGST section 16(2), you can claim input tax credit on them even though exports are zero-rated.
Income tax: From 1 April 2026 the Income-tax Act, 2025 applies. The presumptive schemes that were sections 44AD and 44ADA are now in section 58, per the Income Tax Department FAQ. Earlier years stay under the 1961 Act.
India-Sri Lanka DTAA: Article 7 of the India-Sri Lanka DTAA taxes business profits only in the country of residence unless there is a permanent establishment. Article 12 lets Sri Lanka tax royalties and fees for technical services at up to 10% of the gross amount. Article 23 gives Indian residents a credit.
Client-side tax: Ask your Sri Lankan client before invoicing whether it will withhold tax on your fees. If it does, keep the withholding certificate. Where the DTAA allows Sri Lanka to tax the income, Article 23 of the India-Sri Lanka DTAA lets you deduct the tax paid there from your Indian tax on that income.

How did we verify this?

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 ExchangeRate-API open access feed, dated 3 Nov 2026. The method is on the methodology page.

RBI: Foreign Exchange Management (Export and Import of Goods and Services) Regulations, 2026 (FEMA 23(R)/2026-RB, as amended), Reg 3(2) services EDF within 30 days from end of invoice month, single EDF per month, non-software may file on or before payment; Reg 4(1) receipts and payments in the manner of the Manner of Receipt and Payment Regulations, 2023; Reg 4(2) EDPMS closure on declaration up to Rs 10 lakh; Reg 5 realisation nine months, twelve months if invoiced/settled in INR, AD may extend. (checked 8 Oct 2026)
RBI: A.P. (DIR Series) Circular No. 20 dated 16 January 2026, Supersedes Master Directions on Export/Import and SOFTEX circulars from 1 October 2026. (checked 8 Oct 2026)
RBI: Foreign Exchange Management (Manner of Receipt and Payment) Regulations, 2023 (FEMA 14(R)/2023-RB, amended up to 12 February 2025), Reg 3(2)(I)(a)(ii): member countries of ACU other than Nepal and Bhutan, payments through ACU mechanism or as per RBI directions; other transactions as in (iii). (checked 8 Oct 2026)
RBI: A.P. (DIR Series) Circular No. 21 dated 8 October 2015, Memorandum of Procedure for channeling transactions through ACU, Para 3: export payments by debit to the ACU Dollar/ACU Euro account in India of a bank of the member country or credit to the AD's ACU account with its correspondent; para 4: eligible transactions with ACU members shall invariably be settled through ACU except where RBI has given specific exemptions. (checked 8 Oct 2026)
RBI Master Direction on Regulation of Payment Aggregators, Para 11(d): max value per PA-CB transaction Rs 25 lakh; para 11(h): PA-CB to provide documents for EDPMS closure; para 16(a): funds in Inward Collection Account (InCA) with a scheduled commercial bank. (checked 8 Oct 2026)
RBI circular RBI/2026-27/08 dated 9 April 2026: Guidelines to facilitate faster cross-border inward payments, Banks shall endeavour to credit inward payments received during forex market hours the same business day; effective 9 October 2026. (checked 8 Oct 2026)
RBI: A.P. (DIR Series) Circular No. 84 (29 Feb 2012), purpose codes for reporting forex transactions, P0802 Software consultancy/implementation (other than those covered in SOFTEX form); P1006 Business and management consultancy and public relations services. (checked 8 Oct 2026)
IGST Act, 2017, section 2 (definition of export of services), Section 2(6) conditions for export of services. (checked 8 Oct 2026)
IGST Act, 2017, section 16 (zero rated supply), 16(1) export of services zero rated; 16(2) ITC may be availed; 16(3) supply under bond or LUT. (checked 8 Oct 2026)
CGST Rules, 2017, Rule 96A, LUT in FORM GST RFD-11 furnished prior to export. (checked 8 Oct 2026)
CGST Rules, 2017, Rule 89, Refund application refers to BRC or foreign inward remittance certificate issued by AD Category-I bank. (checked 8 Oct 2026)
Income Tax Department: FAQs on objective and scope of the Income-tax Act, 2025, Presumptive schemes (44AD, 44ADA, 44AE) consolidated into section 58; applies from 1 April 2026. (checked 8 Oct 2026)
RBI Master Direction - Deposits and Accounts, A person resident in India may open an EEFC account with an AD as per Schedule I to FEMA 10(R); permitted credits include foreign exchange earnings. (checked 8 Oct 2026)
RBI: A.P. (DIR Series) Circular No. 09 dated 8 July 2022, ACU Mechanism: Indo-Sri Lanka Trade, Para 2: all eligible current account transactions including trade transactions with Sri Lanka may be settled in any permitted currency outside the ACU mechanism until further notice; para 3: immediate effect. (checked 8 Oct 2026)
Income Tax Department: India-Sri Lanka Comprehensive Agreement (DTAA), Notification No. 23/2014, SO 956(E) dated 28-3-2014, Signed 22 January 2013; in force 22 October 2013; effective in India from 1 April 2014. Art 5(3)(b): services PE over 90 days in any 12-month period; Art 7(1) business profits taxable only in residence state unless PE; Art 12(2) royalties and fees for technical services source tax capped at 10% of gross; Art 12(3)(b) FTS means payments for managerial, technical or consultancy services other than Arts 14 and 15; Art 14(1) independent personal services taxable in other state only with fixed base or stay of 183 days or more in a 12-month period; Art 23(2)(a) India allows deduction for tax paid in Sri Lanka. (checked 8 Oct 2026)
Central Bank of Sri Lanka: Payments and Settlements Systems, LankaSettle (RTGS) operated by CBSL; SLIPS (online since 2010, T+0 in two cycles); CEFTS real-time 24x7x365 transfers operated by LankaClear; CBSL specified maximum fees for SLIPS and CEFTS; Sri Lanka Interbank US Dollar On-line Payment System live 22 July 2015. (checked 8 Oct 2026)
Central Bank of Sri Lanka: Exchange Rates, Indicative USD/LKR spot rate is the weighted average of actual interbank spot transactions; average TT buying and selling rates based on 9.30 am quotes from selected licensed banks. (checked 8 Oct 2026)
Foreign Exchange Act, No. 12 of 2017 (Sri Lanka), Section 6(1): a person may deal in foreign exchange for a current transaction through an authorized dealer; 6(3): dealer requests information, documents or declaration; 6(4): dealer shall refuse where not complied with. (checked 8 Oct 2026)
Inland Revenue Department of Sri Lanka: Double Tax Avoidance Treaties, India (revised): signed 22-01-2013; Gazette No. 1828/9 dated 17-09-2013; operative from year of assessment 2014/2015. (checked 8 Oct 2026)
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)
Cashfree Docs: Global Collections overview (checked 6 Oct 2026)
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)

Frequently asked questions

Does a payment from a client in Sri Lanka have to go through the Asian Clearing Union?

No. Under A.P. (DIR Series) Circular No. 09 of 2022, all eligible current account transactions with Sri Lanka, including trade, may be settled in any permitted currency outside the ACU mechanism until further notice. The circular does not close the ACU route. Ask your AD bank which routes it offers for Sri Lanka receipts.

In which currency do Sri Lankan clients usually pay Indian exporters?

Sri Lankan clients often pay in US dollars, and Circular No. 09 of 2022 allows any permitted currency. Your AD bank converts the receipt to rupees at its buying rate, or credits your EEFC account if you hold one. Agree the invoice currency with the client before you start work.

Which purpose code should an Indian freelancer use for a payment from a client in Sri Lanka?

Pick the services code that matches the work from the RBI purpose code list. Software work for a Sri Lankan client often fits P0802, and consulting fits P1006. Tell your AD bank the code before the money arrives, because a wrong code can cause EDPMS and GST mismatches later.

Is GST charged on an export of services invoice to a client in Sri Lanka?

No IGST is charged if you export under a Letter of Undertaking. Services to a Sri Lankan client are zero-rated under IGST Act section 16 when the conditions in section 2(6) are met. File the LUT in Form GST RFD-11 before you export, as CGST Rule 96A requires.

How long does an Indian exporter have to realise payment from a client in Sri Lanka?

Nine months from the invoice date for services, under Regulation 5 of the FEMA (Export and Import of Goods and Services) Regulations, 2026. If the export is invoiced or settled in rupees, the period is 12 months. Your AD bank may extend the period if you ask and it accepts your reasons.

Can a client in Sri Lanka pay an Indian bank account through CEFTS or SLIPS?

No. The Central Bank of Sri Lanka describes CEFTS and SLIPS as interbank systems for transfers between banks in Sri Lanka. They do not reach Indian bank accounts. A Sri Lankan client paying an Indian bank asks its own bank to send a foreign transfer, usually by SWIFT.

Can Sri Lanka tax fees paid to an Indian consultant under the India-Sri Lanka DTAA?

It depends on who earns the fee. Article 12 of the India-Sri Lanka DTAA caps Sri Lankan tax on consultancy and other technical fees at 10% of the gross amount. An individual's professional income falls under Article 14 instead, and is taxed in Sri Lanka only with a fixed base there or a 183-day stay.

Does the India-Sri Lanka DTAA have an article on fees for technical services?

Yes. Article 12 of the India-Sri Lanka DTAA covers royalties and fees for technical services. It defines fees for technical services as payments for managerial, technical or consultancy services, other than income covered by Articles 14 and 15. Tax in the source country cannot exceed 10% of the gross amount.

Should an invoice to a client in Sri Lanka be in LKR, US dollars or rupees?

US dollar invoices to Sri Lankan companies are common, and banks on both sides handle them. Rupee invoicing is possible where the banks use the RBI rupee framework, and it gives 12 months for realisation. Read about invoicing exports in rupees and ask your AD bank before choosing.

What is the EDF deadline for a services invoice sent to a client in Sri Lanka?

The EDF is due within 30 days from the end of the month in which you raised the invoice, under Regulation 3(2) of the 2026 FEMA Regulations. You can file one EDF for all exports in a month. Services other than software may file on or before the date of payment.

Is there a limit on payments from Sri Lankan clients through a PA-CB payment service?

Yes. The RBI Payment Aggregator Master Direction caps each inward or outward transaction processed by a PA-CB at ₹25 lakh. A Sri Lankan client paying a larger invoice can pay through its bank directly to your AD bank, where no such cap applies, subject to the documents its bank requests.

Does SOFTEX still apply to software exports to clients in Sri Lanka?

No. A.P. (DIR Series) Circular No. 20 superseded the SOFTEX circulars from 1 October 2026. Software exports to Sri Lankan clients are now declared on the EDF under the 2026 FEMA Regulations, within 30 days from the end of the invoice month. Read more on EDF form for export.