{"id":1186,"date":"2026-08-04T17:44:10","date_gmt":"2026-08-04T12:14:10","guid":{"rendered":"https:\/\/blog.remitcircle.com\/?p=1186"},"modified":"2026-08-20T13:54:33","modified_gmt":"2026-08-20T08:24:33","slug":"p0802-software-implementation-consultancy-services-other-than-softex","status":"publish","type":"post","link":"https:\/\/blog.remitcircle.com\/purpose-codes\/p0802-software-implementation-consultancy-services-other-than-softex\/","title":{"rendered":"P0802 : Software implementation \/ consultancy services (Other than SOFTEX)"},"content":{"rendered":"\t\t<div data-elementor-type=\"wp-post\" data-elementor-id=\"1186\" class=\"elementor elementor-1186\">\n\t\t\t\t<div class=\"elementor-element elementor-element-9b6369 e-flex e-con-boxed e-con e-parent\" data-id=\"9b6369\" data-element_type=\"container\" data-e-type=\"container\">\n\t\t\t\t\t<div class=\"e-con-inner\">\n\t\t\t\t<div class=\"elementor-element elementor-element-41a0b033 elementor-widget elementor-widget-text-editor\" data-id=\"41a0b033\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t\t\t\t\t\t<p><\/p><h2 class=\"wp-block-heading \\\\\\&quot;wp-block-heading\\\\\\&quot;\"><strong>What is Purpose Code <strong>P0802<\/strong>?<\/strong><\/h2>\n<p><!-- \/wp:heading --><!-- wp:paragraph --><\/p>\n<p>P0802 is one of the most important purpose codes for India&#8217;s IT services sector. It covers software implementation and consultancy services billed to foreign clients under service contracts \u2014 explicitly excluding SOFTEX-route software exports (which are exports of packaged or custom software under the Software Technology Parks of India scheme). P0802 applies to the vast majority of Indian IT services revenue: offshore software development, ERP implementation, application customisation, IT consulting, and technology project services billed on a time-and-material or fixed-fee basis.<\/p>\n<p><!-- \/wp:paragraph --><!-- wp:paragraph --><\/p>\n<p>The &#8216;other than SOFTEX&#8217; qualifier is important \u2014 SOFTEX is a specific export declaration for packaged or custom software physical exports. P0802 covers the service-contract mode of IT delivery, which is how most Indian IT giants (TCS, Infosys, Wipro, HCL) and mid-size IT firms bill their foreign clients.<br><a href=\"\/category\/purpose-codes\/\" target=\"_blank\" rel=\"noreferrer noopener\" data-type=\"page\" data-id=\"351\">See all RBI purpose codes<\/a><\/p>\n<p><!-- \/wp:paragraph --><!-- wp:heading {\"className\":\"\\u005c\\u005c\\u005c\\u0022wp-block-heading\\u005c\\u005c\\u005c\\u0022\"} --><\/p>\n<h2 class=\"wp-block-heading \\\\\\&quot;wp-block-heading\\\\\\&quot;\"><strong>When to Use <strong>P0802<\/strong><\/strong><\/h2>\n<p><!-- \/wp:heading --><!-- wp:paragraph --><\/p>\n<p>Use P0802 when you receive foreign currency for software services delivered under a service contract to a foreign client. Common scenarios:<\/p>\n<p><!-- \/wp:paragraph --><!-- wp:list {\"className\":\"\\u005c\\u005c\\u005c\\u0022wp-block-list\\u005c\\u005c\\u005c\\u0022\"} --><\/p>\n<ul class=\"wp-block-list \\\\\\&quot;wp-block-list\\\\\\&quot;\">\n<li style=\"list-style-type: none;\">\n<ul class=\"wp-block-list \\\\\\&quot;wp-block-list\\\\\\&quot;\"><!-- wp:list-item --><\/ul>\n<\/li>\n<\/ul>\n<ul class=\"wp-block-list \\\\\\&quot;wp-block-list\\\\\\&quot;\">\n<li style=\"list-style-type: none;\">\n<ul class=\"wp-block-list \\\\\\&quot;wp-block-list\\\\\\&quot;\">\n<li>An Indian IT services company receiving milestone or monthly payments for an offshore software development project for a foreign client<\/li>\n<\/ul>\n<\/li>\n<\/ul>\n<p><!-- \/wp:list-item --><!-- wp:list-item --><\/p>\n<ul class=\"wp-block-list \\\\\\&quot;wp-block-list\\\\\\&quot;\">\n<li style=\"list-style-type: none;\">\n<ul class=\"wp-block-list \\\\\\&quot;wp-block-list\\\\\\&quot;\">\n<li>An Indian SAP\/Oracle consulting firm receiving implementation fees from a foreign company for ERP customisation and deployment<\/li>\n<\/ul>\n<\/li>\n<\/ul>\n<p><!-- \/wp:list-item --><!-- wp:list-item --><\/p>\n<ul class=\"wp-block-list \\\\\\&quot;wp-block-list\\\\\\&quot;\">\n<li style=\"list-style-type: none;\">\n<ul class=\"wp-block-list \\\\\\&quot;wp-block-list\\\\\\&quot;\">\n<li>An Indian software consultancy receiving time-and-material billing from a foreign client for application development and testing services<\/li>\n<\/ul>\n<\/li>\n<\/ul>\n<p><!-- \/wp:list-item --><!-- wp:list-item --><\/p>\n<ul class=\"wp-block-list \\\\\\&quot;wp-block-list\\\\\\&quot;\">\n<li style=\"list-style-type: none;\">\n<ul class=\"wp-block-list \\\\\\&quot;wp-block-list\\\\\\&quot;\">\n<li>An Indian IT company receiving fixed-fee payments for building a custom software application for a foreign business<\/li>\n<\/ul>\n<\/li>\n<\/ul>\n<p><!-- \/wp:list-item --><!-- wp:list-item --><\/p>\n<ul class=\"wp-block-list \\\\\\&quot;wp-block-list\\\\\\&quot;\">\n<li style=\"list-style-type: none;\">\n<ul class=\"wp-block-list \\\\\\&quot;wp-block-list\\\\\\&quot;\">\n<li>An Indian technology consultancy receiving retainer fees from a foreign client for ongoing software development and support services<\/li>\n<\/ul>\n<\/li>\n<\/ul>\n<p><!-- \/wp:list-item --><\/p>\n<p><!-- \/wp:list --><!-- wp:quote --><\/p>\n<blockquote class=\"wp-block-quote\">\n<p><!-- wp:paragraph --><\/p>\n<p><strong>Quick check:<\/strong> Are you receiving payment for IT services delivered offshore under a service contract? Use P0802. For off-site software exports or freelancer tech receipts (including SaaS, product-based), see P0807. For data processing and analytics, use P0803.<\/p>\n<p><!-- \/wp:paragraph --><\/p>\n<\/blockquote>\n<p><!-- \/wp:quote --><!-- wp:heading --><\/p>\n<h2 class=\"wp-block-heading\"><strong><strong><strong>Wrong Code? Use These Instead<\/strong><\/strong><\/strong><\/h2>\n<p><!-- \/wp:heading --><!-- wp:table --><\/p>\n<figure class=\"wp-block-table\">\n<table class=\"has-fixed-layout\">\n<thead>\n<tr>\n<th><strong>If your money is from\u2026<\/strong><\/th>\n<th><strong>Correct code to use<\/strong><\/th>\n<\/tr>\n<\/thead>\n<tbody>\n<tr>\n<td>Off-site software exports \/ SaaS \/ freelance tech receipts<\/td>\n<td><strong><strong>P0807<\/strong><\/strong><\/td>\n<\/tr>\n<tr>\n<td>Database and data processing \/ analytics<\/td>\n<td><strong><strong>P0803<\/strong><\/strong><\/td>\n<\/tr>\n<tr>\n<td>Hardware consultancy \/ implementation<\/td>\n<td><strong><strong>P0801<\/strong><\/strong><\/td>\n<\/tr>\n<tr>\n<td>Repair and maintenance of software<\/td>\n<td><strong><strong>P0804<\/strong><\/strong><\/td>\n<\/tr>\n<tr>\n<td>Franchise services \/ IP licensing<\/td>\n<td><strong><strong>P0901 or P0902<\/strong><\/strong><\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<\/figure>\n<p><!-- \/wp:table --><!-- wp:heading {\"className\":\"\\u005c\\u005c\\u005c\\u0022wp-block-heading\\u005c\\u005c\\u005c\\u0022\"} --><\/p>\n<h2 class=\"wp-block-heading \\\\\\&quot;wp-block-heading\\\\\\&quot;\"><strong><strong>Documents to Keep Ready<\/strong><\/strong><\/h2>\n<p><!-- \/wp:heading --><!-- wp:table --><\/p>\n<figure class=\"wp-block-table\">\n<table class=\"has-fixed-layout\">\n<thead>\n<tr>\n<th><strong>Document<\/strong><\/th>\n<th><strong>Why you need it<\/strong><\/th>\n<\/tr>\n<\/thead>\n<tbody>\n<tr>\n<td><strong><strong>Software services agreement \/ MSA<\/strong><\/strong><\/td>\n<td>Master Service Agreement or project contract confirming the scope, timeline, and pricing<\/td>\n<\/tr>\n<tr>\n<td><strong><strong>Invoice \/ timesheet billing<\/strong><\/strong><\/td>\n<td>Records the services rendered \u2014 hours, milestones, or deliverables \u2014 and the amount billed<\/td>\n<\/tr>\n<tr>\n<td><strong>Project completion \/ acceptance certificate<\/strong><\/td>\n<td>Foreign client&#8217;s sign-off on the work delivered<\/td>\n<\/tr>\n<tr>\n<td><strong><strong>SWIFT \/ wire transfer confirmation<\/strong><\/strong><\/td>\n<td>Confirms the inward remittance from the foreign client<\/td>\n<\/tr>\n<tr>\n<td><strong>e-FIRA<\/strong><\/td>\n<td>Official proof of inward remittance tagged P0802 \u2014 essential for STPI \/ SEZ export records<\/td>\n<\/tr>\n<tr>\n<td><strong><strong>STPI \/ SEZ registration (if applicable)<\/strong><\/strong><\/td>\n<td>For entities operating in IT export zones \u2014 confirms export entity status<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<\/figure>\n<p><!-- \/wp:table --><!-- wp:heading {\"className\":\"\\u005c\\u005c\\u005c\\u0022wp-block-heading\\u005c\\u005c\\u005c\\u0022\"} --><\/p>\n<h2 class=\"wp-block-heading \\\\\\&quot;wp-block-heading\\\\\\&quot;\"><strong>What is an e-FIRA \u2014 and Why Does It Matter?<\/strong><\/h2>\n<p><!-- \/wp:heading --><!-- wp:paragraph --><\/p>\n<p>An e-FIRA (Electronic Foreign Inward Remittance Advice) is the official proof that foreign money entered India. It confirms the nature and purpose of the inflow, which matters for tax treatment, FEMA compliance, and audit trails.<\/p>\n<p><!-- \/wp:paragraph --><!-- wp:paragraph --><\/p>\n<p>Your bank generates it automatically once the funds land. You can usually download it from your internet banking portal or request it at your Forex desk. The e-FIRA will reflect the correct purpose code, which your CA or accounts team will reference during filings.<\/p>\n<p><!-- \/wp:paragraph --><!-- wp:quote --><\/p>\n<blockquote class=\"wp-block-quote\">\n<p><!-- wp:paragraph --><\/p>\n<p>&nbsp;<strong>Did you know? <\/strong>Some banks take days to issue an e-FIRA. With Remit Circle, you can download yours instantly \u2014 at no charge \u2014 the moment your payment is credited. \u2192 Get your free e-FIRA via Remit Circle<\/p>\n<p><!-- \/wp:paragraph --><\/p>\n<\/blockquote>\n<p><!-- \/wp:quote --><!-- wp:paragraph --><\/p>\n<p><!-- \/wp:paragraph --><!-- wp:heading --><\/p>\n<h2 class=\"wp-block-heading\"><strong>Receive Inward Remittances Compliantly with Remit Circle<\/strong><\/h2>\n<p><!-- \/wp:heading --><!-- wp:paragraph --><\/p>\n<p>Getting the purpose code right on an inward remittance isn&#8217;t just a formality \u2014 a mismatch can cause payment holds, RBI queries, or incorrect tax treatment. Remit Circle is built to handle this for you.<\/p>\n<p><!-- \/wp:paragraph --><!-- wp:paragraph --><\/p>\n<p><strong>Instant e-FIRA \u2014 <\/strong>Download your Foreign Inward Remittance Advice the moment funds are credited. No waiting on the bank, no Forex desk visits. Free.<\/p>\n<p><!-- \/wp:paragraph --><!-- wp:paragraph --><\/p>\n<p><strong>Correct purpose code, every time \u2014 <\/strong>Remit Circle flags the right code for your transaction type before the payment is processed, so there are no mismatch holds at the bank.<\/p>\n<p><!-- \/wp:paragraph --><!-- wp:paragraph --><\/p>\n<p><strong>Multi-currency support \u2014 <\/strong>Receive in USD, EUR, GBP, AUD and more. Funds settle directly into your Indian bank account at competitive rates.<\/p>\n<p><!-- \/wp:paragraph --><!-- wp:paragraph --><\/p>\n<p><strong>Compliance-ready records \u2014 <\/strong>Every transaction comes with a clean audit trail \u2014 purpose code, amount, date, counterparty \u2014 so you and your CA are always on the same page.<\/p>\n<p><!-- \/wp:paragraph --><!-- wp:pullquote --><\/p>\n<figure class=\"wp-block-pullquote\">\n<blockquote>\n<p><strong>Start receiving international payments with Remit Circle<\/strong><\/p>\n<p><cite>Open a free account in minutes. No minimum balance, no hidden fees. Get your e-FIRA instantly on every inward remittance.<br><strong>&nbsp;<a href=\"https:\/\/remitcircle.com\/authentication\/login\" target=\"_blank\" rel=\"noreferrer noopener\" data-type=\"link\" data-id=\"https:\/\/remitcircle.com\/authentication\/login\">Open your free Remit Circle account \u2192<\/a><\/strong><\/cite><\/p>\n<\/blockquote>\n<\/figure>\n<p><!-- \/wp:paragraph --><\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t<div class=\"elementor-element elementor-element-9300e2b e-con e-atomic-element e-flexbox-base e-19fb327 \" data-id=\"9300e2b\" data-element_type=\"e-flexbox\" data-e-type=\"e-flexbox\" data-interaction-id=\"9300e2b\">\n    <div class=\"elementor-element elementor-element-c507074 e-con e-atomic-element e-flexbox-base e-c507074-695b329 \" data-id=\"c507074\" data-element_type=\"e-flexbox\" data-e-type=\"e-flexbox\" data-interaction-id=\"c507074\">\n    \t\t\t<h2 data-interaction-id=\"fd3ffea\" class=\"e-fd3ffea-2cb7341 e-heading-base\"><strong id=\"e-mser367n-mouqw3g\">Frequently Asked Questions<\/strong><br><\/h2>\n\t\t\t\t<div class=\"elementor-element elementor-element-e25511f elementor-widget elementor-widget-n-accordion\" data-id=\"e25511f\" data-element_type=\"widget\" data-e-type=\"widget\" data-settings=\"{&quot;n_accordion_animation_duration&quot;:{&quot;unit&quot;:&quot;ms&quot;,&quot;size&quot;:200,&quot;sizes&quot;:[]},&quot;default_state&quot;:&quot;expanded&quot;,&quot;max_items_expended&quot;:&quot;one&quot;}\" data-widget_type=\"nested-accordion.default\">\n\t\t\t\t\t\t\t<div class=\"e-n-accordion\" aria-label=\"Accordion. Open links with Enter or Space, close with Escape, and navigate with Arrow Keys\">\n\t\t\t\t\t\t<details id=\"e-n-accordion-item-2370\" class=\"e-n-accordion-item\" open>\n\t\t\t\t<summary class=\"e-n-accordion-item-title\" data-accordion-index=\"1\" tabindex=\"0\" aria-expanded=\"true\" aria-controls=\"e-n-accordion-item-2370\" >\n\t\t\t\t\t<span class='e-n-accordion-item-title-header'><div class=\"e-n-accordion-item-title-text\"> Q: What is RBI purpose code P0802? <\/div><\/span>\n\t\t\t\t\t\t\t<span class='e-n-accordion-item-title-icon'>\n\t\t\t<span class='e-opened' ><svg aria-hidden=\"true\" class=\"e-font-icon-svg e-fas-minus\" viewBox=\"0 0 448 512\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\"><path d=\"M416 208H32c-17.67 0-32 14.33-32 32v32c0 17.67 14.33 32 32 32h384c17.67 0 32-14.33 32-32v-32c0-17.67-14.33-32-32-32z\"><\/path><\/svg><\/span>\n\t\t\t<span class='e-closed'><svg aria-hidden=\"true\" class=\"e-font-icon-svg e-fas-plus\" viewBox=\"0 0 448 512\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\"><path d=\"M416 208H272V64c0-17.67-14.33-32-32-32h-32c-17.67 0-32 14.33-32 32v144H32c-17.67 0-32 14.33-32 32v32c0 17.67 14.33 32 32 32h144v144c0 17.67 14.33 32 32 32h32c17.67 0 32-14.33 32-32V304h144c17.67 0 32-14.33 32-32v-32c0-17.67-14.33-32-32-32z\"><\/path><\/svg><\/span>\n\t\t<\/span>\n\n\t\t\t\t\t\t<\/summary>\n\t\t\t\t<div role=\"region\" aria-labelledby=\"e-n-accordion-item-2370\" class=\"elementor-element elementor-element-4f2573e e-con-full e-flex e-con e-child\" data-id=\"4f2573e\" data-element_type=\"container\" data-e-type=\"container\">\n\t\t\t\t\t<p class=\"e-paragraph-base\" data-interaction-id=\"6f8b3d4\">P0802 is used when an Indian IT company or software consultant receives payment from a foreign client for software implementation, customisation, or IT consultancy services delivered under a service contract. It covers the dominant mode of India\u2019s IT exports \u2014 offshore service delivery \u2014 and is one of the highest-volume inward remittance codes in the Indian banking system.<\/p>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/details>\n\t\t\t\t\t\t<details id=\"e-n-accordion-item-2371\" class=\"e-n-accordion-item\" >\n\t\t\t\t<summary class=\"e-n-accordion-item-title\" data-accordion-index=\"2\" tabindex=\"-1\" aria-expanded=\"false\" aria-controls=\"e-n-accordion-item-2371\" >\n\t\t\t\t\t<span class='e-n-accordion-item-title-header'><div class=\"e-n-accordion-item-title-text\"> Q: What is the difference between P0802 and P0807? <\/div><\/span>\n\t\t\t\t\t\t\t<span class='e-n-accordion-item-title-icon'>\n\t\t\t<span class='e-opened' ><svg aria-hidden=\"true\" class=\"e-font-icon-svg e-fas-minus\" viewBox=\"0 0 448 512\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\"><path d=\"M416 208H32c-17.67 0-32 14.33-32 32v32c0 17.67 14.33 32 32 32h384c17.67 0 32-14.33 32-32v-32c0-17.67-14.33-32-32-32z\"><\/path><\/svg><\/span>\n\t\t\t<span class='e-closed'><svg aria-hidden=\"true\" class=\"e-font-icon-svg e-fas-plus\" viewBox=\"0 0 448 512\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\"><path d=\"M416 208H272V64c0-17.67-14.33-32-32-32h-32c-17.67 0-32 14.33-32 32v144H32c-17.67 0-32 14.33-32 32v32c0 17.67 14.33 32 32 32h144v144c0 17.67 14.33 32 32 32h32c17.67 0 32-14.33 32-32V304h144c17.67 0 32-14.33 32-32v-32c0-17.67-14.33-32-32-32z\"><\/path><\/svg><\/span>\n\t\t<\/span>\n\n\t\t\t\t\t\t<\/summary>\n\t\t\t\t<div role=\"region\" aria-labelledby=\"e-n-accordion-item-2371\" class=\"elementor-element elementor-element-0cbac39 e-con-full e-flex e-con e-child\" data-id=\"0cbac39\" data-element_type=\"container\" data-e-type=\"container\">\n\t\t\t\t\t<p class=\"e-paragraph-base\" data-interaction-id=\"40d394d\">P0802 is for software services delivered under a service contract \u2014 time-and-material billing, fixed-fee project work, ERP implementation, and consulting. P0807 is for off-site software exports and freelancer digital tech receipts \u2014 including SaaS subscription revenue, software product exports, and payments to individual Indian tech freelancers from foreign platforms like Upwork or Toptal. P0802 is primarily for IT services companies; P0807 captures product exports and gig economy tech work.<\/p>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/details>\n\t\t\t\t\t\t<details id=\"e-n-accordion-item-2372\" class=\"e-n-accordion-item\" >\n\t\t\t\t<summary class=\"e-n-accordion-item-title\" data-accordion-index=\"3\" tabindex=\"-1\" aria-expanded=\"false\" aria-controls=\"e-n-accordion-item-2372\" >\n\t\t\t\t\t<span class='e-n-accordion-item-title-header'><div class=\"e-n-accordion-item-title-text\"> Q: Do Indian IT companies in STPs (Software Technology Parks) or SEZs use P0802? <\/div><\/span>\n\t\t\t\t\t\t\t<span class='e-n-accordion-item-title-icon'>\n\t\t\t<span class='e-opened' ><svg aria-hidden=\"true\" class=\"e-font-icon-svg e-fas-minus\" viewBox=\"0 0 448 512\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\"><path d=\"M416 208H32c-17.67 0-32 14.33-32 32v32c0 17.67 14.33 32 32 32h384c17.67 0 32-14.33 32-32v-32c0-17.67-14.33-32-32-32z\"><\/path><\/svg><\/span>\n\t\t\t<span class='e-closed'><svg aria-hidden=\"true\" class=\"e-font-icon-svg e-fas-plus\" viewBox=\"0 0 448 512\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\"><path d=\"M416 208H272V64c0-17.67-14.33-32-32-32h-32c-17.67 0-32 14.33-32 32v144H32c-17.67 0-32 14.33-32 32v32c0 17.67 14.33 32 32 32h144v144c0 17.67 14.33 32 32 32h32c17.67 0 32-14.33 32-32V304h144c17.67 0 32-14.33 32-32v-32c0-17.67-14.33-32-32-32z\"><\/path><\/svg><\/span>\n\t\t<\/span>\n\n\t\t\t\t\t\t<\/summary>\n\t\t\t\t<div role=\"region\" aria-labelledby=\"e-n-accordion-item-2372\" class=\"elementor-element elementor-element-e63b885 e-con-full e-flex e-con e-child\" data-id=\"e63b885\" data-element_type=\"container\" data-e-type=\"container\">\n\t\t\t\t\t<p class=\"e-paragraph-base\" data-interaction-id=\"f32d99f\">Yes. Companies registered with STPI (Software Technology Parks of India) or operating in IT SEZs export their services primarily under P0802. The STPI framework requires proper foreign exchange reporting, and P0802 is the standard code for IT service export receipts. The e-FIRA tagged P0802 is an important document for STPI annual performance and export obligation compliance.<\/p>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/details>\n\t\t\t\t\t\t<details id=\"e-n-accordion-item-2373\" class=\"e-n-accordion-item\" >\n\t\t\t\t<summary class=\"e-n-accordion-item-title\" data-accordion-index=\"4\" tabindex=\"-1\" aria-expanded=\"false\" aria-controls=\"e-n-accordion-item-2373\" >\n\t\t\t\t\t<span class='e-n-accordion-item-title-header'><div class=\"e-n-accordion-item-title-text\"> Q: What is the difference between P0802 and SOFTEX? <\/div><\/span>\n\t\t\t\t\t\t\t<span class='e-n-accordion-item-title-icon'>\n\t\t\t<span class='e-opened' ><svg aria-hidden=\"true\" class=\"e-font-icon-svg e-fas-minus\" viewBox=\"0 0 448 512\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\"><path d=\"M416 208H32c-17.67 0-32 14.33-32 32v32c0 17.67 14.33 32 32 32h384c17.67 0 32-14.33 32-32v-32c0-17.67-14.33-32-32-32z\"><\/path><\/svg><\/span>\n\t\t\t<span class='e-closed'><svg aria-hidden=\"true\" class=\"e-font-icon-svg e-fas-plus\" viewBox=\"0 0 448 512\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\"><path d=\"M416 208H272V64c0-17.67-14.33-32-32-32h-32c-17.67 0-32 14.33-32 32v144H32c-17.67 0-32 14.33-32 32v32c0 17.67 14.33 32 32 32h144v144c0 17.67 14.33 32 32 32h32c17.67 0 32-14.33 32-32V304h144c17.67 0 32-14.33 32-32v-32c0-17.67-14.33-32-32-32z\"><\/path><\/svg><\/span>\n\t\t<\/span>\n\n\t\t\t\t\t\t<\/summary>\n\t\t\t\t<div role=\"region\" aria-labelledby=\"e-n-accordion-item-2373\" class=\"elementor-element elementor-element-fdf1670 e-flex e-con-boxed e-con e-child\" data-id=\"fdf1670\" data-element_type=\"container\" data-e-type=\"container\">\n\t\t\t\t\t<div class=\"e-con-inner\">\n\t\t\t\t\t<p class=\"e-paragraph-base\" data-interaction-id=\"0ba1d98\">SOFTEX is an export declaration form (similar to a shipping bill for goods) used when Indian companies physically export packaged or custom software on media (CD, USB) or via electronic transmission under the Software Export Declaration route. P0802 is the purpose code for the payment received for software services delivered under a service contract \u2014 no SOFTEX is filed for P0802 transactions. Most Indian IT services exports today use P0802, not SOFTEX.<\/p>\n\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/details>\n\t\t\t\t\t\t<details id=\"e-n-accordion-item-2374\" class=\"e-n-accordion-item\" >\n\t\t\t\t<summary class=\"e-n-accordion-item-title\" data-accordion-index=\"5\" tabindex=\"-1\" aria-expanded=\"false\" aria-controls=\"e-n-accordion-item-2374\" >\n\t\t\t\t\t<span class='e-n-accordion-item-title-header'><div class=\"e-n-accordion-item-title-text\"> Q: Can an Indian company billing a foreign client on a time-and-material basis for application development use P0802? <\/div><\/span>\n\t\t\t\t\t\t\t<span class='e-n-accordion-item-title-icon'>\n\t\t\t<span class='e-opened' ><svg aria-hidden=\"true\" class=\"e-font-icon-svg e-fas-minus\" viewBox=\"0 0 448 512\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\"><path d=\"M416 208H32c-17.67 0-32 14.33-32 32v32c0 17.67 14.33 32 32 32h384c17.67 0 32-14.33 32-32v-32c0-17.67-14.33-32-32-32z\"><\/path><\/svg><\/span>\n\t\t\t<span class='e-closed'><svg aria-hidden=\"true\" class=\"e-font-icon-svg e-fas-plus\" viewBox=\"0 0 448 512\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\"><path d=\"M416 208H272V64c0-17.67-14.33-32-32-32h-32c-17.67 0-32 14.33-32 32v144H32c-17.67 0-32 14.33-32 32v32c0 17.67 14.33 32 32 32h144v144c0 17.67 14.33 32 32 32h32c17.67 0 32-14.33 32-32V304h144c17.67 0 32-14.33 32-32v-32c0-17.67-14.33-32-32-32z\"><\/path><\/svg><\/span>\n\t\t<\/span>\n\n\t\t\t\t\t\t<\/summary>\n\t\t\t\t<div role=\"region\" aria-labelledby=\"e-n-accordion-item-2374\" class=\"elementor-element elementor-element-81d2c6e e-flex e-con-boxed e-con e-child\" data-id=\"81d2c6e\" data-element_type=\"container\" data-e-type=\"container\">\n\t\t\t\t\t<div class=\"e-con-inner\">\n\t\t\t\t\t<p class=\"e-paragraph-base\" data-interaction-id=\"b9d1993\">Yes. Time-and-material billing \u2014 where the Indian developer tracks hours and bills at an agreed hourly or daily rate \u2014 is the most common billing model for offshore IT development. Each invoice payment from the foreign client is an inward remittance tagged P0802. The service contract or Master Services Agreement (MSA) is the key supporting document.<\/p>\n\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/details>\n\t\t\t\t\t\t<details id=\"e-n-accordion-item-2375\" class=\"e-n-accordion-item\" >\n\t\t\t\t<summary class=\"e-n-accordion-item-title\" data-accordion-index=\"6\" tabindex=\"-1\" aria-expanded=\"false\" aria-controls=\"e-n-accordion-item-2375\" >\n\t\t\t\t\t<span class='e-n-accordion-item-title-header'><div class=\"e-n-accordion-item-title-text\"> Q: Is P0802 income zero-rated for GST as an export of services? <\/div><\/span>\n\t\t\t\t\t\t\t<span class='e-n-accordion-item-title-icon'>\n\t\t\t<span class='e-opened' ><svg aria-hidden=\"true\" class=\"e-font-icon-svg e-fas-minus\" viewBox=\"0 0 448 512\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\"><path d=\"M416 208H32c-17.67 0-32 14.33-32 32v32c0 17.67 14.33 32 32 32h384c17.67 0 32-14.33 32-32v-32c0-17.67-14.33-32-32-32z\"><\/path><\/svg><\/span>\n\t\t\t<span class='e-closed'><svg aria-hidden=\"true\" class=\"e-font-icon-svg e-fas-plus\" viewBox=\"0 0 448 512\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\"><path d=\"M416 208H272V64c0-17.67-14.33-32-32-32h-32c-17.67 0-32 14.33-32 32v144H32c-17.67 0-32 14.33-32 32v32c0 17.67 14.33 32 32 32h144v144c0 17.67 14.33 32 32 32h32c17.67 0 32-14.33 32-32V304h144c17.67 0 32-14.33 32-32v-32c0-17.67-14.33-32-32-32z\"><\/path><\/svg><\/span>\n\t\t<\/span>\n\n\t\t\t\t\t\t<\/summary>\n\t\t\t\t<div role=\"region\" aria-labelledby=\"e-n-accordion-item-2375\" class=\"elementor-element elementor-element-bb63a85 e-flex e-con-boxed e-con e-child\" data-id=\"bb63a85\" data-element_type=\"container\" data-e-type=\"container\">\n\t\t\t\t\t<div class=\"e-con-inner\">\n\t\t\t\t\t<p class=\"e-paragraph-base\" data-interaction-id=\"d9dc5bc\">Yes, in most cases. IT services provided to foreign clients where the recipient is outside India and payment is received in foreign currency qualify as export of services under GST \u2014 making them zero-rated (0% GST). Indian IT companies can claim refund of input GST on zero-rated exports. The place of supply for IT services to foreign entities is generally outside India, supporting the zero-rating. Your CA should confirm for any cases where the foreign client has a presence in India.<\/p>\n\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/details>\n\t\t\t\t\t<\/div>\n\t\t\t\t\t\t<\/div>\n\t\t\n<\/div>\n\n<\/div>\n\t\t<\/div>\n\t\t","protected":false},"excerpt":{"rendered":"You are receiving payment from abroad for software implementation, customisation, or IT consultancy services \u2014 where the work is billed as a service contract rather than a SOFTEX software export\nIndian IT services companies, software consultants, and technology firms receiving payment from foreign clients for software implementation, ERP customisation, and IT consulting projects\nInward remittance (money coming into India)","protected":false},"author":260895651,"featured_media":1033,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_wpcom_ai_launchpad_first_post":false,"csco_display_header_overlay":false,"csco_singular_sidebar":"","csco_page_header_type":"","csco_page_load_nextpost":"","csco_page_reading_time":"","csco_page_toc_navigation":"","csco_post_video_location":[],"csco_post_video_location_hash":"","csco_post_video_url":"","csco_post_video_bg_start_time":0,"csco_post_video_bg_end_time":0,"csco_post_video_bg_volume":false,"_jetpack_feature_clip_id":0,"_jetpack_memberships_contains_paid_content":false,"footnotes":"","jetpack_publicize_message":"","jetpack_publicize_feature_enabled":true,"jetpack_social_post_already_shared":true,"jetpack_social_options":{"image_generator_settings":{"template":"highway","default_image_id":0,"font":"","enabled":false},"version":2},"jetpack_post_was_ever_published":false},"categories":[1384],"tags":[],"class_list":["post-1186","post","type-post","status-publish","format-standard","has-post-thumbnail","category-purpose-codes","cs-entry","cs-video-wrap"],"jetpack_publicize_connections":[],"jetpack_likes_enabled":true,"jetpack_sharing_enabled":true,"jetpack_shortlink":"https:\/\/wp.me\/phhXOC-j8","jetpack-related-posts":[],"jetpack_featured_media_url":"https:\/\/i0.wp.com\/blog.remitcircle.com\/wp-content\/uploads\/2026\/07\/P0802.png?fit=1200%2C800&ssl=1","_links":{"self":[{"href":"https:\/\/blog.remitcircle.com\/wp-json\/wp\/v2\/posts\/1186","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/blog.remitcircle.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/blog.remitcircle.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/blog.remitcircle.com\/wp-json\/wp\/v2\/users\/260895651"}],"replies":[{"embeddable":true,"href":"https:\/\/blog.remitcircle.com\/wp-json\/wp\/v2\/comments?post=1186"}],"version-history":[{"count":19,"href":"https:\/\/blog.remitcircle.com\/wp-json\/wp\/v2\/posts\/1186\/revisions"}],"predecessor-version":[{"id":1928,"href":"https:\/\/blog.remitcircle.com\/wp-json\/wp\/v2\/posts\/1186\/revisions\/1928"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/blog.remitcircle.com\/wp-json\/wp\/v2\/media\/1033"}],"wp:attachment":[{"href":"https:\/\/blog.remitcircle.com\/wp-json\/wp\/v2\/media?parent=1186"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/blog.remitcircle.com\/wp-json\/wp\/v2\/categories?post=1186"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/blog.remitcircle.com\/wp-json\/wp\/v2\/tags?post=1186"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}