- Foreign currency invoicing under GST is allowed for export transactions but must be properly valued in Indian Rupees for compliance and reporting.
- Exports are zero-rated under GST, so no GST is charged on foreign currency invoices, but specific conditions must be met for the transaction to qualify as an export.
- The invoice must state both the foreign currency and the equivalent INR value, using the applicable exchange rate on the date of supply.
- Export invoices should clearly declare the zero-rated status and reference any required LUT or bond to avoid refund or audit issues.
- Payments must be received through RBI-authorised channels to ensure GST compliance.
Source: tallysolutions.com
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
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