Export GST treatment

Export invoices can be either zero-rated under a Letter of Undertaking (LUT) or charged with IGST for a subsequent refund. The app defaults to zero-rated exports under LUT, which is the more common approach for IT and software service exporters.

Two export options

Option	How it works	When to use
Under LUT (zero-rated)	No GST is charged. You file a LUT (Form GST RFD-11) on the GST portal and export at zero rate. You can claim refund of accumulated Input Tax Credit (ITC).	Most IT/ITES exporters use this. It avoids tying up working capital in IGST payments.
With IGST	You charge IGST on the invoice. After export, you apply for a refund of the IGST paid.	Use this if your LUT has expired, you are ineligible for LUT, or the buyer requires IGST to be shown on the invoice.

Creating a zero-rated export invoice

Go to Invoices > New Invoice.
Select Export (LUT) from the invoice type selector.
The system automatically applies zero GST — no CGST, SGST, or IGST.
Your LUT reference auto-fills from Settings > Export Compliance if configured.

If your LUT has expired, the system warns you. Renew your LUT on the GST portal before March 31 each year. See LUT management for details.

Creating an IGST export invoice

If you need to charge IGST instead:

Select Domestic (Inter-State) as the invoice type.
Add the foreign client's details.
IGST applies based on the SAC code rate (typically 18% for IT services).
After the export is complete, apply for an IGST refund via the GST portal.

Table 6A reporting

Export invoices appear in Table 6A of your GSTR-1 return. The GSTR-1 report automatically populates Table 6A with:

Invoice number and date
Shipping bill number (for goods) or declaration reference (for services)
Port code
Taxable value in INR
IGST amount (zero for LUT exports)

Review Table 6A each month before filing GSTR-1 to ensure all export invoices are captured.

Compliance tracking after export

Creating an export invoice triggers several compliance obligations beyond GST:

Obligation	Deadline	Article
SOFTEX filing (pre-October 2026)	30 days from invoice date	SOFTEX tracking
EDF filing (October 2026 onwards)	30 days from month-end	EDF filing
Payment realization	15 months from invoice date	Realization tracking
e-FIRC	After payment receipt	e-FIRC management

The app tracks these automatically. See export compliance report for a consolidated view.

FEMA 2026 impact on GST

The FEMA 2026 regulatory update (effective October 1, 2026) does not change GST treatment of exports. Zero-rated exports under LUT and IGST exports both continue as before.

What changes is the declaration process: SOFTEX is replaced by the monthly EDF for service and software exports. Software is reclassified as "services" under FEMA, but this does not affect the SAC codes or GST rates you use. See FEMA overview for the full regulatory update.

ITC refund for zero-rated exports

If you export under LUT and have accumulated Input Tax Credit, you can claim a refund of the ITC:

File Form GST RFD-01 on the GST portal.
Attach the relevant export invoices and bank realization certificates.
The refund is processed against your GST account.

The e-BRC (Electronic Bank Realization Certificate) is generated automatically when your AD bank matches payment to the export entry in EDPMS. See EDPMS monitoring for how this works.

Export invoicing — Create compliant export invoices with full field reference
LUT management — Track your Letter of Undertaking and renewal reminders
GSTR-1 report — Review Table 6A for export invoice reporting
GSTR-3B report — Monthly summary return including zero-rated supply data
FEMA overview — Understand the full FEMA 2026 regulatory update
Multi-currency invoicing — Exchange rate handling for foreign-currency invoices

Export GST treatment