Reserve Bank of India Eases Service Trade Reporting Rules

The Reserve Bank of India has simplified foreign-exchange reporting requirements for service trade through the Foreign Exchange Management (Export and Import of Goods and Services) (Second Amendment) Regulations, 2026. Notified on November 2, these regulations are effective retrospectively from October 1, 2026.

Under the new rules, resident individuals—including freelancers, YouTubers, and independent professionals—are no longer required to submit a separate Export Declaration Form (EDF). They are now deemed to have submitted the form once they provide the necessary payment-related information to their authorized dealer bank. This deemed-submission facility also extends to non-resident and non-individual exporters for inward remittances not exceeding 10 lakh rupees.

The central bank also relaxed reporting for the Import Data Processing and Monitoring System (IDPMS). Authorized dealer banks must now enter service import details into the system within five working days only if the importer is not a resident individual and the contract or invoice value exceeds 10 lakh rupees. These amendments aim to reduce the compliance burden for small-scale exporters and importers.