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Which RBI purpose code do I use?
Type what you do. You get the code, RBI's own wording, and whether RBI spells it out or banks just commonly accept it.
Codes checked against RBI's published list on 21 September 2026.
RBI wording: ""
P0806 is not a freelancer code
It is often suggested online, but RBI's wording is "Other information services – Subscription to newspapers, periodicals, etc."
Never use family or gift codes for client money
P1301 (family maintenance) and P1302 (personal gifts) are personal transfers. Using them for client payments misreports the income.
Purpose codes for service income
The receipt codes a freelancer or small service business is likely to need, word for word from RBI's list.
| Code | RBI wording |
|---|---|
| P0801 | Hardware consultancy/implementation |
| P0802 | Software consultancy/implementation (other than those covered in SOFTEX form) |
| P0803 | Data base, data processing charges |
| P0804 | Repair and maintenance of computer and software |
| P0806 | Other information services- Subscription to newspapers, periodicals, etc. (not for freelance income) |
| P0807 | Off site Software Exports |
| P0901 | Franchises services – patents, copy rights, trade marks, industrial processes, franchises etc. |
| P0902 | Receipts for use, through licensing arrangements, of produced originals or prototypes (such as manuscripts and films) |
| P1004 | Legal services |
| P1005 | Accounting, auditing, book keeping and tax consulting services |
| P1006 | Business and management consultancy and public relations services |
| P1007 | Advertising, trade fair, market research and public opinion polling services |
| P1008 | Research & Development services |
| P1009 | Architectural, engineering and other technical services |
| P1019 | Other services not included elsewhere |
| P1101 | Audio-visual and related services – services and associated fees related to production of motion pictures, rentals, fees received by actors, directors, producers and fees for distribution rights. |
What changes on 1 October 2026
RBI's Export and Import of Goods and Services Regulations, 2026 (FEMA 23(R)/2026-RB) replace the 2015 rules.
From the RBI notification
- ✓Every service export is declared. File an Export Declaration Form (EDF) with your bank within 30 days of the end of the month you invoiced. One EDF can cover all of that month's invoices.
- ✓15 months to get paid from the invoice date, or 18 months if you invoice in rupees. Your bank can extend it.
- ✓Invoices up to ₹10 lakh can be closed, or written down if the client paid less, on your own declaration.
- ✓No bank penalties for regulatory delays. Banks may not charge you for them.
Still unclear: ask your bank
- ?Whether you file the EDF yourself when the money comes through PayPal, Wise, Payoneer or Skydo, or the platform's bank does.
- ?Which code banks will want for software once the SOFTEX form is replaced. P0802 and P0807 are both worded around it.
Questions
What purpose code should a freelance software developer use?+
P0802, which RBI describes as "Software consultancy/implementation (other than those covered in SOFTEX form)". It is the code most banks expect for development work paid by a foreign client.
What purpose code is used for graphic design income?+
RBI has no purpose code for design. P1007 (advertising and market research) is commonly used for branding and marketing design, and some banks use P1019 (other services not included elsewhere). Ask your bank which they want.
Is P0806 the right code for freelancers?+
No. RBI's wording for P0806 is "Other information services – Subscription to newspapers, periodicals, etc." It is not a general code for freelance or consulting income.
Can I use the family maintenance or gift code for client payments?+
No. P1301 (family maintenance from Indian non-residents) and P1302 (personal gifts) are for personal transfers. Receiving business income under them misreports the payment to RBI.
What changes for freelancers on 1 October 2026?+
RBI's Export and Import of Goods and Services Regulations, 2026 start that day. Every service export is declared to your bank on an Export Declaration Form within 30 days of the end of the month you invoiced, and payment must arrive within 15 months of the invoice date (18 months if invoiced in rupees).
General information, not legal or tax advice. Your bank decides which purpose code it reports, so confirm with them, especially for codes marked "commonly used".
Billing US clients regularly?
Many Indian freelancers set up a US LLC to invoice in dollars and take card payments through Stripe.
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