How do you claim a GST refund on export of services?
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Short answer
A service exporter claims GST refunds in FORM GST RFD-01.3 Exports under an LUT give a refund of unutilised input tax credit.1 Exports with IGST paid give a refund of that IGST.1 The application is due within two years from the relevant date.2 The final order is due within sixty days of a complete application.2
| Applies to | Governed by | Deadline | Penalty | Last verified |
|---|---|---|---|---|
| Registered exporters of services under an LUT claiming unutilised ITC | IGST Act section 16(3); CGST Act section 54; CGST Rules rule 89123 | Two years from the relevant date2 | Not applicable | 28 October 2026 |
| Registered exporters of services claiming IGST paid on exports | IGST Act section 16(4); CGST Act section 5412 | Two years from the relevant date2 | Not applicable | 28 October 2026 |
| Tax officers processing refunds | CGST Act sections 54 and 56; CGST Rules rules 90 to 922457 | Final order within sixty days of a complete application2 | Interest to the exporter at a notified rate not exceeding 6 per cent on late payment7 | 28 October 2026 |
An Indian consultancy, design studio or IT company that exports services often has GST to recover: either credit that built up on its costs, or IGST it paid on export invoices. Both come back through the same online application, FORM GST RFD-01, but the calculation and documents differ.13
This guide is the overview: which refund applies to you, the deadline, the documents, the portal steps and how long processing takes. The detailed ITC calculation is in refund of ITC on zero-rated supplies. The rules are stated as of October 2026, including the changes notified on 26 October 2026.6
What is a GST refund on export of services?
A GST refund on export of services is the return of tax that an exporter of services has paid or accumulated, claimed in FORM GST RFD-01 under section 16 of the IGST Act and section 54 of the Central GST (CGST) Act.123 There are two options, and you use one or the other for a given supply.12
| Point | Refund of unutilised ITC | Refund of IGST paid |
|---|---|---|
| When it applies | Exports made under an LUT without paying IGST (section 16(3) IGST Act) | Exports made on payment of IGST (section 16(4) IGST Act) |
| Ground on the portal | Export of Goods/Services without Payment of Tax (accumulated ITC) | Export of Services with Payment of Tax |
| Amount | Worked out by the rule 89(4) formula | The IGST paid on the export invoices |
| Invoice statement | Statement 3, plus Statement 3A for the calculation | Statement 2 |
| Ledger debit on filing | Electronic credit ledger is debited by the amount claimed | No ledger entry |
| Best for | Exporters who invoice under an LUT and build up credit on costs | Exporters who paid IGST on export invoices |
The table draws on section 16 of the IGST Act, rule 89 and the GST portal FAQs.13910 The third proviso to section 54(3) bars a refund of unutilised ITC on supplies for which you claim a refund of IGST paid.2
Who can claim a GST refund on export of services?
A registered exporter of services with an active GSTIN for the period can claim a GST refund, once the returns due on or before the application date are filed, including the latest GSTR-3B for the period or invoices claimed.910
| Condition | Required? | Why | Best for |
|---|---|---|---|
| GST registration and active GSTIN | Yes | Refund applications are filed by registered persons on the portal910 | Every claimant |
| Returns filed | Yes | Returns due on or before the application date must be filed910 | Exporters catching up on returns before claiming |
| Aadhaar authentication | Yes | Rule 10B makes it a condition for filing RFD-01 for the proprietor, any partner, the managing director or a whole-time director, and the authorised signatory11 | Proprietors, partners and directors |
| Payment received | Yes, for services | Condition (iv) of export of services needs realisation in convertible foreign exchange, or rupees where the RBI permits; rule 89(2) asks for invoice-wise BRC or FIRC details for services8 | Exporters whose clients have paid |
CBIC Circular No. 125/44/2019-GST, para 48, notes that rule 89(2) asks for invoice-wise BRC or FIRC details for services, unlike goods.8
How do you file FORM GST RFD-01 for a refund on export of services?
You file FORM GST RFD-01 on the GST portal by choosing the export ground, uploading the invoice statement and filing with DSC or EVC; the steps are similar for both grounds.910
- Choose the ground: go to Services > Refunds > Application for Refund and choose "Export of Goods/Services without Payment of Tax (accumulated ITC)" or "Export of Services with Payment of Tax".
- Select the period: for the ITC refund, you can club several tax periods, even across two financial years, into one application.9
- Upload the statement: download the offline utility, fill in the invoice statement (Statement 3 or Statement 2), upload it and validate it against your GSTR-1.910
- Enter turnover: for the ITC refund, the portal fills Net ITC and calculates the maximum refund, which you can only edit downwards.
- File: upload supporting documents, select a bank account from your registration, and file with DSC or EVC.
- Track the ARN: note the ARN sent by SMS and email, and track it under Services > Refunds > Track Application Status.
A saved draft is purged after 15 days.910 You can withdraw a filed application in FORM GST RFD-01W before a provisional or final order is issued, and any amount debited from your ledger is re-credited.4
What documents and deadlines apply to a GST refund on export of services?
A GST refund on export of services must be filed within two years from the "relevant date" under section 54(1) of the CGST Act, with a statement linking each invoice to its BRC or FIRC.23 For services exported out of India, Explanation 2(c) fixes the relevant date as either:2
- Completed before payment: the date payment is received in convertible foreign exchange, or in rupees where the RBI permits.
- Paid in advance: the date of the invoice.
The same definition applies whether you claim a refund of the tax paid on the services or of the tax on inputs and input services used for them. For example, for a $5,000 invoice dated 10 May 2026 for work completed in May, paid on 2 August 2026, the two-year clock runs from 2 August 2026.2 The portal does not check the time limit for you.10 If an officer issues a deficiency memo, rule 90(3) excludes the time from filing to the memo from the two-year period for your fresh application.4
Rule 89(2)(c) requires a statement of the number and date of invoices with the relevant Bank Realisation Certificates (BRCs) or Foreign Inward Remittance Certificates (FIRCs) for refunds on export of services.3 Annexure-A to CBIC Circular 125/44/2019-GST lists the rest:8
| Document | Refund type | Best for |
|---|---|---|
| Declarations under the second and third provisos to section 54(3), and an undertaking under sections 16(2)(c) and 42(2)8 | Both | Every claimant |
| Statement 3 (invoices with BRC or FIRC details) and Statement 3A (the formula), plus BRC or FIRC copies8 | ITC refund | Exporters under an LUT |
| Statement 2 (invoices with tax paid and BRC or FIRC details), BRC or FIRC copies or other proof of receipt, and a self-declaration of non-prosecution for provisional refund8 | IGST-paid refund | Exporters who paid IGST |
| Declaration of non-prosecution where tax evaded exceeds ₹250 lakh in the five preceding years, and a statement of invoices received with their ITC details, from 1 December 20266 | ITC refund and refunds on zero-rated supplies with payment of tax | Claims filed from 1 December 2026 |
Rule 89(2)(l) and (m) ask for a declaration (claims up to ₹2 lakh) or a chartered accountant's certificate (claims above ₹2 lakh) that the tax was not passed on. Neither is required for cases under section 54(8)(a) to (d) or (f), which include refunds of tax paid on exports and of unutilised ITC.23
What happens if a GST refund application on exports is incomplete or late?
If a GST refund application on exports is incomplete, the officer issues a deficiency memo; if it is filed after two years from the relevant date, the time limit in section 54(1) is missed.24
- Deficiency memo: rule 90(3) excludes the time from filing to the memo from the two-year period for your fresh application.4
- Below ₹1,000: no refund is paid under section 54(5) or (6) if the amount is below ₹1,000.2
- No provisional refund without Aadhaar: under Notification No. 14/2025-Central Tax, from 1 October 2025 persons who have not undergone Aadhaar authentication under rule 10B are not allowed provisional refunds.12
- Bar on double claims: the third proviso to section 54(3) bars a refund of unutilised ITC on supplies for which you claim a refund of IGST paid.2
Refund claims are document-heavy, and a mismatch between your returns, invoices and bank records is the most common reason for a deficiency memo.
What is the timeline for processing a GST refund on export of services?
The timeline for processing a GST refund on export of services is set by section 54 and rules 90 to 92, and it changes from 1 November 2026 under Notification No. 05/2026-Central Tax.2456
| Stage | Form | Time limit until 31 October 2026 | From 1 November 2026 |
|---|---|---|---|
| Acknowledgement or deficiency memo | RFD-02 or RFD-03 | 15 days from filing (rule 90)4 | 10 days, with deemed acknowledgement if neither is issued6 |
| Provisional refund of 90 per cent | RFD-04 | Within 7 days of acknowledgement, by the officer on system risk evaluation (rule 91(2) since 1 October 2025)5 | Generated by the common portal within 3 working days of acknowledgement6 |
| Final order | RFD-06 | Within 60 days of a complete application (section 54(7))2 | Unchanged |
| Payment | RFD-05 | Credited to a bank account in your registration | Unchanged |
Provisional refunds under section 54(6) apply to zero-rated supplies.2 If a refund ordered under section 54(5) is not paid within sixty days of the application, section 56 provides interest at a notified rate not exceeding 6 per cent for the delay.7
The 57th GST Council meeting on 8 October 2026 recommended a second phase of reforms. It covers system-based acknowledgement, automated sanction of full zero-rated refunds after adjusting dues, and a machine-readable RFD-01 without scanned uploads. These are recommendations; the first phase is what Notification 05/2026-Central Tax implements from 1 November 2026.613
What are the common mistakes with GST refunds on export of services?
The common mistakes with GST refunds on export of services come from missing documents and mismatched records.2389
- Wrong relevant date: for services completed before payment, the clock runs from the date of payment, not the invoice.2
- Missing BRC or FIRC details: rule 89(2)(c) needs invoice-wise details.3
- Unfiled returns: returns due on or before the application date must be filed.910
- Claiming both refunds: the third proviso to section 54(3) bars a double claim on the same supplies.2
- Skipping Aadhaar authentication: rule 10B makes it a condition for filing.11
Ask a chartered accountant (CA) to review your first claim if you have not filed one before.
How did we verify this?
We checked this page against the sources below on 30 October 2026. Read our methodology or report an error.
- [1]CBIC: IGST Act, 2017, section 16 (zero rated supply)
- [2]CBIC: CGST Act, 2017, section 54 (refund of tax)
- [3]CBIC: CGST Rules, 2017, rule 89 (application for refund)
- [4]CBIC: CGST Rules, 2017, rule 90 (acknowledgement)
- [5]CBIC: CGST Rules, 2017, rule 91 (grant of provisional refund), as substituted from 1 October 2025
- [6]CBIC Notification No. 05/2026-Central Tax, 26 October 2026 (CGST (Amendment) Rules, 2026), amendments to rules 89 to 92
- [7]CBIC: CGST Act, 2017, section 56 (interest on delayed refunds)
- [8]CBIC Circular No. 125/44/2019-GST, 18 November 2019 (fully electronic refund process), paras 3 and 48 and Annexure-A
- [9]GST Portal FAQs: Refund of ITC on Exports of Goods and Services without payment of Integrated Tax (checked 28 October 2026)
- [10]GST Portal FAQs: Refund on Account of Export of Services (With Payment of Tax) (checked 28 October 2026)
- [11]CBIC: CGST Rules, 2017, rule 10B (Aadhaar authentication for registered person)
- [12]CBIC Notification No. 14/2025-Central Tax, 17 September 2025 (persons not allowed provisional refund, from 1 October 2025)
- [13]PIB / GST Council: Recommendations of the 57th GST Council meeting, 8 October 2026
Frequently asked questions
What is the time limit for a GST refund on export of services?+
The time limit for a GST refund on export of services is two years from the relevant date under section 54(1) of the CGST Act.2 For services, the relevant date is the date of receipt of payment in foreign exchange or permitted rupees if the service was completed first, or the invoice date if payment was received in advance.2
Can an exporter claim a GST refund for several months in one application?+
An exporter can claim the ITC refund for several months in one application. The GST portal FAQs say you can club multiple tax periods, even across two financial years, in one FORM GST RFD-01 application for the refund of unutilised input tax credit on exports.9 Check that every period's returns are filed before you apply.
Is there a minimum amount for a GST refund on exports?+
There is a minimum amount for a GST refund on exports. Section 54(14) of the CGST Act says no refund is paid under section 54(5) or (6) if the amount is less than ₹1,000.2 For the ITC refund, the GST portal FAQs say several tax periods, even across two financial years, can be clubbed in one application.9
Does an exporter get interest if a GST refund is paid late?+
An exporter gets interest if a GST refund is paid late. Section 56 of the CGST Act provides interest, at a notified rate not exceeding 6 per cent, if a refund ordered under section 54(5) is not paid within sixty days from the date of receipt of the application.7 The interest runs for the period of delay.
Is Aadhaar authentication needed to claim a GST refund?+
Aadhaar authentication is needed to claim a GST refund. Rule 10B of the CGST Rules makes Aadhaar authentication of specified persons, such as the proprietor or a partner, a condition for filing a refund application in RFD-01.11 Notification No. 14/2025-Central Tax also bars provisional refunds for persons who have not completed it.12
What happens to a rejected GST refund amount?+
A rejected GST refund amount can be re-credited to your electronic credit ledger. The GST portal FAQs say you can ask for the rejected amount to be re-credited by filing an undertaking not to appeal against the rejection, and the officer then issues FORM GST PMT-03 for the re-credit.9
Can a filed GST refund application be withdrawn?+
A filed GST refund application can be withdrawn in FORM GST RFD-01W before a provisional or final order is issued.4 Any amount debited from your electronic credit ledger when you filed the application is re-credited after the withdrawal.4 You can then file a fresh application within the two-year limit.
This page is general information for Indian service exporters, not tax or legal advice. Rules change and outcomes depend on your facts, so confirm with a chartered accountant before acting.
Keep reading
How is the refund of unutilised ITC calculated for export of services?
How exporters of services under an LUT calculate the refund of unutilised input tax credit under rule 89(4): each term defined, a worked example, and 2026-27 changes.
GSTHow do you export services by paying IGST instead of filing an LUT?
How the IGST-paid route works for service exporters without an LUT: the October 2023 change, invoice wording, GSTR-3B reporting and the RFD-01 refund with Statement 2.
GSTHow does GST apply to export of services from India?
How GST works when you bill a foreign client from India: the five export conditions, LUT vs IGST refund, records to keep, payment deadlines and mistakes.
GSTHow do you file an LUT for export of services on the GST portal?
Step-by-step guide to filing a Letter of Undertaking in FORM GST RFD-11 for export of services: eligibility, validity, late filing and the ARN on invoices.
GlossaryWhat is an IGST refund?
An IGST refund returns integrated tax paid on a zero-rated export. For services it is claimed in FORM GST RFD-01 under rule 89 within two years. How it works.