What is purpose code P0302?

Purpose code P0302 is the business travel code in RBI's travel group. It records money that reaches India because foreign visitors travel here on business and pay for their stay, meals, bookings or tours.⁴⁵

What does the P0302 purpose code cover?

The P0302 purpose code covers business travel receipts, meaning spending in India by visitors travelling on business.⁴⁵ DGFT's purpose code to SAC mapping reproduces the same wording.²

• Official description: "Business travel".⁴⁵
• BOP group: P03, "Travel".⁴
• Direction: receipt, meaning money coming into India.¹
• Source list: A.P. (DIR Series) Circular No. 84 dated 29 February 2012 told banks to report all foreign exchange transactions under a revised purpose code list from April 2012.¹

RBI's annex PDF showed a captcha page when this page was checked, so the wording above is quoted from the HDFC Bank and DBS Bank India reproductions, which match each other word for word.⁴⁵

When should you use the P0302 purpose code?

Use the P0302 purpose code when a business in India is paid for services that foreign business visitors use while travelling in India.⁴² DGFT's mapping links P0302 to SACs for hotel and other accommodation, restaurants and catering, reservation services for transport, accommodation, convention centres and events, tour operator services, tourist guide services and tourism promotion.²

• Trip purpose is business: the visitor is in India for work.
• Service is travel related: stay, food, bookings or tours.

The RBI list does not say how travel expenses reimbursed on a service invoice should be coded, so ask your bank before using P0302 for them.⁴

Who uses the P0302 purpose code?

The P0302 purpose code is used by Indian businesses serving foreign business visitors.²

• Hotels: bill foreign companies for employees' stays.
• Destination management companies (DMCs): organise transport and bookings for delegations.
• Tourist guides: are hired by foreign firms for visiting executives.

P0302 does not describe a consultant's or developer's professional fees, even if the work involved a trip.⁴

What transactions are covered under P0302?

Transactions covered under P0302 are travel spending by foreign business visitors in India.⁴

• Project stay: For example, a hotel in Bengaluru bills a foreign company for its employees' stay during a project visit.²
• Delegation logistics: For example, a DMC in Jaipur organises transport and bookings for an overseas business delegation.²
• Executive guide: For example, a freelance tourist guide is hired by a foreign firm for visiting executives.²
• Conference booking: For example, a travel agency books convention centre space for a foreign company's event in Mumbai.²

Each example is spending by a visitor travelling on business.

When should you not use the P0302 purpose code?

Do not use the P0302 purpose code for professional fees or for trips with a different purpose.⁴⁵

• Consulting fees for an overseas project: use a service code such as P1006, "Business and management consultancy and public relations services".⁴
• Leisure travel: use P0306, "Other travel receipts", where no specific code fits.⁴
• Medical visitors: use P0304.⁴
• Students: use P0305, "Travel for education including TCs purchased by educational institutions".⁴

Compare the travel codes before you tell the bank the purpose.

What documents are required for P0302?

No RBI document lists papers specific to P0302; your bank's own policy sets them. The FEMA (Export and Import of Goods and Services) Regulations, 2026 require each bank to have a policy and standard operating procedure listing documents, timelines and charges, published on its website.⁶

• Invoice: a service description and Services Accounting Code (SAC) that match the P0302 description. DGFT says you must choose the SAC that corresponds to the purpose code when you generate an electronic Bank Realisation Certificate (e-BRC).³
• Export Declaration Form (EDF): where the receipt is for an export of services, the 2026 Regulations ask every exporter of services to give an EDF to the specified authority, usually the AD bank, within 30 days from the end of the month of invoicing.⁶
• Bank record: the bank's credit advice or Foreign Inward Remittance Advice (FIRA) showing the code it reported.

DGFT's purpose code to SAC mapping (Version 1.0, 10 November 2023) lists these SACs against P0302:²

The mapping lists 13 more SAC codes against P0302; see the DGFT file for the full list.²

The mapping is many-to-many, so the same SAC can appear against several purpose codes.²

How do you declare the P0302 purpose code?

You declare the P0302 purpose code by telling your bank the purpose when the payment arrives, then using the matching SAC for the e-BRC.¹³

1. Match the work to the description: Compare what the client pays for with the RBI description of P0302, "Business travel", and with the codes listed under related codes below.⁴
2. Put the matching SAC on the invoice: Use a SAC that DGFT's mapping lists against P0302, so the invoice can later be linked to the payment on the DGFT portal.²
3. Tell the bank or payer the code: Give P0302 to your bank, or to the platform or payer that asks for a purpose, before the money is credited.¹
4. Check the credit advice: Check that the bank's credit advice or FIRA shows P0302, and ask the bank to amend it straight away if it does not.³
5. Generate the e-BRC: On the DGFT portal, link the bank's inward remittance message (IRM) to your invoice and choose the SAC that corresponds to P0302.⁹³

Banks report the code they record, so the code on the bank's record is the one that counts.

How does the P0302 purpose code affect FIRA, GST and income tax?

The P0302 purpose code is a reporting code under RBI's FETERS reporting for travel receipts.¹⁴

• FIRA and e-BRC: the e-BRC is now self-generated by the exporter on the DGFT portal from the inward remittance message (IRM) data the bank sends, and DGFT says you choose the SAC that corresponds to the purpose code on the remittance.⁹³ Check that the bank's FIRA or credit advice shows P0302 before you use it as payment evidence.
• GST: a supply is an export of services only when all five conditions of section 2(6) of the IGST Act are met, including a place of supply outside India.⁷ Under section 13(4) of the IGST Act, accommodation by a hotel, inn, guest house, club or campsite has its place of supply where the property is located, so a stay in an Indian hotel does not meet that condition.⁸⁷
• Income tax: the Income-tax Act, 2025 has applied from 1 April 2026, and tax year 2026-27 runs from 1 April 2026 to 31 March 2027.¹⁰ Income tax is worked out on the income under that Act.

How GST and income tax apply depends on your contract and facts, so confirm with a chartered accountant.

What are the common mistakes with the P0302 purpose code?

The common mistakes with the P0302 purpose code come from linking any work trip to the travel group.⁴

• Using P0302 for consulting fees: professional fees use a service code even when the work involved travel.⁴
• Using P0302 for leisure trips: P0306 covers other travel receipts.⁴
• Coding reimbursed expenses without asking: the RBI list is silent on reimbursements, so ask your bank.⁴
• Choosing an unmapped SAC: DGFT says you must choose the SAC that corresponds to the purpose code on the remittance.³

To fix a wrong code, ask the bank that credited the payment. DGFT's eBRC FAQs say exporters must contact the bank to request a purpose code change, and that banks can amend the IRM they report to DGFT.³ The full steps are in how to correct a purpose code after payment.

Which purpose codes are related to P0302?

P0302 is the travel code for business trips; the other group P03 codes cover other reasons for travel.⁴⁵

To compare every receipt code, see the RBI purpose codes list for exporters, or shortlist codes with the purpose code finder. Where a payment could fit more than one description, confirm the code with your bank or a chartered accountant before the money is credited.