What is purpose code P0802?

Purpose code P0802 is the software services code most Indian developers and IT firms meet first. It covers software consultancy and implementation that is not covered by a SOFTEX form.⁶⁷

What does the P0802 purpose code cover?

The P0802 purpose code covers receipts for software consultancy and implementation other than those covered in a SOFTEX form.⁶⁷ DGFT's purpose code to SAC mapping reproduces the same wording.⁴

• Official description: "Software consultancy/implementation (other than those covered in SOFTEX form)".⁶⁷
• BOP group: P08, "Telecommunication, Computer & Information Services".⁶
• 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.⁶⁷ The words "other than those covered in SOFTEX form" date from when software exports were declared on SOFTEX. From 1 October 2026 every exporter of services furnishes an Export Declaration Form (EDF) under regulation 3 of the FEMA (Export and Import of Goods and Services) Regulations, 2026, and RBI Circular No. 20 of 16 January 2026 superseded the SOFTEX circulars.²³ No change to the P0802 description had been found as of October 2026.⁶

When should you use the P0802 purpose code?

Use the P0802 purpose code when a foreign client pays you for software consultancy or for implementing software.⁶ DGFT's mapping links P0802 to IT consulting and support, IT design and development, hosting, IT infrastructure and network management, other IT services and software downloads.⁴

• Consultancy: you advise on software choice, architecture or rollout.
• Implementation: you build, configure or deploy software for the client.
• Your bank's practice: with SOFTEX superseded, no RBI text found says which of P0802 or P0807 banks should prefer, so ask your bank.³

DGFT's mapping labels P0802 "Non Softex IT" and P0807 "Softex IT".⁴ The full comparison is in P0802 vs P0807.

Who uses the P0802 purpose code?

The P0802 purpose code is used by Indian exporters paid for software consultancy or for implementing software.⁶

• Freelance developers: build web and mobile applications for clients abroad.
• ERP and CRM consultants: configure and roll out business systems.
• IT agencies: do custom development and integration work.

Work that is mainly design, marketing or writing has no software element in the description, so it belongs elsewhere: see purpose codes for design services and digital marketing services.

What transactions are covered under P0802?

Transactions covered under P0802 are payments for software consultancy or implementation.⁶

• Web application: For example, a freelance developer builds a web application for a client in Canada.
• ERP rollout: For example, an ERP or CRM consultant configures and rolls out a system for a UK company.
• Integration work: For example, a small IT agency does custom development and integration work for an Australian startup.
• Software downloads: For example, a developer sells downloadable software to a buyer abroad, which matches SAC 998434, "Software downloads", in DGFT's mapping.⁴

Each example is paid for software consultancy or implementation.

When should you not use the P0802 purpose code?

Do not use the P0802 purpose code when the work is not software consultancy or implementation.⁶⁷

• Off-site software exports your bank codes separately: use P0807, "Off-site Software Exports", if your bank applies it.⁶
• Hardware set-up: use P0801.⁶
• Maintaining existing software: use P0804.⁶
• Management consulting with no software element: use P1006, "Business and management consultancy and public relations services".⁶

If the contract mixes these, ask your bank which code it expects.

What documents are required for P0802?

No RBI document lists papers specific to P0802; 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.²

• Invoice: a service description and Services Accounting Code (SAC) that match the P0802 description. DGFT says you must choose the SAC that corresponds to the purpose code when you generate an electronic Bank Realisation Certificate (e-BRC).⁵
• Export Declaration Form (EDF): from 1 October 2026 every exporter of services gives an EDF to the specified authority, usually the AD bank, within 30 days from the end of the month of invoicing.²
• 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 P0802:⁴

The mapping is many-to-many, so the same SAC can appear against several purpose codes.⁴

How do you declare the P0802 purpose code?

You declare the P0802 purpose code by telling your bank the purpose when the payment arrives, then using the matching SAC for the e-BRC.¹⁵

1. Match the work to the description: Compare what the client pays for with the RBI description of P0802, "Software consultancy/implementation (other than those covered in SOFTEX form)", and with the codes listed under related codes below.⁶
2. Put the matching SAC on the invoice: Use a SAC that DGFT's mapping lists against P0802, so the invoice can later be linked to the payment on the DGFT portal.⁴
3. Tell the bank or payer the code: Give P0802 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 P0802, and ask the bank to amend it straight away if it does not.⁵
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 P0802.¹⁰⁵

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

How does the P0802 purpose code affect FIRA, GST and income tax?

The P0802 purpose code is a reporting code under RBI's FETERS reporting, and it decides which e-BRC category you can use.¹¹¹ DGFT's eBRC rules say only P0802, P0803, P0807 and P0103 apply under Services > IT.¹¹

• 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.¹⁰⁵ Check that the bank's FIRA or credit advice shows P0802 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: supplier in India, recipient outside India, place of supply outside India, payment in convertible foreign exchange (or in rupees where RBI permits), and supplier and recipient not merely establishments of a distinct person.⁸ For a GST refund on exported services, rule 89(2)(c) of the CGST Rules asks for a statement of invoices with the relevant Bank Realisation Certificates or Foreign Inward Remittance Certificates.⁹
• 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 2027.¹² Income tax is worked out on the income under that Act. Section 58(2), Table row 3, which replaced section 44ADA, gives resident individuals and partnership firms (not LLPs) in specified professions, including information technology, a 50% deemed profit where gross receipts are up to ₹50 lakh, or ₹75 lakh if cash receipts are 5% or less.¹³

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 P0802 purpose code?

The common mistakes with the P0802 purpose code involve the IT category and the old SOFTEX wording.¹¹³

• Consulting code on software work: a developer whose receipt carries P1006 cannot certify it under DGFT's Services > IT category, which accepts only P0802, P0803, P0807 and P0103.¹¹
• Assuming SOFTEX still decides the code: the SOFTEX circulars were superseded from 1 October 2026, so ask your bank which of P0802 or P0807 it now applies.³
• Invoice SAC outside the mapping: DGFT's rules say service exporters can only attach invoices whose SAC matches the services.¹¹
• Not checking the first payment: check the code on the first credit advice from each new client, before you generate an e-BRC.

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.⁵ The full steps are in how to correct a purpose code after payment.

Which purpose codes are related to P0802?

The codes closest to P0802 are listed below with their official RBI descriptions.⁶⁷

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.