Which purpose code should a designer use for payments from foreign clients?
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Short answer
RBI's purpose code list has no code named "design".1 DGFT maps specialty design services (SAC 998391) to P1099, P1009, P1014, P1008 and P0902.2 DGFT maps design originals (SAC 998392) to P1099, P0902 and P1008.2 Advertising services map to P1007.2 UI and web work billed as IT design and development maps to P0802 or P0807.2
| Applies to | Governed by | Deadline | Penalty | Last verified |
|---|---|---|---|---|
| Graphic, brand, UI/UX, web, interior, fashion and industrial designers paid by foreign clients12 | RBI Circular No. 84 purpose code list; DGFT Purpose Code and SAC Code Mapping and eBRC rules123 | Not applicable | Not applicable | 28 October 2026 |
Designers are one of the groups worst served by RBI's purpose code list, which was built in 2012 around balance of payments categories.1 A brand identity, a set of Instagram ads, a Figma prototype, a kitchen layout and a fashion collection can each sit under a different code.
For other kinds of work, see purpose codes for freelancers.
What is the purpose code for design services?
RBI's purpose code list has no single purpose code for design services: Annex I to A.P. (DIR Series) Circular No. 84 dated 29 February 2012 has no code whose description mentions design.1
The Directorate General of Foreign Trade (DGFT) fills part of the gap in its purpose code to SAC (Services Accounting Code) mapping, which links design SAC codes to several purpose codes.2
| SAC (DGFT description) | Purpose codes DGFT maps it to | Best for |
|---|---|---|
| 998391 Specialty design services including interior design, fashion design, industrial design and other specialty design services | P1099, P1009, P1014, P1008, P0902 | Interior, fashion and industrial designers |
| 998392 Design originals | P1099, P0902, P1008 | Designers selling original designs |
| 998361 Advertising Services | P1007 | Designers of ads and campaigns |
| 998314 Information technology (IT) design and development services | P0802, P0807 | UI/UX and web designers in software projects |
| 998382 Advertising and related photography services | P1101, P1109 | Advertising photographers |
Which purpose code applies to each kind of designer?
Each candidate code has a fixed RBI description, and the right one is the one that best describes what the client is paying for.1
| Code | Official description | Fits design work such as | Best for |
|---|---|---|---|
| P1099 | Other services not included elsewhere | Logo and brand identity, packaging, presentation and illustration work with no closer match | Brand and graphic designers |
| P1007 | Advertising, trade fair service | Ad creatives, campaign visuals, trade fair stand design | Advertising designers |
| P0802 | Software consultancy/implementation (other than those covered in SOFTEX form) | UI/UX and web design delivered as part of building an app or site | Product and web designers |
| P0807 | Off-site Software Exports | Same as P0802, depending on the bank's practice | Product and web designers |
| P0902 | Receipts for use, through licensing arrangements, of produced originals or prototypes (such as manuscripts and films), patents, copyrights, trademarks, industrial processes, franchises etc. | Licence fees for fonts, templates, illustrations or patterns you own | Type designers and illustrators |
| P1009 | Architectural services | Interior and landscape design within architectural projects | Interior designers on architectural projects |
| P1014 | Engineering Services | Industrial and product design with engineering content | Industrial designers |
| P1008 | Research & Development services | Design prototyping done as R&D | Design researchers |
The third and fourth columns are our reading of the RBI descriptions and DGFT's mapping.12
How do you choose a purpose code for design work?
You choose a purpose code for design work by reading your contract or statement of work and asking four questions in order, then falling back to the general code.1
- Is the client paying for advertising? For example, a Mumbai studio producing social ads for a Dubai brand is selling advertising material, which points to P1007.12
- Is the design part of software? For example, a UI/UX designer embedded in a US client's product team, billed under "app design and development", is doing IT design and development, which DGFT maps to P0802 and P0807.2
- Is the client paying for a licence? For example, an illustrator selling the right to use existing artwork, or a type designer licensing a font, receives a licence fee, which fits P0902.12
- Is the work architectural or engineering design? For example, an interior designer working on a hotel fit-out with an architect, or an industrial designer producing manufacturable product drawings, may fit P1009 or P1014.12
- Fall back to P1099: P1099 is the code DGFT maps to both specialty design and design originals.2 For example, a logo, brand guidelines or packaging design for a Canadian start-up usually lands there.
Note: The choice depends on the contract. The same Figma file can be "design services" in one contract and "software development" in another. Confirm the code with your bank, and use the same classification on your GST invoice.
Does the GST invoice SAC need to match the design purpose code?
The GST invoice SAC should be consistent with the design purpose code. DGFT says that for service exports, exporters can only view and attach invoices whose SAC codes match the description of the services when generating an e-BRC, and its mapping is the reference for which SAC goes with which purpose code.23
- For example, an invoice with SAC 998391 and a payment coded P1007 do not appear together in DGFT's mapping.2
- IT category: DGFT's "Services > IT" category accepts only P0802, P0803, P0807 and P0103.3
What happens if a design payment carries the wrong purpose code?
If a design payment carries the wrong purpose code, the invoice may not attach to the receipt when you generate an e-BRC, so ask the bank that credited the payment to amend it.234
- Amendment: DGFT's FAQs say exporters must contact the bank to request purpose code changes.4
- Timing: do it before you generate an e-BRC or file a GST refund claim.
- Steps: see how to correct a purpose code after payment.
Which purpose codes should a designer avoid?
A designer should avoid personal codes, unrelated leasing codes and goods codes for client income.1
| Code | Official description | Why a designer avoids it | Best for |
|---|---|---|---|
| P1301 | Inward remittance from Indian non-residents towards family maintenance and savings | Describes family support | Families of Indian non-residents |
| P1302 | Personal gifts and donations | Describes a gift | Gift recipients |
| P1003 | Operational leasing services (other than financial leasing) without operating crew, including charter hire- Airlines companies | Describes airline leasing | Airline lessors |
The P01 goods codes also do not fit, other than P0103 for genuine advances.1 See wrong purpose code consequences.
What are the common mistakes with purpose codes for design services?
The common mistakes with purpose codes for design services come from looking for a "design" code that does not exist.1
- Accepting any code offered: check the code against the RBI description before the payment.1
- Ignoring the contract wording: the same work can be design or software depending on the contract.2
- Using P1099 when a closer code exists: advertising, software and licensing each have a code.12
- Mismatched SAC: the invoice SAC and the purpose code should appear together in DGFT's mapping.2
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]RBI: Annex I to A.P. (DIR Series) Circular No. 84 dated 29 February 2012, Purpose Codes for Reporting under FETERS, Part B (receipt purposes)
- [2]DGFT: Purpose Code and SAC Code Mapping, Version 1.0, 10 November 2023
- [3]DGFT: eBRC generation rules, General Guidelines for Generating eBRC (last updated 26 March 2024)
- [4]DGFT: FAQs (Self-Generation of eBRC), Version 1.0, March 2024, question 25
Frequently asked questions
What is the purpose code for graphic design services?+
RBI's list has no graphic design code. Graphic design for ads or campaigns fits P1007 (advertising, trade fair service), other design work usually fits P1099 (other services not included elsewhere), and licensing finished artwork fits P0902, based on RBI's descriptions and DGFT's mapping.12 Confirm the code with your bank before the client pays.
What is the purpose code for UI/UX design?+
UI/UX design billed as part of building software or a website falls under IT design and development services (SAC 998314), which DGFT maps to P0802 and P0807.2 Stand-alone UI/UX design delivered without development work usually fits P1099. The contract wording decides which, so confirm the code with your bank.
What is the purpose code for interior design fees from abroad?+
DGFT maps specialty design services, which include interior design, to P1099, P1009 (architectural services), P1014 (engineering services), P1008 and P0902.12 Interior design tied to an architectural project often fits P1009. Ask the bank which of these codes it applies to your contract.
Is P1099 a safe default purpose code for designers?+
P1099 is "Other services not included elsewhere", and DGFT maps both specialty design services and design originals to P1099, so it is a common fallback for designers.12 It is still worth checking whether advertising (P1007), software (P0802) or licensing (P0902) describes the payment more closely before accepting P1099.
What purpose code fits advertising photography by a designer?+
DGFT maps advertising and related photography services (SAC 998382) to P1101, audio-visual and related services, and P1109, other personal, cultural and recreational services.2 A designer who also shoots product photos for a foreign brand's ads may therefore need a different code for the photography invoice than for the design invoice.
Can a designer generate an e-BRC under the IT category?+
A designer can generate an e-BRC under DGFT's "Services > IT" category only if the receipt carries P0802, P0803, P0807 or P0103.3 UI or web design billed as IT design and development maps to P0802 and P0807, so those receipts can qualify, while P1099 or P1007 receipts fall under other services categories.
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.
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