Overview
- The Reserve Bank of India’s new FEMA regulations, which took effect on Thursday, Oct. 1, 2026, extend the Export Declaration Form (EDF) requirement to services and software so exporters must declare the full value of overseas service invoices.
- Service exporters must submit EDFs to their authorised dealer (AD) bank within 30 days from the end of the month the invoice was raised and banks must enter the details in the Export Data Processing and Monitoring System (EDPMS) and reconcile receipts.
- Export proceeds generally must be realised within nine months of the invoice date or 12 months if invoiced in Indian rupees, and the rules apply regardless of which foreign currency the payment is received in.
- The regulations include procedural reliefs such as one EDF covering multiple monthly invoices, quarterly submission options, and an option for AD banks to close entries up to Rs 10 lakh on exporter declaration, but freelancers and micro IT firms warn the rule will add filing steps and cash‑flow friction.
- Practical implementation now depends on operational guidance from AD banks and STPI/SEZ routes for software exports, so watch for bank processes and reconciliation practices that will determine how quickly the new reporting becomes routine.