How to Invoice International Clients from India
Written by Naresh, Founder of QWIK INVOICE · Last updated: 29 August 2026
Billing a client outside India is different from a domestic GST invoice in three ways: you invoice in a foreign currency (or an agreed currency), you use a Tax ID/VAT field instead of a GSTIN for the client, and — if the conditions are met — you charge no GST at all, because export of services is a zero-rated supply. Here's what that actually means and what your invoice needs to reflect it correctly.
What does "zero-rated supply" actually mean?
Export of services is treated as zero-rated under GST when three conditions are met: payment is received in convertible foreign exchange (or in Indian Rupees, where the RBI permits it), the supplier and the recipient are not merely two establishments of the same legal person (e.g., you invoicing your own overseas branch generally doesn't qualify), and the place of supply is outside India. "Zero-rated" is a specific, deliberate category — it's not the same as "exempt." On an exempt supply you charge no GST and also lose the right to claim input tax credit on your own purchases. On a zero-rated export, you charge no GST but you keep the right to claim ITC on GST you paid for business expenses — software subscriptions, contractor payments, office costs — that went into delivering the service.
How do I actually invoice without charging GST?
There are two routes, and they lead to the same zero-rated outcome through different mechanics:
- Export under a Letter of Undertaking (LUT). You file an LUT once per financial year on the GST portal, and every export invoice made under it simply carries no IGST line at all — nothing is charged, nothing is paid upfront. See our LUT & export of services guide for exactly how this works and how to file one.
- Pay IGST at export, then claim a refund. You charge and pay IGST on the export value as if it were a normal inter-state supply (see our CGST vs SGST vs IGST guide for how that tax is calculated), then apply for a refund of that IGST afterward.
Most freelancers and regular exporters prefer the LUT route, simply because it avoids fronting tax money and waiting for a refund to come back.
What does an export invoice need that a domestic one doesn't?
If you're exporting under LUT, the invoice should carry a specific declaration stating the supply is made under LUT without payment of integrated tax — this replaces the IGST line a domestic inter-state invoice would otherwise show. Beyond that, the structural requirements of a normal tax invoice (Rule 46) still apply: your GSTIN, invoice number, date, description of the service, and value. What changes is what's added, not what's removed:
| Field | Domestic GST invoice | International/export invoice |
|---|---|---|
| Currency | INR | Agreed currency (USD, EUR, GBP, etc.) |
| Customer tax ID | GSTIN | Tax ID / VAT number (if provided) or blank — see our UK/EU VAT guide for why this matters to the client |
| Tax line | CGST+SGST or IGST | None (under LUT) or IGST pending refund |
| Special declaration | Not applicable | "Supply meant for export under LUT without payment of integrated tax" (if applicable) |
| Payment details | Domestic bank account | Bank details with SWIFT/IBAN for international transfer |
Worked example: a freelance design invoice to a US client
A Bengaluru-based freelance designer invoices a US client $1,500 for a completed project, exported under LUT. The invoice shows: taxable value $1,500, no IGST line (LUT declaration included instead), grand total $1,500 — payable to the freelancer's bank account with SWIFT details provided. Domestically, the freelancer can still claim ITC on the GST paid for the software subscriptions and contractor fees used to deliver the project, even though no GST was charged on this invoice itself.
What if my export doesn't meet the zero-rating conditions?
If, for example, payment isn't received in convertible foreign exchange, or the "recipient" turns out to be your own overseas branch rather than an independent client, the supply may not qualify as an export for GST purposes — in which case normal domestic GST rules could apply instead. These edge cases are exactly where it's worth confirming your specific situation on the GST portal or with a tax professional before invoicing, rather than assuming zero-rating applies automatically just because the client is abroad.
Getting started
QWIK INVOICE's international invoice generator and the Standard format inside the main app handle the currency and Tax ID fields for you — you still need to confirm your own LUT/export status separately, but the invoice itself is ready to go. For a full walkthrough of creating an invoice from scratch, see our step-by-step guide.
Frequently asked questions
Do I charge GST when invoicing a client outside India?
Generally no. Export of services is treated as a zero-rated supply under GST when the payment is received in convertible foreign exchange (or Indian Rupees where permitted by the RBI), the supplier and recipient aren't just two branches of the same legal entity, and the place of supply is outside India. Zero-rated means you charge no GST on the invoice, but you still keep the right to claim input tax credit on your own business purchases — unlike an exempt supply, where that right is lost.
What's the difference between exporting under LUT and paying IGST then claiming a refund?
Both routes are zero-rated in effect, but the mechanics differ. Under a Letter of Undertaking (LUT), you invoice without charging or paying any IGST at all. Without an LUT, you pay IGST on the export value upfront and then file for a refund — which ties up cash until the refund is processed. Most regular exporters prefer the LUT route specifically to avoid that cash-flow gap. See our dedicated LUT guide for how to file one.
What currency should I invoice an international client in?
Whatever currency you and the client agreed on — commonly USD, EUR or GBP, though QWIK INVOICE's Standard invoice format supports several others too. There's no GST requirement forcing you to invoice in INR for an export; the invoice should simply state the agreed currency clearly, since that's also what determines how the payment is reported for foreign exchange purposes.
Do I need my client's GSTIN on an international invoice?
No — a client outside India won't have a GSTIN. Use a Tax ID / VAT Number field instead (many countries have an equivalent identifier), and leave it blank if the client doesn't provide one. What matters for GST purposes is that the place of supply is outside India, not the format of any tax ID your client holds. If your client is specifically in the UK or EU, see our dedicated guide on VAT and reverse charge for what that Tax ID field is actually used for on their end.
Can I use QWIK INVOICE for international invoices?
Yes — switch to the Standard (USA / Global) invoice format in the app, which drops the India-specific GSTIN/HSN/CGST-SGST-IGST fields in favor of a Tax ID field and a single tax line, and lets you pick your currency. See our international invoice generator or the main app for details.
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