The question
1 answer
Practising chartered accountants at ERPCA · 15 Jul 2026
In short
Short answer: you must register once your aggregate turnover crosses ₹20 lakh in a financial year, and even then you will not charge your US clients GST because what you do is an export of services.
Exports count towards the ₹20 lakh threshold, so at ₹18 lakh you are close. Registration is optional today and becomes compulsory in the month you cross the limit; apply within 30 days of that date.
Your services are an export under section 2(6) of the IGST Act: the recipient is outside India, the place of supply is outside India, and payment is received in convertible foreign exchange (Wise and PayPal settlements into your Indian account qualify; keep the FIRC or payment advice for each receipt). Exports are zero-rated. File a Letter of Undertaking (Form RFD-11) on the portal and invoice without IGST, or pay IGST and claim it back. Almost everyone files the LUT; it is free and is renewed every April.
Many freelancers register voluntarily before the limit because registration lets you claim input tax credit on software subscriptions, laptops and co-working rent, and a GSTIN reassures larger clients. The cost is a monthly GSTR-1 and GSTR-3B (or quarterly under the QRMP scheme since your turnover is under ₹5 crore).
Next step
Track turnover month by month. The moment you expect to cross ₹20 lakh, apply for registration (three to seven working days) and file the LUT the same week.
General guidance on the facts given, not an engagement. Law as on the date of the answer.
Talk to ERPCA about your case →Your situation is a little different?
Post it free. Practising professionals in gst registration & returns answer in writing, usually within 2–3 working days.
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