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India
Free
Intermediate
Why we picked it This is the rare piece that answers the currency question the way an Indian founder actually hits it: the GST angle (invoicing in INR can trigger 18% on exports, while a Letter of Undertaking keeps foreign-currency invoices zero-rated) sitting right next to the practical buyer and FX-cost trade-offs. It is written for exporters and verified by a CA, so the tax detail is grounded rather than hand-wavy. Treat it as a starting point for the compliance mechanics, then sanity-check with your own accountant since RBI and GST rules shift.
Should I Invoice in INR or Foreign Currency?
From Skydo by Sukanya (reviewed by CA Akshay Kumar), Skydo
- Invoicing an overseas client in INR can pull you into 18% GST on the export, while a Letter of Undertaking (LUT) lets you invoice in foreign currency zero-rated.
- Default to invoicing in the client's currency (USD for a US buyer), but weigh conversion fees, bank spreads, and FX swings against that.
- Buyer preference matters: some clients want their local currency for their own books, so ask rather than assume.