The Reserve Bank of India (RBI) has clarified that individuals are not covered by the reporting requirements under its new foreign exchange framework, easing concerns among freelancers, content creators and others providing services in their personal capacity.

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The new rules under the Foreign Exchange Management Act came into effect on October 1 and require service exporters to file an Export Declaration Form (EDF) declaring the value of each export transaction. The form is submitted through the bank handling the foreign exchange transaction, generally within 30 days of the end of the month in which the invoice was issued.

RBI Deputy Governor Rohit Jain said the reporting requirements do not apply to contracts of a personal nature. RBI Governor Sanjay Malhotra also clarified that individuals receiving overseas payments for services such as tutoring, small software work or other personal services do not need to file the report.

The clarification follows concerns that the new framework could create additional compliance requirements for freelancers and small service providers.

Malhotra said the revised system is intended to improve the availability and quality of data on India’s services trade and bring reporting for services closer to the existing framework for merchandise exports.

For service exporters covered by the rules, Malhotra said self-declaration would be sufficient for bills of up to ₹10 lakh. The RBI has also indicated that it will issue frequently asked questions to address confusion surrounding the new reporting framework.

The clarification means individuals providing services in a personal capacity need not treat the new EDF requirement as an additional compliance obligation.