SEIS Registration - Service Exports from India Scheme (SEIS)

Importance of Service Exports from India Scheme (SEIS)

The Service Exports from India Scheme (SEIS) plays an important role in strengthening India’s position as a global leader in the service sector. Introduced under the Foreign Trade Policy 2015-20, SEIS is designed to promote the export of services from India by providing financial incentives to eligible service providers. Administered by the Directorate General of Foreign Trade (DGFT), the scheme rewards exporters with Duty Credit Scrips based on their net foreign exchange earnings. These scrips can be used for the payment of customs duties or traded in the open market, helping businesses improve their financial liquidity.

SEIS Registration is important for service providers who wish to claim benefits under the scheme. Registration enables eligible businesses to access government incentives that can be reinvested into operations, technological upgrades, skill development, and market expansion. This reinvestment potential makes SEIS a strategic tool for boosting business growth and international competitiveness. The Service Exports from India Scheme (SEIS) covers a wide range of services including IT and IT-enabled services, healthcare, educational services, professional consultancy, tourism, and hospitality. By offering incentives across diverse sectors, the scheme ensures broad participation from service providers of varying scales and capabilities.

With India being one of the largest exporters of services globally, SEIS contributes significantly to expanding the country's global service footprint. The scheme not only supports exporters in enhancing service quality and reaching new international markets but also helps in generating valuable foreign exchange. Ultimately, SEIS strengthens the Indian economy by promoting entrepreneurship, increasing employment, and improving the balance of payments.

Uses and Benefits of SEIS Registration

The Service Exports from India Scheme (SEIS), introduced under the Foreign Trade Policy (FTP) 2015-20, offers various benefits to Indian service exporters such as:

• At its core, the scheme aims to promote the export of notified services by offering financial rewards in the form of Duty Credit Scrips. To avail of these incentives, service providers must complete the SEIS Registration process through the Directorate General of Foreign Trade (DGFT).
• One of the most attractive features of SEIS Registration is the reward mechanism based on the Net Foreign Exchange (NFE) earned. The government offers Duty Credit Scrips equivalent to 3%, 5%, or 7% of the NFE, depending on the category of service exported. These scrips serve as a cash-equivalent reward and can be utilized for payment of Basic Customs Duty (BCD) on imported goods. Additionally, they are freely transferable, allowing exporters to sell them in the market, thereby unlocking immediate liquidity. This feature is particularly beneficial for small and medium enterprises (SMEs) that often face working capital challenges.
• Beyond financial support, the Service Exports from India Scheme (SEIS) also provides recognition and credibility to exporters. A valid SEIS certificate signifies that a company has made a substantial contribution to India’s export economy. This enhances the exporter’s reputation in international markets, builds trust among global clients, and opens the door to long-term business relationships. It also positions companies favorably when applying for other government incentives or participating in export facilitation programs.
• Moreover, SEIS Registration encourages reinvestment in service quality, innovation, and infrastructure by creating a reliable income stream from export performance. The scheme supports a wide range of sectors including IT & ITES, healthcare, education, consulting, hospitality, and more. This broad coverage ensures that both traditional and emerging service providers benefit from government support.
• Another strategic advantage of SEIS is its contribution to India’s foreign exchange reserves and economic growth. By incentivizing service exports, the scheme helps maintain a healthy balance of payments and strengthens India’s standing in the global service economy.

Eligibility Criteria for SEIS Registration

The following is the eligibility for SEIS Registration:

Service Provider Must Be Located in India

Only service providers with a registered business presence in India are eligible to apply under the Service Exports from India Scheme (SEIS). The services should be rendered from India to foreign clients or consumed abroad.

Eligible Services Listed in Appendix 3D/3E/3X

Services must fall under the notified list mentioned in Appendix 3D, 3E, or 3X of the Foreign Trade Policy (FTP). These include sectors like IT, healthcare, tourism, professional services, and education.

Minimum Net Foreign Exchange Earnings of $15,000

For companies, firms, and organizations (excluding individuals and sole proprietors), the net foreign exchange earnings from exported services in the previous financial year must be at least USD 15,000 to qualify for SEIS benefits.

Minimum of $10,000 for Individuals/Sole Proprietors

For individuals or sole proprietorship businesses, the eligibility threshold is lower—USD 10,000 net foreign exchange earnings in the preceding financial year is required to claim incentives.

Valid Import Export Code (IEC)

The service provider must possess a valid IEC (Import Export Code) issued by DGFT at the time of rendering the export services. This code is mandatory for SEIS Registration and to claim any export-related benefits.

Mode of Service Export – Mode I or Mode II

Services must be exported under Mode I (Cross Border Supply) or Mode II (Consumption Abroad) as defined by the WTO. These include services delivered electronically or consumed by foreign clients visiting India.

Exclusion of Manufacturing Revenue

If the applicant is engaged in both manufacturing and services, only the foreign exchange earnings from services will be considered. Manufacturing-related earnings are excluded for SEIS eligibility purposes.

No Benefits for Negative Net Foreign Exchange (NFE)

If the net foreign exchange earnings for the relevant financial year are negative (i.e., foreign exchange spent exceeds earnings), the service provider is not entitled to receive SEIS benefits for that year.

Requirements for Online SEIS Registration in India

The following are the requirements for online SEIS Registration:

Active Import Export Code (IEC)

An active IEC issued by the Directorate General of Foreign Trade (DGFT) is mandatory for applying for SEIS Registration. This code serves as the primary identification number for all export-related transactions and must be valid at the time the services are rendered.

Eligible Services as per FTP Appendix

The exported services must be listed in the relevant Appendix 3D, 3E, or 3X of the Foreign Trade Policy. These appendices specify the types of services that are eligible for SEIS benefits. Exporters of non-listed services are not eligible for incentives.

Exports Made under Mode I or Mode II Only

Only services exported through Mode I (Cross Border Trade) or Mode II (Consumption Abroad) are considered valid under the SEIS scheme. These include services delivered remotely from India or consumed by foreign clients in India (e.g., tourism, medical treatment).

Minimum Net Foreign Exchange (NFE) Threshold

The applicant must meet the minimum NFE criteria: USD 15,000 for most entities and USD 10,000 for individuals and sole proprietors. NFE is calculated as the difference between foreign exchange earned and foreign exchange spent on inputs or expenses.

Timely Application Submission to DGFT

The SEIS application must be submitted within the deadline notified by DGFT, usually within 12 months from the end of the financial year. Late submissions may lead to forfeiture of the entitlement to duty credit scrips.

Segregation of Business Income (If Applicable)

In cases where the entity is involved in both manufacturing and service activities, a clear bifurcation of income from service exports and goods manufacturing must be provided. Only the service income portion will be eligible for SEIS benefits.

CA/CS Certification for NFE Earnings

The application must be supported with a certificate issued by a Chartered Accountant (CA) or Company Secretary (CS). This certificate validates the accuracy of the net foreign exchange earnings and is an important document for SEIS Registration approval.

Documents Required for SEIS Registration

The applicant must submit the following documents to apply for SEIS:

• IEC Certificate
• RCMC (Registration-cum-Membership Certificate)
• Statement of Export Invoices (in DGFT-specified Excel format)
• Bank Realisation Certificate (BRC) or FIRC
• CA Certificate certifying net foreign exchange earnings
• Declaration and Undertaking in the specified format
• Valid PAN and GSTIN details
• PRC (if applicable)
• Any other documents specified by DGFT under notification or circular & it is important to ensure all documentation is accurate and up to date to avoid delays or rejection of the SEIS application.

Online Procedure for SEIS Registration through DGFT

The following is the step by step procedure for online SEIS Registration through DGFT

Login to DGFT Portal

Begin by visiting the DGFT portal and logging in using your valid user credentials (username and password). Ensure your IEC is linked and the profile is up to date before proceeding with the SEIS application.

Go to SEIS Application

After logging in, go to “Services” > “SEIS” > “Apply for SEIS” from the main dashboard. This will redirect you to the dedicated application page where you can initiate the process.

Start a New Application

Click on “Start Fresh Application” to begin a new SEIS request. This section will prompt you to select the export financial year and relevant details associated with the claim.

Enter Applicant & PRC Details

Fill in the required details such as applicant name, IEC, address, and PRC (Policy Relaxation Committee) details if applicable. Ensure the information matches your IEC and GST records to avoid rejection.

Fill in RCMC Details

Input the RCMC (Registration-Cum-Membership Certificate) details issued by the relevant Export Promotion Council. This certifies your registration as an exporter in the specified service category.

Download and Upload Invoice Data

Download the pre-defined invoice format provided by DGFT, enter all export invoice data in the specified format, and re-upload the completed file to the portal. Double-check entries for accuracy in invoice values and service categories.

Upload CA/CS Certificate & Supporting Documents

Obtain a CA/CS certified Net Foreign Exchange (NFE) certificate, and upload it along with other required documents like FIRCs, service agreement copies, and payment proofs. All uploads must be in the acceptable PDF format.

Choose Scrip Split Option (If Needed)

If you wish to divide the Duty Credit Scrip into multiple parts (e.g., for different ports or group companies), you may select the “Split Scrip” option. Otherwise, leave this unchecked.

Submit Declarations & Make Payment

Complete all required self-declarations, accept the terms and conditions, and proceed to pay the application fee online via net banking, credit/debit card, or UPI.

Download E-Receipt and View Duty Credit Scrip

Once payment is successful, download the e-receipt and go to “My Authorizations” to view or print the generated Duty Credit Scrip. Make sure to file the application within DGFT’s prescribed deadline to avoid disqualification.

Validity and Renewal of SEIS Registration

The SEIS scheme is available for a specific period as notified by DGFT and is subject to periodic review under FTP updates. Once a service provider applies for SEIS and receives the Duty Credit Scrip, it remains valid for 24 months from the date of issue. Renewal of SEIS is not typically required; however, claims must be filed each year for the respective financial year’s exports. Exporters must stay updated with the latest DGFT notifications to ensure timely filing. Timely renewal of eligibility and submission of applications every year is crucial to continue enjoying the benefits of SEIS Registration.

Late Cut Fee for SEIS Application

In case of delayed submission of the SEIS application beyond the DGFT-notified deadline, a Late Cut fee is levied based on the duration of delay. The structure is generally as follows:

• 2% cut for delay of 0-6 months
• 5% cut for delay of 6-12 months
• 10% cut for delay of 12-24 months
• Beyond 24 months: applications may not be accepted Exporters are strongly advised to submit their SEIS application within the prescribed time to avoid reduction in benefits or outright rejection. The DGFT reserves the right to change or revise the late cut policy through notifications.

List of Services Eligible under SEIS

Not all services are eligible for SEIS benefits. Only services exported under Mode I (Cross Border Trade) and Mode II (Consumption Abroad) are covered. Examples include:

• Business and Management Consulting Services
• Accounting and Auditing Services
• Legal Services
• Hotel and Tourism-related services
• Educational Services
• Healthcare and Medical Services
• Information Technology and Software Services Services under Mode III (Commercial Presence) and Mode IV (Presence of Natural Persons) are not eligible. A detailed list of eligible services is provided in Appendix 3D/3E/3X of FTP. Services falling under ineligible categories as per Public Notice 45 dated 05.12.2017 are also excluded.