India purpose of payment guide
IFSC code
The Indian Financial System Code (IFSC) is a unique 11-digit alphanumeric code used to identify a specific bank branch in India. You can find the IFSC code of a particular bank branch in India by checking the bank's website, the Reserve Bank of India's website, or third-party websites. Double-check the IFSC code with the recipient or the recipient's bank before initiating the wire transfer.
It’s important to ensure that the purpose of payment code is accurate and appropriate for the transaction. Incorrect or inappropriate codes can result in delays or even rejection of the transfer.
Purpose of payment code
The Reserve Bank of India (RBI) has mandated the use of purpose codes for all cross-border transactions since 2013. Purpose codes are used to indicate the nature of the transaction being conducted and should be included in the payment details when initiating a wire transfer to or from India. The purpose code should be selected based on the nature of the transaction and should be consistent with the supporting documentation, such as invoices or contracts.
Code | Description |
---|---|
Capital account | |
P0001 | Repatriation of Indian investment abroad in equity capital (shares) |
P0002 | Repatriation of Indian investment abroad in debt securities |
P0003 | Repatriation of Indian investment abroad in branches |
P0004 | Repatriation of Indian investment abroad in subsidiaries and associates |
P0005 | Repatriation of Indian investment abroad in real estate |
P0006 | Foreign direct investment in India in equity |
P0007 | Foreign direct investment in India in debt securities |
P0008 | Foreign direct investment in India in real estate |
P0009 | Foreign portfolio investment in India in equity shares |
P0010 | Foreign portfolio investment in India in debt securities including debt funds |
P0011 | Repayment of loans extended to non-residents |
P0012 | Loans from non-residents to India |
P0014 | Receipts o/a non-resident deposits (FCNRB/NRERA etc.) ADs should report these even if funds are not "swapped" into rupees |
P0015 | Loans & overdrafts taken by ADs on their own account. (Any amount of loan credited to the NOSTRO account which may not be swapped into rupees should also be reported) |
P0016 | Purchase of a foreign currency against another currency |
P0017 | Sale of intangible assets like patents, copyrights, trade marks etc. by Indian companies |
P0018 | Other capital receipts not included elsewhere |
S0001 | Indian investment abroad-in equity capital (shares) |
S0002 | Indian investment abroad-in debt securities |
S0003 | Indian investment abroad-in branches |
S0004 | Indian investment abroad-in subsidiaries and associate |
S0005 | Indian investment abroad-in real estate |
S0006 | Repatriation of Foreign Direct Investment in India-in equity shares |
S0007 | Repatriation of Foreign Direct Investment in India-in debt securities |
S0008 | Repatriation of Foreign Direct Investment in India-in real estate |
S0009 | Repatriation of Foreign Portfolio Investment in India-in equity shares |
S0010 | Repatriation of Foreign Portfolio Investment in India-in debt securities |
S0011 | Loans extended to non-residents |
S0012 | Repayment of loans received from non-residents (long & medium term loans) |
S0013 | Repayment of short term loans received from non-residents |
S0014 | Repatriation of non-resident deposits (FCNRB/N.RERA etc.) |
S0015 | Repayment of loans & overdrafts taken by ADs on their own account |
S0016 | Sale of a foreign currency against another foreign currency |
S0017 | Purchase of intangible assets like patents, copyrights, trade marks etc. |
S0018 | Other capital payments not included elsewhere |
Communication service | |
P0401 | Postal services |
P0402 | Courier services |
P0403 | Telecommunication services |
P0404 | Satellite services |
S0401 | Postal services |
S0402 | Courier services |
S0403 | Telecommunication services |
S0404 | Satellite services |
Computer & information services | |
P0801 | Hardware consultancy |
P0802 | Software implementation/consultancy (other than those covered in SOFTEX form) |
P0803 | Data base, data processing charges |
P0804 | Repair and maintenance of computer and software |
P0805 | Mews agency services |
P0806 | Other information services, such as subscription to newspapers, periodicals, etc. |
S0801 | Hardware consultancy |
S0802 | Software implementation/consultancy |
S0803 | Data base, data processing charges |
S0804 | Repair and maintenance of computer and software |
S0805 | Slews agency services |
S0806 | Other information services such as subscription to newspapers, periodicals |
Construction service | |
P0501 | Receipts for cost of construction of services projects in India |
S0501 | Construction of projects abroad by Indian companies including import of goods at project site |
S0502 | Payments for cost of construction etc. of projects executed by foreign companies in India |
Exports (of goods) | |
P0101 | Value of export bills negotiated/purchased/discounted etc. (covered under GR/PP/SOFTEX/EC copy of shipping bills etc.) |
P0102 | Realization of export bills (in respect of goods) sent on collection (full invoice value) |
P0103 | Advance receipts against export contracts (export of goods only) |
P0104 | Receipts against export of goods not covered by the GR/PP/SOFTEX/EC copy of shipping bill etc. |
P0101 | Value of export bills negotiated/purchased/discounted etc. (covered under GR/PP/SOFTEX/EC copy of shipping bills etc.) |
P0102 | Realization of export bills (in respect of goods) sent on collection (full invoice value) |
P0103 | Advance receipts against export contracts (export of goods only) |
P0104 | Receipts against export of goods not covered by the GR/PP/SOFTEX/EC copy of shipping bill etc. |
P0105 | Export bills (in respect of goods) sent on collection |
P0106 | Conversion of overdue export bills from NPD to collection mode |
P0107 | Realization of NPD export bills (full value of bill to be reported) |
Financial services | |
P0701 | Financial intermediation except investment banking such as bank charges, collection charges, LC charges, cancellation of forward contracts, commission on financial leasing etc. |
P0702 | Investment banking such as brokerage, underwriting commission etc. |
P0703 | Auxiliary services such as charges on operation & regulatory fees, custodial services, depository services etc. |
S0701 | Financial intermediation except investment banking such as bank charges, collection charges, LC charges, cancellation of forward contracts, commission on financial leasing etc. |
S0702 | Investment banking such as brokerage, underwriting commission etc. |
S0703 | Auxiliary services such as charges on operation & regulatory, custodial services, depository services etc. |
Government not included elsewhere (G.n.i.e.) | |
S1201 | Maintenance of Indian embassies abroad |
SI202 | Remittances by foreign embassies in India |
P1201 | Maintenance of foreign embassies in India |
P1203 | Maintenance of international institutions such as offices of IMF mission, World Bank, UNICEF etc. in India. |
Imports | |
S0101 | Advance payment against imports |
S0102 | Payment towards imports-settlement of invoice |
S0103 | Imports by diplomatic missions |
S0104 | Intermediary trade |
S0190 | Imports below Rs. 500.000 (For use by ECD offices) |
Income | |
P1401 | Compensation of employees |
P1403 | Inward remittance towards interest on loans extended to non-residents (ST/MT/LT loans) |
P1404 | Inward remittance of interest on debt securities - debentures/bonds/FRNsetc |
P1405 | Inward remittance towards interest receipts of ADs on their own account (on investments) |
P1406 | Repatriation of profits to India |
P1407 | Receipt of dividends by Indians |
S1401 | Compensation of employees |
S1402 | Remittance towards interest on non-resident deposits (FCNRB/NRERA/ NRNRD/NRSR etc.) |
S1403 | Remittance towards interest on loans from non residents (ST/MT/LT loans) |
S1404 | Remittance of interest on debt securities - debentures/bonds/FRNs etc. |
S1405 | Remittance towards interest payment by ADs on their own account (to VOSTRO a/c holders or the OD on NOSTRO a/c.) |
S1406 | Repatriation of profits |
S1407 | Payment/ repatriation of dividends |
Insurance service | |
P0601 | Receipts of life insurance premium |
P0602 | Receipts of freight insurance - relating to import & export of goods |
P0603 | Receipts on account of other general insurance premium |
P0604 | Receipts of reinsurance premium |
P0605 | Receipts on account of auxiliary services (commission on Insurance) |
P0606 | Receipts on account of settlement of claims |
S0601 | Payments for life insurance premium |
S0602 | Freight insurance relating to import & export of goods |
S0603 | Other general insurance premium |
S0604 | Reinsurance premium |
S0605 | Auxiliary services (commission on insurance) |
S0606 | Settlement of claims |
Other business services | |
P1001 | Merchanting services – net receipts (from sale and purchase of goods without crossing the border) |
P1002 | Trade related services - commission on exports/imports |
P1003 | Operational leasing services (other than financial leasing and without operating crew) including charter hire |
P1004 | Legal services |
P1005 | Accounting, auditing, book keeping, and tax consulting services |
P1006 | Business and management consultancy and public relations services |
P1007 | Advertising, trade fair, market research, and public opinion polling services |
P1008 | Research & development services |
P1009 | Architectural, engineering, and other technical services |
P1010 | Agricultural, mining and on-site processing services such as protection against insects & disease, increasing of harvest yields, forestry services, mining services like analysis of ores etc. |
P1011 | Inward remittance for maintenance of offices in India |
P1012 | Distribution services |
P1013 | Environmental services |
P1019 | Other services not included elsewhere |
S1001 | Merchanting services - net payments (from sale & purchase of goods without crossing the border) |
S1002 | Trade related services - commission on exports/imports |
S1003 | Operational leasing services (other than financial leasing) without operating crew, including charter hire |
S1004 | Legal services |
S1005 | Accounting, auditing, book keeping, and tax consulting services |
S1006 | Business and management consultancy and public relations services |
S1007 | Advertising, trade fair, market research, and public opinion polling service |
S1008 | Research & development services |
S1009 | Architectural, engineering, and other technical services |
S1010 | Agricultural, mining, and on-site processing services - protection against insects & disease, increasing of harvest yields, forestry services, mining services like analysis of ores etc. |
S1011 | Payments for maintenance of offices abroad |
S1012 | Distribution services |
S1013 | Environmental services |
S1019 | Other services not included elsewhere |
Others | |
P1501 | Refunds/rebates on account of imports |
P1502 | Reversal of wrong entries, refunds of amount remitted for non-imports |
P1503 | Remittances (receipts) by residents under international bidding process |
P1590 | Receipts below $10,000 (say Rs 5,00,000) |
S1501 | Refunds/rebates/reduction in invoice value on account of exports |
S1502 | Reversal of wrong entries, refunds of amount remitted for non-exports |
S1503 | Payments by residents for international bidding |
S1504 | Crystallize/cancel export bills |
Personal, cultural, & recreational services | |
S1101 | Audio-visual and related services-services and associated fees related to production of motion pictures, rentals, fees received by actors, directors, producers and fees for distribution rights |
S1102 | Personal, cultural services such as those related to museums, libraries, archives and sporting activities; fees for correspondence courses abroad |
P1101 | Audio-visual and related services -services and associated fees related to production of motion pictures, rentals, fees received by actors, directors, producers and fees for distribution rights |
P1102 | Personal, cultural services such as those related to museums, libraries, archives, sporting activities, and fees for correspondence courses of Indian universities/institutes |
Royalties & license fees | |
P0901 | Franchises services - patents, copyrights, trade marks, industrial processes, franchises etc. |
P0902 | Receipts for use, through licensing arrangements, of produced originals or prototypes (such as manuscripts and films) |
S0901 | Franchises services such as patents, copyrights, trade marks, industrial processes, franchises etc. |
S0902 | Payment for use, through licensing arrangements, of produced originals or prototypes (such as manuscripts and films) |
Transfers | |
P1301 | Inward remittance from Indian nonresidents towards family maintenance and savings |
P1302 | Personal gifts and donations |
P1303 | Donations to religious and charitable institutions in India |
P1304 | Grants and donations to governments and charitable institutions established by the governments |
P1306 | Receipts/refund of taxes |
S1301 | Remittance by non-residents towards family maintenance and savings |
S1302 | Remittance towards personal gifts and donations |
S1303 | Remittance towards donations to religious and charitable institutions abroad |
S1304 | Remittance towards grants and donations to other governments and charitable institutions established by the governments |
S1305 | Contributions/donations by the government to international institutions |
S1306 | Remittance towards payment/refund of taxes |
Transportation | |
P0201 | Receipts of surplus freight/passenger fare by Indian shipping companies operating abroad |
P0202 | Purchases, on account of operating expenses of foreign shipping companies operating in India |
P0205 | Purchases on account of operational leasing (with crew) - shipping companies |
P0207 | Receipts of surplus freight/passenger fare by Indian airline companies operating abroad |
P0208 | Receipt on account of operating expenses of foreign airline companies operating in India |
P0211 | Purchases on account of operational leasing (with crew) - airline companies |
P0213 | Receipts on account of other transportation services such as stevedoring, demurrage, port handling charges etc. |
S0201 | Payments for surplus freight/passenger fare by foreign shipping companies operating in India |
S0202 | Payment for operating expenses of Indian shipping companies operating abroad |
S0203 | Freight on imports-shipping companies |
S0204 | Freight on exports-shipping companies |
S0205 | Operational leasing (with crew)-shipping companies |
S0206 | Booking of passages abroad-shipping companies |
S0207 | Payments for surplus freight/passenger fare by foreign airline companies operating in India |
S0208 | Operating expenses of Indian airline companies operating abroad |
S0209 | Freight on imports - airline companies |
S0210 | Freight on exports - airline companies |
S0211 | Operational leasing (with crew) - airline companies |
S0212 | Booking of passages abroad - airline companies |
S0213 | Payments on account of stevedoring, demurrage, port handling charges etc. |
Travel | |
P0301 | Purchases towards travel (Includes purchases of foreign TCs, currency notes etc. over the counter, by hotels, emporiums, institutions etc. as well as amount received by TT/SWIFT transfers or debit to non-resident account) |
P0308 | FC surrendered by returning Indian tourists |
S0301 | Remittance towards business travel |
S0302 | Travel under basic travel quota (BTQ) |
S0303 | Travel for pilgrimage |
S0304 | Travel for medical treatment |
S0305 | Travel for education including fees, hostel expenses etc. |
S0306 | Other travel (international credit cards) |