The Foreign Exchange Management (Export and Import of Goods and Services) Regulations, 2026 have been amended. The Second Amendment takes effect from 1 October 2026, and it changes three things: a new definition, a relaxation for service exporters, and a narrower reporting rule for import of services.
The original notification is No. FEMA 23(R)/2026-RB, dated 13 January 2026. The amendment is No. FEMA 23(R)/(2)/2026-RB, dated 2 November 2026, and it is effective from 1 October 2026.
A new definition: resident individual
Earlier, the regulations did not define “Resident Individual”. The amendment adds clause (da) to Regulation 2, which defines it as a person resident in India who is a natural person.
Deemed submission of the EDF for service exporters
An exporter of services had to furnish an EDF to the Authorised Dealer (AD) within the prescribed period. The earlier regulation did not provide any deemed-submission relaxation based on the status of the exporter or the value of inward remittance.
Regulation 3(2) now has two new provisions. They work differently depending on who the exporter is.
Deemed submission under Regulation 3(2)
Import of services reported in IDPMS
Earlier, the AD had to enter details of import of services in IDPMS, as declared and submitted by the importer, within five working days of receiving the documents. The amended Regulation 18(1)(d) narrows this duty.
Under the amendment, the AD must enter the import of service in IDPMS only where the importer is a person other than a resident individual, and the invoice or contract value is more than ₹10 Lakh (or its equivalent in foreign currency). The five working day period still applies, now counted from receipt of details.
The relaxations depend on who the exporter or importer is, and on the value involved.
What this means in practice
- Check whether the exporter or importer is a resident individual, using the new clause (da) definition.
- For service exporters who are not resident individuals, check the inward remittance against ₹10 Lakh before relying on deemed submission.
- For import of services, check whether the invoice or contract value is above ₹10 Lakh and whether the importer is a person other than a resident individual.
- Note that the IDPMS timeline of five working days now runs from receipt of details, not receipt of documents.
From when do these changes apply?
The amendment is effective from 1 October 2026.
Does the ₹10 Lakh limit apply to resident individual exporters?
The deemed-submission provision for resident individuals in Regulation 3(2)(a) does not mention a value limit. The ₹10 Lakh limit is in Regulation 3(2)(b), which covers persons other than resident individuals.
What is the amended IDPMS rule for import of services?
The AD enters the details in IDPMS where the importer is a person other than a resident individual and the invoice or contract value is more than ₹10 Lakh (or its equivalent in foreign currency), within five working days of receipt of details.
Need help reviewing your export and import records?
Talk to the Aypa team about checking your EDF and IDPMS process against the amended rules.
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