I am selling herbal products from India to US on eBay and receive money via paypal. My CA said I am exporting goods so I'll get rebate in tax. When I told him I get money via Paypal he said it is not possible to show my business as export because paypal pay me in INR and I am not getting any foreign currency in my bank account. He said for export business you should get foreign currency in your bank account and then bank will convert in INR. I discussed this with 2 CA and both are confused about this Paypal logic. Can someone please help me with this??? I have TIN number and IEC.

  • accounting question that deals with two different countries...suggest move to accounting forum. – Ross Oct 12 '15 at 18:43

PayPal pays with service tax, where ever you have exported you would have given the invoice, and the statement should be shown. I am also an exporter, I know the rules some times a CA might not be aware of PayPal.

Just show your statement from PayPal and the deduction.

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