India requires Upwork to collect 18% GST on services unless you provide a valid GSTIN. Charges apply to fees like marketplace and contract initiation. You can avoid GST collection by entering a valid GSTIN in your settings. Once validated, tax is no longer collected, but past payments are nonrefundable.
What's India GST and why does Upwork collect it?
Goods and services tax, or GST, is a tax that includes our services to you, and India requires Upwork to collect it and send it to the government of India unless you provide a valid GSTIN.
We’re required to comply with the tax laws of countries where we do business to operate there.
What services does India GST apply to on Upwork?
Examples of services where India GST applies:
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Marketplace fee, Contract Initiation Fee, conversion fee, and recruiter fee
Since we charge tax when your government requires it, the tax may change or apply to additional services in the future.
What's the India GST rate?
It's 18% of the cost of the service being taxed. Example: On $100 USD in Marketplace Fees, you'll pay $18 in tax, for a total of $118.
You’ll see the estimated amount of tax on your invoices and transaction history.
Am I required to provide my India GSTIN?
No, but if you provide you India GSTIN to Upwork in your account’s Tax Information:
- We will not have to collect this tax from you
- We’ll check whether the GSTIN you provide is valid and give you a prompt response. You can also see your GSTIN status on your Tax information page
- The GSTIN you provide to us will display on your invoices, even if it's not validated. To change what displays there, you'll need to update your GSTIN
What's the India GSTIN format?
Your India GSTIN is a unique identification number that you may request from your government by registering for GST in India—not the same as your tax ID.
It has 15 alphanumeric characters and can start and end with a letter or number—like this, for example: 27ABCDE1234F1Z5.
To learn more, visit the India tax authority website for indirect taxes.
Does India offer exemptions to GST?
India does not offer any exemptions from GST that are applicable to Upwork’s services, but you can avoid GST charges being collected by Upwork on your behalf by providing a valid GSTIN.
What happens to my India GST is I change my location or information?
If you update your tax residence in your Tax information, we'll automatically adjust what we collect to correspond with any taxes that apply in your new country.
You may have to revalidate your GSTIN or similar ID when you change locations, or if you make other changes to your information, such as changing your legal name.
Disclaimer
This article is for general information only and should not be considered tax advice. It may not be updated in real time and may not reflect recent changes. We strongly encourage you to consult your country’s tax authority or your tax advisor with questions related to your specific situation.
Please check to make sure you are entering the correct number. The GSTIN has 15 alphanumeric characters and can start and end with a letter or number, like this, for example: 27ABCDE1234F1Z5. If the number you entered is correct but we were not able to validate it, you may want to talk with a tax advisor.
We are still required to collect GST even if you're only residing in India temporarily. If you move to another country, you can update your information in your account’s Tax information. We'll automatically adjust your GST to correspond with the rates in your new country of residence or stop collecting if there is no GST or a similar tax, in your new country.
No, we remit any GST collected directly to the government of India and will not be able to refund it. You may be able to claim a credit with your local tax authority for what you paid. We recommend that you consult with your local tax authority or your tax advisor for more information.
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