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GST on FFMC Services

Calculate GST on Full Fledged Money Changer Services (SAC 997157)

Select Calculation Method
Enter Transaction Details (Method 1)

RBI publishes reference rates for these currencies

RBI rate will be auto-fetched for this date (working days only)

$

Rate at which you buy from customer (usually less than RBI rate)

Calculation Results

Enter transaction details to see GST calculation

About FFMC GST Calculation (SAC 997157)

What is FFMC?

Full Fledged Money Changer (FFMC) is an authorized dealer licensed by RBI to buy and sell foreign exchange. FFMC services fall under SAC Code 997157 (Foreign Exchange Services).

RBI Reference Rates

RBI publishes reference rates for USD, EUR, GBP, and JPY on all working days. Rates are published around 1:30 PM IST. For holidays/weekends, previous working day's rate applies.

Method 1: With RBI Reference Rate

As per Rule 32(2)(b) of CGST Rules, 2017:

  • Value of supply = Difference between RBI reference rate and actual buying/selling rate
  • Subject to a minimum of 1% of the gross amount of currency exchanged
  • Use this method when RBI reference rate for the currency is available

Method 2: Without RBI Reference Rate (Slab-based)

As per Notification No. 8/2018-Central Tax (Rate) dated 25.01.2018, when RBI reference rate is not available:

Gross Amount of CurrencyValue of Supply
Up to Rs. 1,00,0001% of gross amount or Rs. 250, whichever is higher
Rs. 1,00,001 to Rs. 10,00,000Rs. 1,000 + 0.5% of amount exceeding Rs. 1,00,000
Above Rs. 10,00,000Rs. 5,500 + 0.1% of amount exceeding Rs. 10,00,000 (Max Rs. 60,000)

When to Use Method 1

  • RBI publishes reference rate for the currency
  • Major currencies: USD, EUR, GBP, JPY
  • When you know both RBI rate and your actual rate

When to Use Method 2

  • RBI does not publish reference rate for the currency
  • Currencies like AED, SGD, THB, AUD, CAD, etc.
  • When only gross INR amount is known
Example Calculations

Example 1: Method 1 - Selling USD 1,000

Given:

  • Foreign Currency: USD 1,000
  • RBI Reference Rate: Rs. 83.50
  • FFMC Selling Rate: Rs. 85.00

Calculation:

  • RBI Value: 1,000 x 83.50 = Rs. 83,500
  • Actual Value: 1,000 x 85.00 = Rs. 85,000
  • Margin (Value of Supply): Rs. 1,500
  • GST @ 18%: Rs. 270

Example 2: Method 2 - Transaction of Rs. 5,00,000

Given:

  • Gross Amount: Rs. 5,00,000
  • Applicable Slab: Rs. 1,00,001 to Rs. 10,00,000

Calculation:

  • Value of Supply = Rs. 1,000 + 0.5% of (5,00,000 - 1,00,000)
  • = Rs. 1,000 + Rs. 2,000 = Rs. 3,000
  • GST @ 18%: Rs. 540

Disclaimer

This calculator provides approximate GST calculations for FFMC services for informational purposes only. The actual GST liability may vary based on specific transaction details and prevailing rules. RBI reference rates are fetched from official sources but users should verify rates from the RBI website for accuracy. For GST compliance and filing, please consult with a qualified Chartered Accountant.