For a Swedish business without an Indian entity, GST on services to Indian businesses is usually paid by the Indian customer under reverse charge, so the Swedish company need not register. Online information and database access or retrieval services supplied to Indian consumers are different: the Swedish supplier generally must register in India under the simplified scheme and pay GST, commonly at 18 percent. Goods imported into India pay integrated GST at customs. An Indian subsidiary registers like any Indian business.
- Document route
- Notarius publicus certifies and issues the apostille
- Time difference
- India is 3h30 (summer) to 4h30 (winter) ahead
- Law
- CGST Act 2017 and IGST Act 2017
- NRTP registration
- Valid 90 days, extendable
GST for Foreign Businesses from Sweden: how it works
We map your revenue streams: B2B software licences, B2C apps and subscriptions, professional services, or goods. For each we determine the place of supply under the Integrated Goods and Services Tax Act and whether reverse charge, OIDAR registration or normal registration applies. If OIDAR registration is needed, we apply online with your Swedish company documents and appoint an Indian representative where required. Returns are then filed monthly and GST is paid in rupees through the Indian banking system.
Where your Swedish company has an Indian subsidiary, the subsidiary's services to the Swedish parent may qualify as an export of services, zero-rated if conditions on payment in foreign exchange and the supplier and recipient not being merely establishments of the same person are met; the subsidiary files a letter of undertaking to export without paying tax. Swedish companies should watch for intermediary services, which are not treated as exports, and for invoices without valid GST details, which can deny input tax credit to Indian customers.
What clients in Sweden should know
- Swedish VAT and Indian GST are separate systems, and a sale can attract obligations in both countries.
- Indian customers may also withhold income tax on payments to the Swedish company, at a rate depending on the treaty and the nature of the payment.
- Registration under the simplified scheme does not create a permanent establishment for income tax by itself.
Step by step from Sweden
Video consultation
A call at a time that suits Sweden, after we have read your documents.
Documents signed in Sweden
Notarius publicus certifies and issues the apostille
Work in India
Our team files, appears and follows up in India, and shares scans of everything filed.
Result and handover
Certified copies and originals are couriered to you in Sweden where needed.
The full guide
This page covers what changes when you are in Sweden. For the law, the documents and the step-by-step procedure, read our main page on GST for Foreign Businesses, or see all services for clients in Sweden and the Doing Business in India practice area.
Questions from clients in Sweden
Do we need GST registration for B2B SaaS sales into India?
Usually not, because the Indian business customer pays GST under reverse charge.
What GST rate applies to digital services?
Most digital services are taxed at 18 percent, but check the specific classification.
Can our Indian subsidiary claim GST refunds on exports?
Yes, if it exports under a letter of undertaking and meets the conditions for refund of unused input tax credit.