Freelancing in India: How to Start, Register and Get Paid Internationally

India's workforce has an independent work culture. About 76% of total employment is self-employed¹. If you’re a UK freelancer based in India, you’ll enjoy the low cost of living, reliable and fast internet in cities like Bengaluru², co-working spaces and a financial system that supports cross-border payments.

You'll also need to know your tax obligations in the UK and India, and how to start freelancing without running into issues with local authorities.

In this guide, we cover everything you need to know about freelancing in India, including what freelancing is, how to get started, compliance considerations and how to receive overseas payments.

Wise Business lets freelancers in India receive overseas payments directly into their INR account at mid-market rate with no hidden fees.

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What does freelancing in India mean?

Freelancing is a form of self-employment in which workers provide services to multiple customers or businesses, on a per-project or per-task basis. This work relationship doesn’t have a long-term commitment.

Being a freelancer is different from being employed. In an employment, your employer will handle your salary, taxes, benefits, and manage your work schedule.

As a freelancer in India, you wouldn't receive a monthly salary or benefits, such as paid leave and health and medical insurance. You'll handle your invoicing, contracts, work hours, health, etc. You'll file and pay taxes yourself.

Your pay may not be regular. It will depend on the tasks or projects you complete.

A freelancer sells their time and skills, whereas a small business is typically registered as a sole proprietorship, a private limited company, or a limited liability partnership. A small business can employ staff and consultants. To work as a freelancer in India longterm, you may need a work visa³.

How to start freelancing in India

Here are some practical steps to take before starting paid freelance work.

Choose your freelance service

What will you sell when you start freelancing? There are many niches to choose from: content writing, web design, data analysis, scriptwriting, social media management, cybersecurity consulting, financial modelling, email marketing, and more.

It's advisable to offer a service you enjoy doing, are good at (or willing to grow in), and that has a market willing and able to pay for it.

If you pick a service that can give you money, without having an interest in it, you'll struggle. If you choose something you like but has no market, you won't make any money.

Say you've worked as an employee in a job that gave you some skills, you can pivot to freelancing by offering the same skills to businesses on a freelance or fractional basis.

You can also learn a skill, offer the service on a pro bono basis, build a portfolio, and gradually pitch to prospects at higher prices.

As time goes on, choose an area and niche down to your major offer, for instance

• Web development > WordPress > e-commerce site
• Content writing > B2B SAAS > fintech B2B SAAS

Learn about your prospects' major pain points by speaking directly to them, checking social media or groups where they discuss. Design your service to solve their problems.

Choose your pricing model

You can charge hourly, per project or using tiered packages.

• Hourly pricing:

With hourly pricing, the client pays you for how long you work on the task or project. The advantage is that it's easy to understand and works if you’re just starting out, and haven't understood your service offerings enough to package them into tiers.

The downside of hourly pricing for projects with deliverables is that the customer may dispute how long you took to complete a task or deliverable, and the payment may not reflect the mental work involved.

Another con is that you'll be paid for the time you put in, not the value of the work you're doing. Even if your work produces millions of pounds for the company, you'd only be paid for the time you put in.

• Tiered pricing:

In tiered pricing models, you bundle your services into packages and let customers choose the package they want or can afford. This works when you build confidence in your solution's value.

• Project-based pricing:

With a project-based pricing model, you get paid for outcomes and results instead of the number of hours spent. You'll have to clearly define the project's scope, estimate how long you'll spend and add a buffer in case the project becomes more complex or stretches for longer than you thought. This works for web development projects with defined deliverables like a 12-page website. Make it clear in your contract that additional work will attract a separate payment. In your payment terms, ask for a 50% upfront payment, 25% after completing some milestones, and the balance after completing the project.

Remember to account for taxes, health benefits, gadgets, internet service, virtual workspaces, and rent. You can check sites like Payscale and Glassdoor to get a benchmark for hourly rates, but increase the amount, as those rates are likely for employees whose taxes, insurance, and pensions are handled by employers in many cases.

Set up the right documents and records

You'll also need the right paperwork.

• Permanent Account Number (PAN): PAN is a 10-digit alphanumeric number given to taxpayers in India to track PAYE tax payments through the Tax Deducted at Source (TDS) platform.⁴ Always quote your PAN when invoicing clients or registering on freelance platforms like Upwork so they can deduct TDS at the normal 10% rate⁵.

  Freelancers who don't quote their PANs end up paying 20% tax instead of 10%⁶. The same penalty applies to freelancers who haven't linked their PAN to their Adhaar (a biometric identification number)⁷.

• Invoices: Invoices are formal requests for payment and records of services rendered to customers. It should include your

  • personal and contact details
  • PAN number
  • a unique invoice number
  • payment date
  • payment due date
  • the service rendered
  • quantities
  • rates
  • total cost before tax
  • and payment details, such as a bank account
  • tax details (discussed extensively below)

  These details may sound like a lot, but Wise Business has simplified invoicing for freelancers. You can create your own invoice by using Wise’s freelance invoice generator.

• Client contracts: A contract covers the terms of your work with your clients. It protects both of you and spells out

  • the scope of work
  • payment terms
  • number of revisions
  • deadlines
  • what to do in case of disputes or cancellation

• Basic bookkeeping: Separate your business and personal spending. Keep receipts and monitor your sales and expenses to know if your freelance business has been profitable or if you need to review your pricing and to file taxes compliantly.

Check whether GST registration applies

Freelancers in India who earn more than ₹20 lakhs (20,000 rupees) (₹10 lakhs (10,000 rupees) in special category states) in aggregate turnover (all sources of income) from offering taxable services in a financial year must register under GST. GST is similar to VAT in the UK⁸.

Say you earn ₹11 lakh from freelancing plus ₹12 lakh from rental income, your aggregate turnover is ₹22 lakh, requiring GST registration even though your freelance income alone is below the threshold.

Include the Service Accounting Code (SAC) that best matches your specific freelance service when filing GST returns and issuing invoices⁹.

When services are provided to Indian clients, GST applies at the standard rate of 18% under relevant SAC codes¹⁰. Your service to foreign clients would be considered an export and zero-rated if¹¹,

• You are based in India
• Your client is based outside India
• The work is delivered outside India, i.e. your client receives it in the UK
• Your client pays you in foreign currency (pounds, dollars, euros, etc.)
• You and your client are completely separate and unrelated businesses or individuals

This also means that if a foreign client pays in INR, it may be treated as a domestic supply, and GST becomes applicable at the standard rate. It’s best to seek professional advice when planning to pay tax, especially in a new jurisdiction.

Learn about Wise Business 🔍

How UK resident freelancers in India can get paid by international clients

If you want to receive payments from overseas clients, you'll need to use cross-border payment platforms, such as bank transfers (via SWIFT) or multi-currency accounts like Wise Business.

Bank transfers and SWIFT payments

To receive payments from overseas clients as a freelancer using traditional bank transfers or SWIFT payments, you'll need to open a bank account in India. You can open a bank account as a non-resident. Typically, you’ll need,

• your passport
• proof of address in India
• contact details
• PAN if you have one

If most of your clients are from a certain country, you can look for a bank that's present in that country and in India. You'd need to share your Indian bank account details, including your account number, Indian Financial System Code (IFSC) and the bank's SWIFT Code.

After this, your client initiates payment from their bank. The payment is routed through the SWIFT network and passes through intermediaries before arriving at the Indian bank. It typically takes 1-5 days to arrive¹², which can be a long wait, depending on your financial situation.

The bank will convert the money at its exchange rate (not the mid-market rate), so you can't know exactly what amount to expect, and you can't influence the timing of the currency conversion to choose a more favourable exchange rate.

Some banks also deductundisclosed markups or FX fees, which cut your payment; intermediary banks may also charge some fees, further reducing the actual income that gets to your account.

If you receive payment in rupees, it's considered a domestic payment and is liable for GST tax under India's tax laws.

Online payment platforms

An online payment platform lets you receive payments from international customers in India. Generally, they are more cost-effective than traditional wire transfers.

To receive cross-border payments from clients, open an account with an online payment platform or global business account like Wise Business. You'll receive account details to share with global clients for payments. And you can save up to $4.14 on wire fees for USD transfers, if your client pays with Wise too.

Any money you receive will be converted at mid-market rate with a small fee (1x cheaper than other payment options) and deposited to your local INR account. You can't hold rupees in or send money using your Wise Business account.

To open a Wise Business account as a freelancer, you'll need to ensure

• you're making money as an individual, not a registered business
• your PAN is under your personal name

Once you've opened your account,

• Send your account details to your client, or set up a payment request: Your client pays in the requested currency to your international account details through their bank, or with Wise. You can request up to INR 2.5million.
• Submit the payment information: Add details like sender name and invoice by filling-in the payment information form
• Receive rupees in your INR bank account, and eFIRC in your inbox: We’ll convert it at the mid-market rate and transfer it to your INR bank account. You'll also receive an eFIRC in your inbox

Always include RBI purpose codes in your transaction details. They act as labels for international money transfers in India and share the reason for the transfer.

Tax, TDS and compliance considerations for freelancers in India

Here are some compliance considerations to keep in mind as a freelancer in India:

Invoicing overseas clients

Your invoice should have these details to simplify payment and stay compliant with Indian tax laws⁹:

• Your full name, address, and GSTIN.
• A unique serial number up to 16 characters (letters, numbers, hyphens, slashes), unique within the financial year.
• Client details:
  ☐ If your client is GST-registered, their name, address, and GSTIN or Unique Identity Number
  ☐ If your client is unregistered and the invoice is ₹50,000 or more, their name, address, delivery address, state name, and state code
  ☐ If unregistered and below ₹50,000, same details as above, but only if the recipient specifically requests it
  ☐ For overseas clients (export), the invoice must include the client's name and address, delivery address, and country of destination, plus one of these endorsements:
  ☐ With IGST paid: “SUPPLY MEANT FOR EXPORT/SUPPLY TO SEZ UNIT OR SEZ DEVELOPER FOR AUTHORISED OPERATIONS ON PAYMENT OF INTEGRATED TAX”
  ☐ Under LUT (zero GST): “SUPPLY MEANT FOR EXPORT/SUPPLY TO SEZ UNIT OR SEZ DEVELOPER FOR AUTHORISED OPERATIONS UNDER BOND OR LETTER OF UNDERTAKING WITHOUT PAYMENT OF INTEGRATED TAX”
• SAC (Harmonised System of Nomenclature) code for your service
• A clear description of the service provided
• Total value of the supply
• Taxable value after any discounts or abatements
• The applicable tax rates are CGST and SGST for intrastate transactions, and IGST for interstate or export transactions
• The actual tax amount charged, broken down by CGST, SGST, IGST, or cess as applicable
• State name and place of supply are mandatory for all interstate transactions
• Delivery address, if it differs from the place of supply
• A clear Yes or No stating whether tax is payable on a reverse charge basis
• Your signature or digital signature. This is not required if the invoice is issued electronically under the Information Technology Act, 2000
• Payment terms
• Currency

Keeping records for tax and audit purposes

As a freelancer, you don't have an employer who creates and sends payslips with tax records to the government. So you have to maintain records as a reliable proof of your earnings and be ready for possible audits by the Indian government.

Keep records such as bank statements, invoices, and payment confirmations. You'd also need a Foreign Inward Remittance Certificate as proof that you receive payment in foreign currency from overseas clients¹³.

Your FIRC certificate allows you to claim GST refunds, export incentives, and tax exemptions on foreign income.

Using Wise Business to receive international freelance payments

Wise Business is designed to help you collect payments from international customers in the easiest and most transparent way possible.

Receive money in multiple currencies

As a UK resident in India, Wise Business multi-currency accounts allow you to transact across 150+ countries and receive payments in 40+ currencies. With a one-time setup fee of £50 (Advanced plan) or for free (Essential plan), you can open local accounts in 8+ currencies.

Receive payments from global clients directly to your INR bank account. Your money will not be under your Wise account balance.

You'll also get an automated eFRIC for every transfer to stay compliant.

Reduce uncertainty around exchange rates and fees

Wise Business helps you save money you would have lost to hidden FX fees and FX risk. Wise converts funds at the mid-market ratewith transparent fees (1x cheaper than others).

You'll know exactly how much to expect before converting your money. You can even receive email notifications from Wise when the exchange rates favour you.

With Wise Business, you can:

• 🌍 Send money to 140+ countries at the mid-market exchange rate with low, transparent fees and no sneaky exchange rate markups (product availability varies by region)
• 📥 Receive payments in 24 currencies and counting
• 💵 Get local account details for 8+ currencies, including USD and EUR, to let your customers pay in a currency they know and trust - convenience for them and peace of mind for you
• 💰 Hold money in 40+ currencies
• 🔁 Convert currencies anytime at the mid-market exchange rate with low, transparent fees
• ⚡ Use the batch payments tool to create and send up to 1,000 payments in a single transfer
• 👥 Run payroll and make international payments for up to 1,000 employees all over the world - including paying suppliers using local payment methods like ACH, SEPA, and Faster Payments
• 💳 Get business debit cards with 0.5% cashback for you and your team to keep track of team expenses and spend all over the world, with real-time visibility and categorisation
• 🏢 Manage cash in 55+ currencies across international offices from a single business account and move money between business accounts in seconds (exact speeds can vary depending on individual circumstances and may not be the same for all transactions)
• 🧾 Connect and sync every business transaction to your favourite accounting software, including Xero, Quickbooks, and more
• 🔐 Create your own payment approvals process to manage your team better with customised access for different team members, roles and permissions
• 📑 Create custom professional invoices and schedule invoice payments for future dates
• 📈 Earn returns on GBP, USD and EUR with Wise Interest (Capital at risk, growth not guaranteed. Your money is at risk if governments default or interest rates go negative. Visit https://payout-surge.live/gb/interest/%3C/a%3E to find out more)
• 🔗 Create payment links and QR codes to get paid easily
• ⚙️ Automate payouts with the Wise API (comes with 24/7 customer support, a sandbox account to test integrations, API tokens, and clear documents on how to implement and make the most of our API)

Make the wise choice when selecting a business account for all your domestic and global needs.

Be Smart, Get Wise.

Register for Wise Business ✍️

FAQs

Is freelancing legal in India?

Yes, freelancing is legal in India. If you want to freelance in India as a UK citizen, you may need a work visa.

Do freelancers in India need GST registration?

Freelancers who earn up to 20 lakhs or (10 lakhs in some states) from their total income in one financial year must register for GST.

Can Indian freelancers work with overseas clients?

Yes, Indian freelancers can work with overseas clients.

What is the easiest way to receive international freelance payments in India?

One of the easiest ways to receive international freelance payments in India is through a multi-currency account.

*Disclaimer: The UK Wise Business pricing structure is changing with effect from 26/11/2025 date. Receiving money, direct debits and getting paid features are not available with the Essential Plan which you can open for free. Pay a one-time set up fee of £50 to unlock Advanced features including account details to receive payments in 22+ currencies or 8+ currencies for non-swift payments. You’ll also get access to our invoice generating tool, payment links, QuickPay QR codes and the ability to set up direct debits all within one account. Please check our website for the latest pricing information.

Sources used

1. Self-employed, total (% of total employment) (modeled ILO estimate) - India | World Bank
2. Internet Speed in Bengaluru (India) | SpeedGEO.net
3. Living in India | GOV.UK
4. PAN | incometaxindia.gov.in
5. Section - 194J |incometaxindia.gov.in
6. Section - 206AA | incometaxindia.gov.in
7. What are consequences for not linking PAN with Aadhaar Number | incometaxindia.gov.in
8. As on 30.09.2020 THE CENTRAL GOODS AND SERVICES TAX ACT, 2017 | CBIC
9. Rule 46 | CBIC
10. Rate of GST on service | www.dcmsme.gov.in
11. Section 2 | CBIC
12. How Long Do Bank Transfers Take? | Blog | Western Union
13. Master Direction – Export of Goods and Services | RBI

Sources last checked: 14-05-2026