Hide your secret files INSIDE photos, videos or other files with OmniHide PRO.
You may have noticed that Paypal now asks you how you obtained the money when you try withdrawing money from Paypal to an Indian Bank Account. This is because after recent security threats, the Govt of India and RBI has made rules and checks on cross-border transfer of money more stringent.
The sources stated on PayPal are known as “Purpose Codes”. The purpose code is used by your bank to furnish information that may be required by the Reserve Bank of India (RBI) to identify the nature of the cross-border transaction. Here is the list of Purpose Codes that PayPal offers to Indian users:
|Code||Category||Description||Who should be using it|
|P0104||Export of Goods||Value of export bills negotiated / purchased/discounted etc. (covered under GR/PP/SOFTEX/EC copy of shipping bills etc.)||eBay merchants, jewelers, sellers of collectibles and other such products through eBay and your own websites / catalogues globally.Please note: Cross border shipment of goods and services for which you file GR / PP / SOFTEX / EC forms only should be processed with this code.If you have any questions, please check with your bank to help you with the same.|
|P0301||Travel , Hospitality and Tours||Purchases towards travel (Includes purchases of foreign TCs, currency notes etc over the counter, by hotels, hospitals, Emporiums, Educational institutions etc. as well as amount received by TT/SWIFT transfers or debit to Non-Resident account).||Online Travel Agents, Airlines, Railways, Buses, Taxicab Services, Hotels, B&Bs and other travel / tourism related sales through PayPal|
|P0801P0802P0803||Information Technology||Computer Information Services. Hardware / Software / Data Processing consultancy/implementation||If you are an independent / freelance coder / hardware consultant or data processing service provider, or a small business providing such services for websites globally, please use these codes.For all IT related consulting services where you know you do not need to file a SOFTEX form, please use the appropriate code. 801 for hardware consulting, 802 for software consulting and 803 for data management and processing consulting services|
|P0805P0806||Content and Journalism||News Agency and Subscription services||If you are a freelance journalist / blogger / news aggregator please use this purpose code for withdrawals.If you are a newspaper or an online news aggregator for websites overseas, please use the appropriate code from these two. 805 if you a freelance journalist, and 806 if you are a newspaper / aggregator|
|P0902||Licensing of creative works||Receipts for use, through licensing arrangements, of produced originals or prototypes (such as manuscripts and films)||Artists, designers, other creative service providers where the principal revenue mode is license fees, please use this code.If you produce creative works which you license out for entities overseas, licensing revenues may be classified under this purpose code|
|P1004||Other services||Legal Services||If you are providing outsourced law related services|
|P1005||Accounting, auditing, book keeping and tax consulting services||For accounting consulting and accounting services|
|P1006||Business and management consultancy and public relations services||Management / brand consulting and management services can be exported with this purpose code|
|P1007||Advertising, trade fair, market research and public opinion polling services||Marketing/ brand consulting / logo design / event management services can be exported with this purpose code|
|P1008||Research & Development services||If you are an outsourced research and development services provider based in India, receipts can be inwarded through this purpose code|
|P1009||Architectural, engineering and other technical services||Any other technical services such as eTutoring, education and other services you render over the internet via web conferencing tools or similar channels, please use this code for your withdrawals|
When you initiate a withdrawal, you will now be required to declare a purpose code when you are completing the bank withdrawal request.
Please note that according to Indian law, based on the value of withdrawal and the purpose code in your declaration, your bank may require you to provide documentary proofs such as invoices / goods receipt forms as applicable to reconcile with your withdrawal.