India GST for Digital Services: What Spiritual Practitioners Must Know

India has 1.4 billion people and a large English-speaking population that buys astrology readings, tarot sessions, and spiritual courses online. If any of those buyers are your customers, India's GST rules apply to you - whether you're based in Mumbai or Miami.

This article covers the rate, the registration mechanism, and the practical options for foreign practitioners. It is not tax advice. Consult a qualified tax professional for your specific situation.

The Rate: 18% on Digital Services

India applies an 18% GST rate to digital and online services, including:

- Astrology readings and reports
- Tarot consultations
- Spiritual coaching sessions
- Online courses and pre-recorded content
- Downloadable templates, guides, and PDF products
- Membership and subscription access

This rate has been stable. Verify current rates with a tax professional before filing, as GST council revisions do occur.

The Threshold: Zero for Foreign B2C Sellers

This is the part most practitioners miss. Domestic Indian businesses have a GST registration threshold of INR 20 lakh (approximately $2,400 USD). Foreign sellers get no equivalent relief.

For non-resident or foreign suppliers of B2C digital services to Indian consumers: registration is required from the very first transaction. No minimum revenue. No grace period. First sale triggers the obligation.

The exception: if your Indian buyer is a GST-registered business (B2B), they self-account for GST under reverse charge. You don't collect or remit. The zero-threshold rule applies only to sales to unregistered Indian consumers.

Registration: The OIDAR Scheme

Foreign digital service providers register under India's OIDAR (Online Information Database Access and Retrieval) GST scheme. OIDAR explicitly covers services delivered over the internet with minimal human intervention - which includes most digital spiritual products.

You don't need a physical presence in India. You register directly with the GST authority or appoint a local tax representative to act on your behalf. Filing frequency for registered non-resident OIDAR providers is quarterly.

The Equalization Levy: A Parallel Tax

India also has an Equalization Levy - a 2% tax on e-commerce operators with Indian turnover above INR 2 crore (approximately $240,000 USD). For most solo practitioners, this threshold is far above their Indian revenue, and only GST applies.

[VERIFY: Equalization Levy rates and applicability may have changed in the Union Budget 2026. Check taxsummaries.pwc.com/india/corporate/other-taxes for current status before assuming the 2% rate.]

Payment Processors and Who Remits the Tax

Not all payment processors handle your Indian GST obligation for you.

With NowPayments, you collect the crypto equivalent of your service fee plus GST, and you handle remittance. With DodoPayments acting as Merchant of Record, their MoR arrangement covers GST collection and remittance to Indian authorities - it becomes their compliance problem, not yours.

Fee math for a $150 reading via DodoPayments: 4% x $150 = $6.00 + $0.40 = $6.40 total fee (4.3% effective). The MoR arrangement adds compliance value that partially offsets that fee percentage.

B2C vs B2B: The Distinction That Changes Everything

If an Indian buyer provides their GST registration number at checkout, you are dealing with a GST-registered business. Reverse charge applies: the buyer self-accounts for the 18% GST. You invoice without GST. You have no remittance obligation on that transaction.

For most spiritual practitioners selling readings and courses to individual consumers, the majority of Indian buyers are unregistered (B2C). The reverse charge exception is useful but not the default case.

Practical Decision: Register or Use MoR?

For practitioners with modest India sales, the Merchant of Record route is often simpler. DodoPayments or Gumroad (full MoR since January 2025) handle tax collection and remittance across markets including India. You sell, they comply.

If you're generating significant Indian revenue - or want full control over the compliance process - direct OIDAR registration is the path. Quarterly filings, 18% on B2C sales, zero threshold.

Related Resources

- EU VAT rules for non-EU sellers: EU VAT OSS
- Australia GST threshold and rules: Australia GST digital services
- Canada GST/HST overview: Canada GST/HST digital services
- Accepting international payments: accept international payments
- International digital services tax overview: non-US tax digital services

FAQ

I made one sale to an Indian customer for $40. Do I need to register for OIDAR?

Legally, yes - the zero-threshold rule means even a single B2C sale creates an obligation. In practice, India's tax authority focuses enforcement on businesses with ongoing Indian sales rather than isolated transactions. If your Indian sales are growing, register before the volume makes back-filing complicated.

Does the 18% GST come on top of my listed price, or is it included?

For B2C sales to Indian consumers, GST is typically collected on top of your listed price. If you list a reading at $100, you collect $118 from Indian buyers and remit $18. Alternatively, you can build it into your pricing and treat the listed price as GST-inclusive - just be consistent.

Can I just sell through a marketplace and avoid the obligation?

If you sell through a marketplace that operates as a deemed supplier under Indian GST rules, the marketplace handles GST collection and remittance - not you. DodoPayments (full MoR) operates this way. Gumroad (MoR since January 2025) also handles this. Selling through these platforms removes your direct OIDAR registration obligation for that sales channel.

What's the difference between OIDAR and the regular GST registration?

OIDAR is a simplified non-resident registration specifically for foreign digital service providers. It covers online-delivered services without requiring an Indian physical presence or a full GST registration number used by domestic businesses. The OIDAR scheme has simplified filing specifically designed for non-resident sellers.

Are live one-on-one readings covered by OIDAR?

OIDAR covers services delivered over the internet. A live video reading involves significant human intervention in real time. Some tax advisors argue this falls outside the OIDAR automated-service definition. The GST treatment of live interactive sessions is less settled than for pre-recorded content and downloads. Consult a tax professional for this specific scenario.

This article is for informational purposes only and does not constitute tax advice. Consult a qualified tax professional for your specific situation.