The value of supply of services in relation to the purchase or sale of foreign currency, including money changing, shall be determined by the supplier of services in any of the two methods , namely:-
(a) for a currency, when exchanged from, or to, Indian Rupees, the value shall be equal to the difference in the buying rate or the selling rate, as the case may be, and the Reserve Bank of India reference rate for that currency at that time, multiplied by the total units of currency:
Provided that in case where the Reserve Bank of India reference rate for a currency is not available, the value shall be one per cent. of the gross amount of Indian Rupees provided or received by the person changing the money:
For E:G:- If US $ 1000 are sold by the customer @63 US$ and the RBI reference rate for US $ is 63.75 than the taxable value shall be $1000*.75=750/- and GST will be levied 18 % on Rs. 750.
Provided further that in case where neither of the currencies exchanged is Indian Rupees, the value shall be equal to one per cent. of the lesser of the two amounts the person changing the money would have received by converting any of the two currencies into Indian Rupee on that day at the reference rate provided by the Reserve Bank of India.
(b) at the option of the supplier of services, the value in relation to the supply of foreign currency, including money changing, shall be deemed to be-
(i) 1% of the gross amount of currency exchanged for an amount up to 1 lakh rupees, subject to a minimum amount of 250/-;
(ii) 1000 and 1/2% of the gross amount of currency exchanged for an amount exceeding 1 lakh rupees and up to 10 lakh rupees; and
(iii) 5500 and 1/10% of the gross amount of currency exchanged for an amount exceeding 10 lakh rupees, subject to a maximum amount of 60,000.
Provided also that a person supplying the services may exercise the option to ascertain the value in terms of clause (b) for a financial year and such option shall not be withdrawn during the remaining part of that financial year.