How to Accept Payments as a Seller in India

As of November 2023, new sellers located in India are no longer able to open shops on Etsy to sell either domestically or internationally. India sellers can no longer enroll in India Payments.

If you already have a shop and are enrolled in India Payments, you can continue selling as normal.

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How to determine which countries you sell to

Along with what payment provider you’re enrolled with, your shipping settings determine which countries you sell to. If you list digital items, these can be purchased by buyers in any region. Learn more about your shipping destination settings.

How to accept payments from buyers outside India

You can use your own PayPal account to accept payments from buyers outside of India (also known as "standalone PayPal"), or you can enroll in Etsy Payments using a Payoneer Payment Account. Learn more about using Payoneer to accept Etsy Payments.

How does standalone PayPal work?

With standalone PayPal, you add the email address associated with your PayPal account to your Etsy Payment settings. When you make a sale, the funds are deposited directly into your PayPal account. Etsy doesn’t manage these funds or have any access to them. This means we can’t assist you with Purchase Protection.

Any fees you incur on Etsy are added to your Payment account and a statement will be sent to you each month. You’ll need to pay your billing statement separately. Learn more about paying for your fees.

If standalone PayPal wasn’t available when you first opened your Etsy account, you won’t be able to accept that Payment method. We recommend you enroll in Etsy Payments using Payoneer.

How does accepting Etsy Payments work?

You can accept Etsy Payments using a Payoneer Payment Account if you already have an open shop, accept standalone PayPal for international sales, and haven’t yet signed up for India Payments for domestic sales.

Standalone PayPal will be removed as an option from your shop, but buyers outside India can continue to pay via PayPal in countries where PayPal operates. The funds from any PayPal sales will go to your Payment account on Etsy instead of directly to your PayPal account.

You must have a valid and regular GSTIN on file. You can review the instructions for receiving a GSTIN on the Indian Government site. We know receiving a GSTIN can be complicated, so we’ve partnered with Clear Tax to assist sellers with registering for a GSTIN. Learn how tax reporting works for sellers in India.

The payment processing fee on Etsy for Etsy Payments in India is 5% + 25 INR.

Shops enrolled in Etsy Payments cannot accept domestic sales at this time. We’re working on more options for India sellers.

  1. Go to Shop Manager.
  2. Choose Finances.
  3. Open Payment settings.
  4. Select Enroll now under Etsy Payments.
  5. Add a GSTIN under your Payment settings.

If nothing happens when you select Enroll now, turn off any ad or pop-up blocker in your browser and try again.

You’ll be prompted to sign in to a Payoneer Payment Account or create a Payoneer Payment Account if you don’t have one yet.

If you need to sign up for a new Payoneer Payment Account, you’ll be asked to enter your personal details to verify your identity and your financial information to receive your sale funds.

How do you deposit my funds?

Etsy only deposits funds in USD to your Payoneer Payment Account each Monday at 11:30am ET (9pm in India). Etsy is not able to deposit your funds in another currency. However, Payoneer supports currency conversion for withdrawals in USD, EUR, GBP, and INR for India. Note that they may charge a fee for this service. Learn more about Payoneer’s withdrawals and fees.

Once funds from Etsy appear in your Payoneer Payment Account, the money will be sent to your bank account automatically in INR. You won’t need to schedule deposits in your Payoneer Payment Account.

If you have further questions, please reach out to Payoneer online through the Support Center or find the phone number specific to your country/region.

How to accept payments from buyers in India

At this time, new sellers from India are unable to onboard. 

India buyers must have their currency set to INR to be able to check out from your shop. If a buyer tells you they don’t see the option to check out, let them know to check their currency. You can share our articles for changing your browsing currency and paying for orders in India.

When to expect your funds from India Payments sales

The Available for deposit amount from your India Payments sales is deposited to your bank account on Mondays. If Monday is a bank holiday, the deposit will be sent the next business day. It isn't possible to change the deposit schedule at this time.

If a reserve is placed on your seller account, a percentage of funds from each new sale of a physical item is set aside until the order is in transit with valid tracking or for 45 days if valid tracking is not provided. The Payment account reserve ends after 90 days, unless the shop receives an Etsy policy violation during the reserve period.

Learn more about Payment account reserves.

Payment processing fees for India Payments sales

For India Payments sales, there is an India Payments payment processing fee of 3% + 10 INR based on the total amount of the order: Item cost + shipping + tax, minus any discounts. This is in addition to the 6.5% transaction fee that applies to the cost of the entire order.

Etsy also charges fees when you list and renew an item and if you use optional, additional services. Learn more about fees on Etsy.

When you process an order from a buyer outside of India, PayPal collects the payment processing fee, not Etsy. Read about PayPal fees.

Can I unenroll from India Payments?

It isn’t possible to unenroll from India Payments.

If you decide that selling to buyers in India isn’t right for your business, there are some actions you can take within your shop to alert buyers that you don’t ship to India. For instance, you can add a shop announcement or update specific listings to indicate you only ship internationally. If a buyer in India still purchases from you, you can promptly cancel and refund the order and inform the buyer that you aren’t able to fulfill their order at this time.

How to choose individual or a business seller when you enroll

During the enrollment process, choose whether you’re an individual or a business seller. Take care to select the correct option. If your legal name doesn’t match the name on your bank account your enrollment could take longer or may fail. 

Enroll as an individual if you don’t have a business registered as a legal entity within your local jurisdiction.

If your bank account is registered in your trade name you must enroll as a business and select Sole proprietorship under type of business. If your bank account is registered in your own name you must enroll as an individual.

Enroll as a business if it falls under one of these categories:

  • Sole proprietorship
  • Private Limited
  • Public Limited
  • Partnership
  • Trust
  • Limited Liability Partnership (LLP)
  • Non-governmental organization (NGO)
  • Hindu Undivided Family (HUF)

Depending on the type of business you select, we ask you to provide additional information so we can verify your identity. Identity verification is necessary for us to deposit funds from your sales into your bank account.

  • Country of residence
  • First and last name
  • Date of birth
  • Permanent Account Number (PAN) Learn more about PAN and where to find it.
  • Nationality
  • Taxpayer address
  • Phone number
  • Valid and regular Goods and Services Tax Identification Number (GSTIN),
    • You must add your GSTIN so that Etsy can comply with local laws. Individual sellers may not be asked to add a GSTIN while onboarding to India Payments, but you can add it in your Legal and tax information on an open shop. Etsy will periodically check your shop for a valid and regular GSTIN. If you don’t have one on file, Etsy will suspend your shop and withhold any deposits until you add one.
  • Bank account info
  • IFSC code
  • Account Number

  • Country
  • Type of Business
  • Name of legal entity (business name)
  • Address
  • Phone number
  • Valid and regular Goods and Services Tax Identification Number (GSTIN).
  • Primary shop owner information
    • First and last name
    • Address
    • Phone number
    • Date of birth
    • Permanent Account Number (PAN). This must be your personal PAN number and not your business PAN. Learn more about PAN and where to find it.
    • Additional beneficial owner (optional)
  • Bank account info
    • IFSC code
    • Account Number

How to view and pay your account balance

You can review your balance from sales and fees in your Etsy Payment account.

When you have a balance of Etsy fees not paid for by your sales, you receive an Etsy billing statement via email on the 1st of the month. You can pay your amount due between the 1st and 15th of the month.

You can pay your account balance using a credit/debit card. If you accept standalone PayPal or India Payments you can also use your UPI. To update your payment method, go to the Billing section of your Payment settings.

Learn more about paying your Etsy shop balance.

When paying with UPI, keep in mind that there are daily limits to how much money you can send using UPI. Each bank has their own limit but typically the max limit per day is ₹1,00,000. If you exceed this limit, your payment will fail. We recommend making multiple smaller payments instead. View a list of banks and their UPI limits.

 

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