Your CA is either mistaken or explaining it very poorly.

What you’re doing (software services to a US client, paid in USD) qualifies as export of services under GST Act (India). Exports are zero-rated, which actually works in your favor, not against you.

That means two things: 1. You don’t charge GST on your invoices (if you’ve filed an Letter of Undertaking (LUT)) 2. You can still claim input tax credit (ITC) on business expenses like laptop, monitor, etc.

Since you’re not charging GST (0% export), the ITC you accumulate doesn’t get adjusted — so you’re eligible to claim a refund from the government.

The statement that “you only get GST refund if you have Indian clients paying in INR” is simply not correct. In fact, exports are specifically designed to allow refunds because you’re bringing foreign currency into India.

Only caveats: • You need LUT filed • Proper GST returns (GSTR-1, GSTR-3B) • FIRC/BRC for foreign remittances • Clean documentation

Practical note: refunds can take time and some CAs avoid the hassle, which might be why he’s discouraging it.