You do not need special software to manage the EDF, but you do need your accounting system to hold a few extra details on every export invoice. Add fields for EDF month, client country, SAC code, purpose code, FIRA reference and EDPMS status, then filter by invoice date each month to produce the list that goes into Part 2B. Zoho Books, Tally and most other tools can do this with custom fields and saved reports.
Key takeaways
- The EDF is built from your invoice list, so the cleaner your invoices, the quicker the form.
- Track a handful of extra fields per export invoice: country, SAC, contract reference, EDF month, FIRA reference and closure status.
- Most accounting tools, including Zoho Books, support custom fields and filtered reports; use them rather than a separate spreadsheet if you can.
- Payment records should link to invoices so you can send your bank matching instructions quickly.
- Your software holds the data; the bank's EDPMS record is the one that counts, so reconcile the two.
What the EDF needs from your books
Under the FEMA (Export and Import of Goods and Services) Regulations, 2026, one EDF per month lists every service export invoice from that month, one row each. Part 2B asks for:
| EDF column | Where it lives in your books |
|---|---|
| Sr. no. | Generated when you prepare the form |
| Service recipient name and address | Customer record |
| Country | Customer record (billing address country) |
| Invoice no. and date | Invoice |
| Currency and amount | Invoice (foreign currency) |
| Net realisable value | Invoice amount less known deductions; often a custom field |
| Description of services | Line item description |
| SAC code | Item or service master |
| Contract no. and date | Custom field or reference field |
| Remarks | Custom field |
Part 1 needs business-level details (AD code, IEC, GSTIN, PAN, bank name) that rarely change, plus the month's total value in rupees for field 1.22.
Setting up Zoho Books (or similar)
The exact menus differ between products and change over time, so we describe the setup in general terms. In Zoho Books and comparable tools:
- Customer records. Make sure every foreign customer has a full billing address including country, and the right currency set.
- Items or services. Create service items with the correct SAC code, so each invoice line carries it automatically.
- Custom fields on invoices. Add fields such as: - Contract / PO reference - EDF month (e.g. 2026-11) - Expected purpose code - Remarks for EDF - EDPMS status (Open / Part realised / Closed)
- Custom fields on payments. Add FIRA reference and date, and the purpose code shown on the FIRA.
- Saved report. Build an invoice report filtered by date range and by foreign customers (or by currency not equal to INR), showing all the EDF columns. Save it as "EDF monthly list".
If your tool cannot add fields to payments, record FIRA details in the payment's reference or notes field in a consistent format, such as "FIRA 0423117 / P0802".
Monthly routine: from books to form
Day 1–5 of the month:
- Run the "EDF monthly list" report for the previous month's invoice dates.
- Check for missing SAC codes, countries or contract references.
- Exclude anything that is not a service export (domestic invoices, pre-October 2026 items).
- Export to CSV or Excel.
Day 5–10:
- Enter the rows in the EDF form generator, or your own template.
- Check the rupee total for field 1.22 against your books.
- Sign and submit through your bank's channel; save the acknowledgement.
- Update each invoice's EDF month field and attach the acknowledgement reference.
Ongoing:
- When payments arrive, record them against the right invoice and add FIRA details.
- Update EDPMS status as your bank closes entries.
- Every quarter, list invoices up to ₹10 lakh that are fully paid and prepare the realisation declaration with our realisation declaration tool.
A worked example
Banyan Ledger Services Pvt Ltd, a Coimbatore accounting outsourcing firm, uses cloud accounting software for 14 foreign clients. Its November 2026 report returns 19 export invoices totalling about ₹46,80,000.
The report flags two problems: one invoice has no SAC code (a new service item was set up without it), and one customer record lacks a country. Banyan fixes both in the software, reruns the report and exports the 19 rows. It prepares the EDF on 6 December, submits on 8 December and records the bank's acknowledgement number on all 19 invoices.
As payments arrive in December and January, the accounts executive records each FIRA reference on the payment. By 31 March 2027, 16 invoices show "Closed", two "Open" and one "Part realised". Those three go on the follow-up list, each with its nine-month date.
Reconciling with the bank
Your software tells you what you think is open. Your bank's EDPMS record is what RBI sees. Reconcile them periodically:
- Ask your bank for a list of open EDPMS entries against your IEC or account, if it can provide one.
- Compare it with invoices showing "Open" or "Part realised" in your books.
- Investigate differences: a payment you recorded but the bank never matched, or an invoice the bank closed that your books still show as open.
Our article on year-end export reconciliation walks through the process.
Tally and spreadsheets
If you use Tally, the same principles apply: SAC codes on service ledgers or stock items, foreign currency on party ledgers, and extra details captured through narration or user-defined fields. Our article on recording EDF details in Tally covers that setup.
Very small exporters with three or four invoices a month can run the whole thing from a spreadsheet: one row per invoice with the EDF columns plus FIRA reference, EDF month and status. The risk is that the spreadsheet drifts away from the books. If you go that way, reconcile monthly.
This is general information, not legal or tax advice, and software features vary by product and plan.
Frequently asked questions
Can Zoho Books generate the EDF directly?
Accounting software is not usually set up to produce the RBI EDF format itself. What it can do is hold the data and produce a filtered invoice list, which you then put into the form, for example with our free EDF form generator.
Which custom fields should I add for EDF tracking?
Contract or PO reference, EDF month, expected purpose code, remarks, and EDPMS status on invoices; FIRA reference, date and purpose code on payments. SAC codes are best held on the service items themselves.
How do I filter export invoices in my accounting software?
Filter by invoice date range for the month, and by customer country outside India or currency other than INR. Save the report so you can rerun it each month.
Do I need to record the EDF acknowledgement in my books?
It is very helpful. Recording the acknowledgement reference and EDF month on each invoice lets you prove when each invoice was declared and makes reconciliation easier.
What if my books show an invoice closed but the bank shows it open?
Check whether the bank received matching instructions and the right evidence. Send the FIRA and invoice details, and ask the bank to update the EDPMS entry.
Bottom line
The EDF is only as good as the invoice data behind it. Add a few fields to your accounting software, save one report, and the monthly form takes minutes. Feed that report into the free EDF form generator and keep closure status current as payments arrive.
This guide is general information for Indian businesses, not legal or tax advice. Rules and bank processes change — confirm specifics with your AD bank or chartered accountant.