OIDAR stands for online information and database access or retrieval services. These are services delivered over the internet, such as cloud software, streaming, e-books and online advertising, and they have special GST rules when supplied from outside India.
Section 2(17) of the IGST Act defines OIDAR services as services whose delivery is mediated by information technology over the internet or an electronic network. The definition gives examples.
For OIDAR services supplied from outside India, the place of supply is the location of the recipient. If the recipient is a registered business, it pays IGST under reverse charge. If the recipient is a non-taxable online recipient, the foreign supplier must register and pay IGST itself.
Foreign OIDAR suppliers register through Form GST REG-10 under a simplified scheme and file GSTR-5A. They can appoint a representative in India to pay tax on their behalf.
If you are registered and pay for foreign software or ad services, check the invoice. Where no Indian GST is charged, the liability usually falls on you under reverse charge, payable in cash, with credit available in the same return if eligible. Mismatches between foreign remittances and reverse charge reported are a frequent reason for notices.
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This guide explains the law in general terms as of October 2026. Time limits and requirements can depend on the facts of your case and on the notice you received.
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