Credit cards make tax filing faster and reduce the use of cash. Not only this, some exemption is also available for paying tax with credit card. Fake currency is also prevented from entering the banking system by paying tax through credit cards.
There are many ways to pay tax money. Deposit cash in bank or apply by debit or credit card sitting at home. If you have a mobile app of the bank, then you can pay tax money from that too. Credit card is considered a good method of depositing tax because it prevents cash transactions. However, the wrong effect of this is that people prefer more cash instead of credit cards because cash is easily available with the people. There is another advantage of paying tax with the card. Due to this, there is no trend of fake currency.Also Read: New Wage Code: If you work more than 30 minutes then you will get overtime, rules will change from October 1
The Government of India encourages people to pay taxes through credit cards. This results in faster work and the usage of cache is reduced. Not only this, some exemption is also available for paying tax with credit card. Fake currency is also prevented from entering the banking system by paying tax through credit cards.Also Read: Know New Rules related to air bag and Air bag mandatory for every car check here all details
Let’s know the benefits of paying tax with credit card-
- Facility of online challan filling is available on payment of tax with credit card. Along with this, the acknowledgment of fund transfer is also available.
- Online Challan can be downloaded for any further use
- If you do cashless transactions with credit cards, then you can get a discount of 1 to 2% on VAT.
- If you pay tax by credit card then you can avail fuel service facility without any transaction charges.
- If money is paid in cashless mode up to 50% of the tax, then a special rebate is available from the government.
- To encourage tax payment through credit cards, the government has reduced the Merchant Discount Rate (MDR). These charges are levied by the bank when a taxpayer pays tax through a credit card.
- For online payment, the government has created an integrated payment gateway named ‘PayGov India’. Taxpayers can pay credit card money through this gateway
How to pay tax with credit card
- First login to NDSL-TIN website
- You will be asked to select the Challan Application Number
- You have to enter PAN and TAN which will be verified online
- Once the verification is done, fill the challan details. Give the details of the bank from which the payment has been made. Give details of the account head in which the payment was made. Also write the name of PAN or TAN and the address entered in it.
- As soon as you enter this data, you will see a confirmation screen. After confirming the details, you will be redirected to the internet banking platform of the bank.
- You can pay your tax after you are logged in to Internet Banking
After the payment is completed, the counter foil of the challan will be received. In this, the Challan Identification Number or CIN will be written. It will contain the details of the transaction amount and the bank from which the tax has been paid. Challan counter foil is like a proof that proves that you have paid the tax.Also Read: SBI Global Ed Vantage overseas education loan all you need to know
