The Ministry of Finance doesn’t delay the tax due dates for you to file your taxes or claim returns. Considering the country is making headway in administrative frameworks, it’s evident that cashless transactions are on the rise. Although tax payment is only once a year, paying it through your credit card gives a bonus of earning more rewards. Paying TDS using a credit card is now possible and not only do you earn more rewards, but the processing time is also less when it’s a non-cash transaction. As a result, the overall accounting process is much simpler and more precise. For the individual taxpayer, assessing tax payments, and financial history also becomes easier.
Payment of Tax
Tax in India is payable in advance. If your tax payable exceeds INR 10,000 in a year, you can pay it in installments every quarter on or before June 15th, September 15th, or December 15th for the first three main quarters, and on or before March 15th – the last quarter of the financial year. The payment of TDS using online mode using credit cards is very simple and convenient for everyone. For non-cash transactions using credit cards come with various benefits discussed here –
– When you make a tax payment online using a credit card, you can also file challan easily, and which can get you remittances easily and instantly.
– You can also download your challan which comes with a corporate identity number that you can use later for any financial or investment purposes.
– Individuals may receive rebates in taxes if they pay a portion of their utility bills online using credit cards.
– For merchants, it’s a better deal as they get an additional tax rebate if more than half of their transactions happen using cashless means.
– Using a credit card for tax payments gives transparency to both the customer and the government.
How to Pay Tax Using Credit Card
– Log in to the official tin-nsdl website to pay your tax
– You can sign in as a guest user or create your account
– The website is user-friendly, so you have to go to ‘e-payment’ and pay using the online taxes tab
– Under the TDS tab, select the challan number
– Verify your PAN card details and proceed to mobile number verification
– After the verification, you need to fill in details of your TDS number, income, address, applicable tax, the mode and nature of payment
– After filling in all the details, you will see a confirmation page for you to cross-check everything
– Now, you can submit it to the bank and make the payment using a credit card
– After payment processing is completed, you will get a confirmation of the online tax payment
While it seems a good option to use a credit card to pay taxes, you should consider which credit card gives you the best features. For instance, the IndusInd Platinum Visa credit cards provide comprehensive insurance benefits, along with 1.5 points rewards for every INR 150 spent. Furthermore, you also get many entertainment benefits and a fuel surcharge waiver which can help you in your annual savings by a significant margin.
