Now Pay ITR via Credit Card!

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July 31st is the last date to file income tax returns. If you haven’t filed your ITR yet, do it now. Else, you might face problems later. If you haven’t filed it so far because you have a large tax liability, there’s a solution for that. It’s called a credit card.

With the help of a credit card, you can not only pay your income tax but also earn reward points. These reward points can help you save up to 16%. This means there are some credit cards that offer reward points when you use them to pay your income tax.

There are two main factors to this. First, how to pay income tax using a credit card? Second, which credit cards can earn you reward points when paying income tax?

How to pay income tax using a credit card?

1. Go to the Income Tax Department’s website at [www.incometax.gov.in]
2. Click on the e-Pay Tax tab on the left side.
3.  A new webpage will open. Enter details such as your PAN number and phone number.
4. Click on ‘Continue’.
5. An OTP will be sent to your phone. Enter the OTP and click on ‘Continue’ again.
6. A new webpage will open showing four different options. Select the ‘Income Tax’ button and click on ‘Proceed’.
7. A new webpage will open where you select the assessment year and the type of payment, then click on ‘Continue’.
8. A new webpage will open where you will see sections like columns-tax, surcharge, cess, interest. Suppose you enter ₹1 in the columns-tax section… The total amount will show ₹1… Click on ‘Continue’.
9. A new webpage will open with various payment options like net banking, debit card, payment gateway including UPI and Credit Card. Choose the ‘Payment Gateway Including UPI and Credit Card’ option. You will then see a list of credit card options from different banks.
10. If your bank is listed, select it; otherwise, choose the ‘Other Bank’ option. After selecting the bank, a new webpage will open where you will see a ‘Pay Now’ option under Tax Breakup Details. Click on it and you will see a ‘Submit’ option. Enter your credit card details and make the payment.

So, this is how you can pay your income tax using a credit card.

Cards that offer reward points for ITR payment

Now let’s talk about the credit cards that offer reward points when you make payments. There are a few credit cards. For example, HDFC has two cards – HDFC BizBlack and HDFC BizPower Credit Cards. These cards offer rewards for tax payments.

Similarly, Standard Chartered has two credit cards – Standard Chartered Ultimate and Standard Chartered Smart – which also offer reward points for tax payments. With these cards, you can save up to 16%. This means you can earn reward points equivalent to the percentage of the amount spent.

These reward points can be redeemed with partnered merchants. For example, if a hotel group is a partnered merchant, you can use your reward points to book a room there.

Additionally, there are other credit cards that offer milestone benefits for income tax payments. For example, SBI Vistara Card and IDFC Vistara Card. With these milestone benefits, you can earn complimentary flight tickets.