Now Pay GST With Your Credit Card - Facility Introduced For 10 States - Check If Your State Is There

GST Payment Through Credit Card: A Detailed Guide

If you are a GST registered taxpayer, you must pay your GST dues on time to avoid any penalties or interest. But what if you don't have enough cash in your bank account to make the payment? Or what if you want to avail some benefits such as reward points, cashback, or interest-free credit period by using your credit card?

In this blog post, we will explain how you can make GST payments through credit cards and what are the advantages and disadvantages of doing so.

What is GST payment through credit card?

GST payment through credit card is a mode of payment where you can use your credit card to pay your GST dues online. You can use any credit card that is operational for Indian usage and has a sufficient credit limit to cover the payment amount.

How to make GST payment through credit card?

To make GST payment through credit card, you need to follow these steps:

1. Visit the EnKash portal (https://www.enkash.com/) and sign up for an account. EnKash is a platform that enables you to make GST payments through credit cards and other modes of payment such as UPI, NEFT, RTGS, etc.

2. After signing up, go to the GST payment section and enter your GSTIN, email ID, and mobile number. You will receive an OTP on your registered mobile number for verification.

3. Once verified, you will see your GST liability details such as tax period, tax amount, interest, penalty, etc. You can also check your electronic cash ledger balance and input tax credit balance on the portal.

4. Next, select the credit card option as the mode of payment and enter your credit card details such as card number, expiry date, CVV, etc. You can also save your card details for future payments.

5. After entering your card details, you will be redirected to a secure payment gateway where you need to authenticate your transaction using an OTP or PIN.

6. Once the transaction is successful, you will receive a confirmation message and a challan number on your email ID and mobile number. You can also download the challan from the EnKash portal or the GST portal (https://www.gst.gov.in/).

7. The amount paid through credit card will be credited to your electronic cash ledger within 24 hours and you can use it to offset your GST liability while filing your GST returns.

What are the advantages of GST payment through credit card?

Some of the advantages of GST payment through credit card are:

• You can pay your GST dues on time even if you don't have enough cash in your bank account.

• You can avail some benefits such as reward points, cashback, discounts, etc. offered by your credit card issuer.

• You can enjoy an interest-free credit period of up to 45 days depending on your billing cycle and due date.

• You can improve your credit score by paying your credit card bills on time.

• What are the disadvantages of GST payment through credit card?

• Some of the disadvantages of GST payment through credit card are:

• You have to pay a convenience fee of 1.75% + GST for using the EnKash portal. This fee is charged by the payment gateway and is not refundable.

• You have to pay interest and late payment charges if you fail to pay your credit card bills on time.

• You have to keep track of your credit limit and available balance to avoid over-spending or exceeding your limit.

Ten States In Which GST Payment Through Credit Card Has Been Launched

GST payment through credit card started in 10 States/UTs from 5th January 2024:

1. Assam

2. Delhi

3. Goa

4. Gujarat

5. Haryana

6. Himachal Pradesh

7. Kerala

8. Madhya Pradesh

9. Maharashtra

10. Odisha

Rest of India covered soon.

Conclusion

GST payment through credit card is a convenient and beneficial option for taxpayers who want to pay their GST dues on time and avail some rewards and benefits from their credit card issuer. However, it also comes with some costs and risks that need to be considered before opting for this mode of payment.

If you want to know more about GST payment through credit card or other modes of payment, you can visit the EnKash portal or contact their customer support team for assistance.