Best Credit Cards for Tax Payments
Paying taxes is unavoidable whether you are an individual, a professional, or a business owner. While it feels like a total expense, with the right credit card, your tax payments can earn rewards, cashback, or travel benefits helping you get some value back from unavoidable government expenditures.
Why Use a Credit Card for Tax Payments?
Income Tax, GST, and Advance Tax payments are regular and often large expenses. Some credit cards offer reward points on government spending or count them towards milestones. This can help you earn points, vouchers, or travel benefits that you would otherwise miss.
HDFC BizBlack Credit Card
The HDFC BizBlack Credit Card is one of the best cards for business owners who make high-value tax payments. It offers strong rewards on government spending within specific limits.
- Base Reward: 3.33% (5 RP per ₹150).
- Bonus: 5X Accelerated points (16.5% return) on business/tax spends above ₹50,000 per month.
- Capping: Accelerated points are capped at 7,500 per statement cycle.
HDFC BizPower Credit Card
The BizPower card is a solid option for small and mid-sized business owners making regular tax payments.
- Base Reward: 4 RPs per ₹150 (1.3% return)
- Bonus: 5X points (up to 5,000 points on business & government spends, equivalent to a 6.6% return) .
- Minimum Spend for Bonus: ₹25,000
- Maximum Spend for Maximum Rewards: ₹47,000 (1.6% reward rate after that)
- Milestone: 1% bonus, ₹2.5K MMT / Reliance Digital voucher on quarterly spends of ₹2.5L
American Express Platinum Travel Credit Card
The Amex Platinum Travel Credit Card can be useful for tax payments if you are aiming to complete annual spend milestones for travel benefits.
- Base Reward: 1.2%
- Tax Spend Reward: Earn 1 MR per ₹50 spent on tax spends
- Bonus Rewards: 40K Membership Rewards (MR) + ₹10K Taj Voucher on ₹4L spends
- Tip: Use the Canara Bank payment gateway for Amex transactions to boost rewards for government spending
IDFC Club Vistara Credit Card
This card is useful for users who prefer airline rewards and milestone benefits.
- Base Rewards: 3%
- Tax Spend Reward: Earn 4 RP per ₹200 spent up to ₹1 lakh; 6 RP on spends above ₹1 lakh on tax spends
- Milestone: Tax spends are counted for milestones as well (₹4.5L spends)
HSBC Premier Metal Credit Card
The HSBC Premier Metal card offers a simple and steady reward structure on tax payments.
- Base Rewards: 3%
- Tax Spend Reward: Earn 3 RP per ₹100 spent on tax spends
- Government Spend Cap: Capped at ₹1 lakh
YES Private Credit Card
YES Private is designed for high spenders looking for premium rewards.
- Base Rewards: 2.5%
- Tax Spend Reward: Earn 20 RP per ₹200 spent on tax spends
ICICI Times Black Credit Card
The ICICI Times Black Card offers decent rewards with a clear spending cap.
- Base Rewards: 2%
- Tax Spend Reward: Earn 2 RP per ₹100 on tax spends (up to 5,000 RP)
- Maximum Spend for Rewards: ₹2.5 lakh
Make Your Tax Payments Work Smarter for You
Paying taxes will always be part of your financial journey, but choosing the right credit card can help you get something back from these unavoidable expenses. Whether you prefer cashback, reward points, or travel perks, the cards listed above offer some of the best value for tax payments.
Before choosing a card, look at how often you pay taxes and how much you usually spend. A well-matched credit card can turn routine tax payments into meaningful rewards.
At SaveSage, we help you optimise your credit card rewards and loyalty programs in a simple and clear way. With the SaveSage app, you can keep track of your credit cards, reward points, and offers in one place, while the built-in AI assistant and regular updates help you stay informed and make better decisions without confusion.
