PhonePe launches income tax payment feature

Monday 24 July 2023 13:37 CET | News

India-based fintech PhonePe has announced the launch of an income tax payment feature developed in partnership with digital B2B payments service provider PayMate.


The news of the launch comes in light of Income Tax Day 2023 and seeks to enable users to pay income taxes leveraging PhonePe.

PhonePe’s income tax payment feature

As per the Livemint article detailing the announcement, when talking about submitting income tax, this can bring forth difficulties for numerous people, as it is a lengthy process, and PhonePe sought to help simplify this process with the launch of its income tax payment app feature.

By leveraging this feature, taxpayers, be those individuals or businesses, are enabled to easily pay self-assessment and advance tax directly from within the PhonePe app, and all this is made possible with no requirement for a login to the tax portal. The feature is set to not only provide an alternative for tax filing but also help reduce the load on the website.

launches income tax payment feature

PhonePe collaborated with PayMate to enable the feature, and under this facility, users have the option to pay their income tax by using either a credit card or UPI. When talking about credit card payments, users are to be provided with a 45-day interest-free period and reward points on their tax payments, with the reward policy varying for different banks.

Following the completion of the payments, taxpayers are to be provided with a Unique Transaction Reference (UTR) number as proof of tax payment. What is more, the UTR is set to be available within a day, whereas the challan is generated within a two working day timeframe.

When commenting on the announcement, Niharika Saigal, Head of Bill Payments, and Recharge Business at PhonePe advised that the company is looking forward to the launch of this latest feature to offer customers the convenience of paying income taxes from the PhonePe app itself. Per the spokesperson’s statement, as paying taxes can oftentimes be a complex and time-consuming task, PhonePe aimed to provide its users with a simplified and secure way to fulfil their tax obligations.

Per the announcement information, to be enabled to pay taxes leveraging PhonePe, customers should carry out the following steps:

  • Download and install the PhonePe app;

  • Open the PhonePe app homepage and select the ‘Income Tax’ icon;

  • Choose the tax type they want to pay, together with the assessment year;

  • Provide their PAN Card details;

  • Enter the entire tax amount and carry out the payment leveraging the preferred payment method.

  • Once the payment is successful, the amount is set to be credited to the tax portal within two working days.

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Keywords: product launch, partnership, payments , paytech, fintech, credit card, UPI, B2B payments, tax bill, banking
Categories: Payments & Commerce
Companies: PayMate, PhonePe
Countries: India
This article is part of category

Payments & Commerce




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