Credit Cards for Tax Payments in India 2026: Rewards, Caps and Milestones

Paying income tax by credit card can be rewarding, but only if you look beyond the advertised earn rate. The gateway fee, GST, reward caps, merchant category code (MCC), milestones and redemption value can all change the final result.

This guide compares the following cards:

• HDFC Bank BizBlack Metal Edition
• HDFC Bank BizPower Credit Card
• American Express Platinum Travel Credit Card
• Marriott Bonvoy HDFC Bank Credit Card
• Times Black ICICI Bank Credit Card
• Amex Gold Charge Card
• HDFC Bank BizGrow Credit Card
• HDFC Bank Infinia Metal Edition
• IDFC FIRST Bank Mayura Credit Card
• Standard Chartered Ultimate Credit Card
• Kotak Solitaire Credit Card
• HSBC Premier Credit Card
• HDFC Bank Business Regalia Credit Card
• IDFC FIRST Bank Ashva Credit Card
• IndusInd Bank Avios Visa Infinite Credit Card
• American Express Membership Rewards Credit Card (MRCC)

Before you use these numbers

To keep the comparison fair, I have used the same assumptions for every card:

1. The tax amount entered in the challan is exactly ₹1,00,000.
2. The transaction posts under the correct tax or government MCC, normally MCC 9311 for tax payments. Rewards can change if the payment gateway supplies a different MCC.
3. The entire transaction settles in one statement cycle and is not converted into EMI.
4. The cardholder pays the credit-card bill in full. Even one month of finance charges can wipe out the reward benefit.
5. “Reward value” means a realistic redemption value.
6. For non-HDFC Visa, Mastercard or RuPay cards, the comparison uses the Income Tax portal’s current lowest clearly published general credit-card gateway charge: 0.80% plus 18% GST through the Kotak payment gateway, or ₹944 on ₹1 lakh. These charges could vary.
7. For HDFC Bank cards, the HDFC payment gateway publishes a lower rate of 0.72% plus 18% GST for HDFC credit cards, or ₹849.60 on ₹1 lakh. These charges could vary.

The Income Tax Department does not keep the convenience fee. Your selected bank or payment gateway adds it to the tax amount. The portal currently shows rates from 0.72% to 1.00%, plus GST, depending on the card and gateway. You can check the Income Tax Department’s payment-mode and gateway-fee schedule. They can vary time to time.

1. HDFC Bank BizBlack Metal Edition

BizBlack is designed for business expenditure and explicitly includes:

• Income-tax and advance-tax payments through the Income Tax e-filing portal
• GST payments through the GST portal
• Telecom and utility payments through eligible HDFC channels
• Selected business travel and software purchases

Here is how BizBlack works. You earn 5 base Reward Points for every ₹150 spent. On eligible business payments, including income tax and GST, the card adds a 4X bonus, taking the total earn rate to 25 RP per ₹150. You need at least ₹50,000 of qualifying spend in the statement cycle to unlock this bonus. HDFC caps only the accelerated portion at 7,500 RP per statement cycle; the base points continue to earn separately, within the card’s overall limit.

₹1 lakh calculation

That leaves you with roughly ₹9,983 after the gateway fee, the best return in this comparison. This assumes the payment posts under the right category, you meet the ₹50,000 monthly requirement and you redeem the points for travel at ₹1 each via smartbuy for flights and hotels.

You can transfer these points to Singapore Airlines also to extract more value.

Milestone benefits

BizBlack gives a ₹5,000 flight or Taj stay voucher for every ₹5 lakh of eligible calendar-year spend, capped at four vouchers or ₹20,000 on ₹20 lakh. A single ₹1 lakh tax payment does not unlock a voucher from zero, but it completes 20% of one ₹5 lakh milestone.

The renewal fee is waived on annual spend above ₹7.5 lakh. A new cardholder can also obtain the joining-fee reversal and welcome package by spending ₹1.5 lakh in the first 90 days, subject to the detailed card terms.

Biz Black is the best credit card in India for tax payments.

My take

If you can use HDFC points for travel, BizBlack is comfortably the best card here. Just remember that the extra 4X points stop at 7,500. You hit that limit after roughly ₹56,250 of eligible spend, although the regular 1X base points continue on the rest of the payment.

2. HDFC Bank BizPower Credit Card

BizPower is one of HDFC Bank's business cards that specifically rewards income-tax, advance-tax and GST payments. The current earn structure is straightforward, but the accelerated points come with an important condition.

• Base earn: 5 Reward Points for every ₹200 of eligible spend.
• 5X earn on eligible tax and business payments: 25 RP per ₹200 in total. This is 5 base RP plus 20 accelerated RP.
• Unlock condition: spend at least ₹25,000 on qualifying non-tax purchases in the same statement cycle. Income-tax and GST payments do not count toward this ₹25,000 requirement.
• Accelerated-points cap: 7,500 RP per statement cycle. Base points continue separately.
• Tax-transaction limit: only the first two income-tax transactions and first two GST transactions in a billing cycle earn points.

₹1 lakh calculation when 5X is unlocked

What the points are worth??

It depends on redemption goals. Addition of Accor is game changing.

Milestones, fee waiver and welcome benefit

• Quarterly voucher: from 1 July 2026, ₹2.5 lakh of eligible quarterly retail spend earns a ₹5,000 MakeMyTrip or Reliance Digital voucher. Income-tax and GST payments are excluded, so this ₹1 lakh tax payment contributes nothing to that target.
• Renewal-fee waiver: the ₹2,500 plus tax renewal fee is waived at ₹4 lakh of anniversary-year spend. HDFC's product page does not state a separate tax exclusion for this waiver, but obtain written confirmation before relying on a tax payment to close the target.
• Welcome benefit: an eligible tax, travel or advertising transaction in the first 30 days can unlock Amazon Prime or a ₹1,500 Amazon voucher for an eligible first-time cardholder.

My take: BizPower is attractive only when the ₹25,000 non-tax condition is already covered. In that case, a ₹1 lakh tax payment can earn 10,000 RP and we have different redemption options. Accor being the hottest.

3. American Express Platinum Travel Credit Card

Base rewards

Platinum Travel earns 0 MR point per ₹50 on tax spend. Fuel, insurance, household utilities, cash and certain point-of-sale EMI transactions do not earn base points. Tax comes under utility for Amex

A ₹1 lakh tax payment therefore earns:

Milestone ladder from 9 March 2026

The current annual ladder is:

• ₹1.9 lakh: 7,500 MR points
• ₹4 lakh: an additional 10,000 MR points
• ₹7 lakh: an additional 22,500 MR points plus a Taj stay voucher worth ₹10,000

Eligible spend excludes cash advances, express cash, drafts, balance transfers, fees and returns. Tax is not excluded in the published milestone terms.

Starting from zero, a ₹1 lakh payment unlocks nothing. But if you have already spent ₹90,000 in your cardmembership year, the same payment takes you past ₹1.9 lakh and adds 7,500 milestone points. The calculation then changes to:

My take

Platinum Travel is weak for a standalone ₹1 lakh payment, but excellent when tax closes a gap to ₹1.9 lakh, ₹4 lakh or ₹7 lakh. Plan around your card membership year, not the calendar year. One of the best milestone card.
One of the best milestone card for taxes.

4. Marriott Bonvoy HDFC Bank Credit Card

The Marriott Bonvoy HDFC Bank Credit Card is built for hotel stays, Free Night Awards and Marriott status benefits. It is not a card for paying tax. An income-tax payment earns no Marriott Bonvoy points, but tax spend counts toward the card's ₹6 lakh, ₹9 lakh and ₹15 lakh Free Night Award milestones.

How the card earns

• 8 Marriott Bonvoy points per ₹150 at participating Marriott Bonvoy hotels.
• 4 points per ₹150 on eligible travel, dining and entertainment.
• 2 points per ₹150 on other eligible purchases.
• Government and tax payments earn 0 points. Tax earns no points, but the transaction value counts toward the Free Night Award spend milestones.

₹1 lakh tax-payment calculation

Milestones, annual fee and caps

• Joining and renewal fee: ₹3,000 plus GST.
• Welcome and renewal value: one Free Night Award worth up to 15,000 Marriott Bonvoy points, subject to the card's activation or fee-realisation conditions.
• Annual milestones: one additional Free Night Award at ₹6 lakh, another at ₹9 lakh and another at ₹15 lakh of eligible anniversary-year spend.
• Tax-payment milestone contribution: ₹1,00,000 toward the milestone total. This completes 16.67% of ₹6 lakh, 11.11% of ₹9 lakh and 6.67% of ₹15 lakh.
• Monthly reward caps: Marriott hotel spend is capped at ₹10 lakh, travel, dining and entertainment at ₹5 lakh, and grocery spend at ₹1.5 lakh.
• Other annual benefits: complimentary Silver Elite status, 10 Elite Night Credits, and 12 domestic plus 12 international lounge visits.

My take

A standalone tax payment still produces a ₹849.60 loss because it earns no points. However, it can be useful when the ₹1 lakh closes a gap to the ₹6 lakh, ₹9 lakh or ₹15 lakh Free Night Award milestones. Use it only when the milestone value you will actually redeem is greater than the gateway fee.

Read the full Marriott Bonvoy HDFC Bank Credit Card review for the certificate and hotel-redemption strategy.

5. Times Black ICICI Bank Credit Card

Times Black earns rewards equivalent to 2% on eligible domestic expenditure. Government payments, including property tax, advance tax, court fees and postal payments, are explicitly eligible but are collectively capped at 5,000 Reward Points per statement cycle along with utility, insurance and education categories.

Times Black Reward Points can be redeemed for travel through iShop at ₹1 per Reward Point via ishop and also can be transferred to Air India.

₹1 lakh calculation

Through iShop travel redemption, 2,000 Reward Points are worth ₹2,000. After the ₹944 gateway fee, the net value is ₹1,056.
You can also transfer these points to Air India and extract higher value of your points.

Milestone benefits

The current spend ladder includes:

• ₹2 lakh: Klook international-experience benefit worth ₹10,000
• ₹5 lakh: WeWork day passes or selected airport-transfer benefit worth ₹10,000
• ₹10 lakh: Tata CLiQ Luxury gift card worth ₹10,000
• ₹20 lakh: one-night luxury stay at Ayatana or Lohono, stated value ₹20,000
• ₹25 lakh: annual-fee waiver for the following year

A ₹1 lakh payment from zero does not unlock the first milestone, but it takes the card halfway to the ₹2 lakh milestone. Benefits must be claimed through the Times Black app within the prescribed validity period.

My take

Times Black is worth using when you can get close to ₹1 per point or the tax payment unlocks a lifestyle milestone. The annual fee is ₹20,000 plus GST, so moving closer to the ₹25 lakh fee-waiver mark can also matter.

6. Amex Gold Charge Card

The Gold Card earns 1 Membership Rewards point per ₹50 on eligible spend. Insurance and cash transactions are excluded; fuel stopped earning points from 12 June 205. Tax payments are not listed as a base-reward exclusion.

The monthly bonus gives 1,000 MR points after six transactions of at least ₹1,000 each in a calendar month. A single ₹1 lakh tax payment will not trigger this bonus. Six genuine, separately generated tax payments of at least ₹1,000 each can satisfy the transaction-count wording if Amex is accepted and all transactions settle in the same calendar month.

₹1 lakh calculation

1 MR = ₹0.50

1 MR = ₹1

1 MR = ₹2

The economics improve if the points are burned for flights and hotels via transfer partners.
Have not added the spending amount for 6 transactions to keep calculations simple.

Milestones

The six-transaction monthly bonus is the relevant recurring milestone. The Gold Card does not have a large annual-spend milestone comparable to Platinum Travel.

My take

Amex Gold is not the best choice for one large tax payment. It makes more sense if you can legitimately split the tax into six payments, earn the monthly bonus and use the points to finish a valuable Gold Collection redemption.

7. HDFC Bank BizGrow Credit Card

BizGrow gives accelerated CashPoints on eligible tax and business payments, subject to its statement-cycle cap. It also gives 2,000 bonus CashPoints for ₹1 lakh of eligible retail spend in a quarter, excluding rent and petrol.

₹1 lakh calculation

After the ₹849.60 HDFC gateway fee:

The card also waives its ₹500 plus GST renewal fee after ₹1 lakh of anniversary-year spend. If this payment crosses that mark, you save another ₹590. It is not cash in hand, but it still improves the overall value.

My take

BizGrow works as a milestone card and just a decent card. Use it when the tax payment completes the ₹1 lakh quarterly target and, ideally, the annual fee-waiver target too. Not the best in game for sure.

8. HDFC Bank Infinia Metal Edition

Infinia earns nothing on tax

HDFC does not award points on government payments made with its consumer cards. A few HDFC business cards are exceptions, but Infinia is not.
But people are using it to hit 18L threshold milestone to retain Infinia for next year. So, on a ₹1 lakh tax payment:

About the “₹18 lakh threshold”

HDFC has been sending emails asking select customers to spend ₹18 lakh annually, failing which their card may be downgraded.

Tax payments may not earn reward points, but they can still help you reach that ₹18 lakh spending threshold.

My take

Use Infinia only if a confirmed personal target is worth more to you than the ₹849.60 gateway fee. For normal tax-payment rewards, there is no reason to use it apart from 18L spends to keep the card alive.

9. IDFC FIRST Bank Mayura Credit Card

Mayura gives:

• 5 RP per ₹150 on normal spend up to ₹20,000 in a statement
• 10 RP per ₹150 on eligible incremental spend above ₹20,000
• 3 RP per ₹150 on government, rent, wallet and education
• 1 RP per ₹150 on insurance and utilities

Government payments do not count towards the ₹20,000 threshold for 10X rewards. The entire tax payment earns at the lower 3-RP rate, even if your total monthly spend is above ₹20,000.

₹1 lakh calculation

Annual fee-payment benefit

On payment of the ₹5,999 plus GST annual fee:

• Spend ₹8 lakh in the previous anniversary year: 7,500 RP
• Spend ₹15 lakh: 15,000 RP

You receive only one of these tiers. A ₹1 lakh payment from zero will not unlock either one, but it can help you move towards the target. The terms exclude only fees and charges, refunds and cash withdrawals from this calculation. See the

My take

Mayura is almost break-even if you redeem for travel at ₹0.50 per point. I would use it only when the payment also helps you reach the ₹8 lakh or ₹15 lakh annual benefit and it is great card for forex transactions.

10. Standard Chartered Ultimate Credit Card

Ultimate normally earns 5 RP per ₹150, but government payments under MCC 9399 earn 3 RP per ₹150. Standard Chartered states that there is no monthly cap on the revised categories. Each Ultimate reward point is worth ₹1.

₹1 lakh calculation

Milestones

Ultimate has no regular spend milestone or annual-fee-waiver milestone highlighted on the current product page. The joining fee benefit gives 6,000 RP after payment of the joining fee, but that is unrelated to a tax payment.

My take

Ultimate is simple: there is no monthly cap and each point is worth ₹1. It is one of the better personal cards for tax, although BizBlack still gives a much higher return.

11. Kotak Solitaire Credit Card

The tax exception that matters

Kotak Solitaire earns 3 Air Miles per ₹100 on eligible spend. Utilities, insurance, education and most government payments do not earn miles. However, the terms make one very useful exception: tax payments under MCC 9311. That unusually clear wording removes much of the guesswork.

₹1 lakh calculation

Transfer ratios are not the same for every partner. Air India is 1:1, several airlines are 2:1 and Marriott Bonvoy is 3:1. Booking travel through Kotak Unbox gives the clearest ₹1-per-mile value.

Milestones

The personal Solitaire card has no spend milestone. It is free while the cardholder remains in the invite-only Kotak Solitaire banking programme; a ₹25,000 fee can apply after downgrade from the programme.

My take

Kotak Solitaire is one of the good personal cards for tax. The specific MCC 9311 exception makes it far easier to trust than cards with vague “retail spend” wording.

12. HSBC Premier Credit Card

How HSBC Premier rewards tax payments

HSBC Premier earns 3 Reward Points per ₹100. Tax payments earn points, but tax, utilities, rent/real estate, insurance, wallets, education, government, jewellery and several financial categories share a cumulative eligible-spend cap of ₹1 lakh per month.

A ₹1 lakh tax payment uses this entire monthly allowance. Any further spend that month on the other restricted categories will earn no points.

₹1 lakh calculation

HSBC Premier points do not expire, but you cannot turn them into cash or statement credit. This card works only if you actually want an Apple product, gift card, merchandise or an airline/hotel transfer.

Milestones and fees

There is no ordinary annual-spend reward milestone. The ₹20,000 annual fee is waived for customers who remain Premier-qualified. Current Premier qualification is relationship-based, not achieved by card spend alone.

My take

HSBC Premier gives a strong 3% return on the first ₹1 lakh of combined restricted-category spend each month. Once a ₹1 lakh tax payment has used the cap, move any large insurance, utility, jewellery or government payment to another month or card. Transfer them to Accor and YOUR REWARD RATE IS DOUBLE.

13. HDFC Bank Business Regalia Credit Card

Business Regalia now earns 4 Reward Points per ₹200. Be careful with older articles and PDFs that still show 4 RP per ₹150. As an eligible HDFC business card, it continues to earn on government payments.

Redemption values are:

• ₹0.50 per RP for flights/hotels through SmartBuy
• 0.5 airline mile per RP
• Up to ₹0.35 per RP for products/vouchers
• ₹0.15 per RP as statement cashback
• Singapore Airlines is transfer partner

₹1 lakh calculation

The milestones that matter

• ₹5 lakh anniversary-year spend: 10,000 bonus RP
• ₹8 lakh anniversary-year spend: an additional 5,000 RP
• ₹1 lakh spend in the previous quarter: two domestic lounge visits in the next quarter

A ₹1 lakh tax payment does not earn the annual bonus from zero, but it may satisfy the quarterly lounge-spend condition and completes 20% of the ₹5 lakh milestone.

My take

Business Regalia is only slightly profitable at its best travel value. It becomes more useful when the same payment also secures lounge access or closes the gap to the ₹5 lakh or ₹8 lakh milestone. You can unlock higher value with Singapore Airline redemption

14. IDFC FIRST Bank Ashva Credit Card

Ashva uses the same government-spend earn rule as Mayura:

• 3 RP per ₹150 on government, rent, wallet and education
• Government spend does not count toward the ₹20,000 threshold for 10X rewards

Ashva points are worth ₹0.40 each for flights and hotels through IDFC’s Travel & Shop section and ₹0.25 elsewhere.

₹1 lakh calculation

Annual fee-payment benefit

After spending ₹8 lakh in the previous card anniversary year and paying the ₹2,999 plus GST annual fee, the cardholder receives 7,500 RP, worth up to ₹3,000 at the travel rate.

My take

Ashva loses money on a standalone ₹1 lakh payment, even at its best redemption rate. Consider it only when the payment takes you past the ₹8 lakh annual target or the interest-free period has real cash-flow value for you. Avoid it

15. IndusInd Bank Avios Visa Infinite Credit Card

The card earns:

• 3 Avios per ₹200 on ordinary domestic spend
• 1 Avios per ₹200 on utilities, government services, education and insurance
• 5 Avios per ₹200 on eligible Qatar Airways or British Airways bookings
• Up to 6 Avios per ₹200 on selected overseas point-of-sale expenditure

Avios are earned only up to the assigned credit limit in each statement cycle.

₹1 lakh calculation

Avios do not have a fixed rupee value; it changes with the airline, route, cabin, availability, taxes and surcharges. Even at a generous ₹1.50 per Avios, 500 Avios are worth only ₹750, still less than the gateway fee used here.

Milestones

• ₹8 lakh annual spend: 18,000 bonus Avios
• ₹16 lakh annual spend: another 18,000 bonus Avios
• Maximum: 36,000 bonus Avios per year

The tax payments count towards these milestones. If you already have it and you like Avios Ecosystem. You can surely go for it.

My take

The regular tax earn is too low to cover the payment fee. But Avios ecosystem and milestone make it better.

16. American Express Membership Rewards Credit Card (MRCC)

MRCC earns 1 MR point per ₹50 on eligible spend and tax payment earn 0 points. It offers two separate monthly bonuses:

1. 1,000 bonus MR for four transactions of at least ₹1,500 each in a calendar month.
2. 1,000 bonus MR for spending ₹20,000 or more in a calendar month, but this benefit requires enrolment.

₹1 lakh calculation

If paid as one transaction:

As with Gold, the points can be worth more when they are used as for hotels and flights via transfer partners.

Annual fee waiver

• Spend ₹1.5 lakh in the immediately preceding membership year: 100% renewal-fee waiver
• Spend ₹90,000 to ₹1,49,999: 50% waiver

A ₹1 lakh tax payment can therefore create a valuable fee benefit if it is eligible annual spend and the cardholder would otherwise pay the renewal fee. That avoided cost should be counted only when the payment actually changes the fee outcome.

My take

MRCC is one of the few cards where splitting a legitimate ₹1 lakh payment can turn a loss into a small gain. The ideal situation is to complete both monthly bonuses, move closer to the annual fee waiver and finish a Gold Collection redemption with the same spend.

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When a milestone changes the answer

The card with the best regular earn rate is not always the right card. If you are ₹1 lakh short of a valuable milestone, that bonus can be worth far more than the base points:

So do not ask only, “Which card gives the most points?” Ask:

After the gateway fee, which card gives me the most value from the points and the milestone I will actually unlock?

Check these before you press “Pay”

• Confirm that the card’s online and domestic transaction limits cover tax plus the gateway fee.
• Compare all live gateway charges; the cheapest gateway can save ₹100–₹300.
• Take a screenshot of the gateway’s fee and supported networks before payment.
• Check whether the transaction will post before the statement, quarter, calendar-year or cardmembership-year deadline.
• Keep enough unused credit limit for the gateway fee.
• Avoid paying more than a card’s reward cap in the same statement cycle.
• For HSBC Premier, avoid other capped-category transactions in the same month after using the ₹1 lakh allowance.
• For Amex, verify live acceptance before designing a split-payment strategy.
• Never revolve the resulting credit-card balance. Interest will overwhelm the rewards.
• Retain the challan receipt, CRN, card slip and statement entry until points and milestone benefits are credited.
• If a milestone is essential, obtain written confirmation from the issuer that MCC 9311 tax spend counts toward it. Credit-card terms and gateway charges change often. Recheck the issuer’s live terms and the fee shown on the Income Tax portal immediately before making a large payment. Always do your own research.