Paying taxes ???? . After declaring our earnings for the previous year to IRAS, we have to face the moments of truth.
We all hate to pay taxes, but this money does help to pay for the improvements in our living environment.
There are a few ways to pay our income tax, GIRO is the easiest way to do it as the money is automatically deducted from our bank accounts.
However, many people wanted to use their credit card for income tax payments instead as they wanted to clock reward points or cash rebates on the credit card. This is the best of both world especially when your income tax runs up to thousands of dollars.
Credit Card Tax Payment Program For Rewards
Enroll into tax payment program for these credit cards by HSBC and Standard Chartered to earn rewards.
HSBC Credit Cards:
- Earn 1 Rewards point for every S$1 charged to your HSBC credit card (source)
- Admin fee is charged as a percentage of your tax amount
- HSBC Premier MasterCard: 0.5%
- HSBC Visa Platinum / HSBC’s Revolution: 0.7%
- HSBC Advance: 0.7% (Rewards points ceased from 1 July 2017)
- HSBC Visa Infinite: 1.5%
Standard Chartered Visa Infinite Credit Card:
- Rewards (source):
- Under S$2,000 spend in a statement cycle: Earn 1 miles for every $1 spent
- Minimum of S$2,000 spend in a statement cycle: Earn up to 3 miles for every S$1 spent
- Processing fee: 1.60% of the tax amount
Steps To Pay Income Tax By Credit Card Through Internet Banking
I have used Standard Chartered Internet Banking as an example, other banks should be quite similar.
1) Login to your Internet Banking and Select Bill Payment
2) Add a new bill payment payee
3) Select the payee name (IRAS-Income Tax) from the list
4) Bill account number: Your Tax Reference Number
5) Payee added successfully
6) Select bill payments and select IRAS-Income Tax under pay an existing payee column
7) Select your credit card at “Account to be paid from” and enter payment details
For more ways to pay your taxes: How to pay tax
Thanks for contributing to the country :)