Truth or Myth: 'Payments made by credit card to attract double GST' - reality check!

New Delhi: Since the day historic tax reform goods and services tax (GST) was rolled out, various misapprehensions have flooded the social media. It has not only lead to rumor mongering and confusion among general public, even traders and consumers have been left lurching in dilemma. It's not that the government has left any stone unturned to spread awareness in this regard, some of the myths are still very much alive.

One of the latest rumors doing rounds is on messaging app WhatsApp. It says that GST will be levied twice if utility bills for services such as telephone, mobile, gas, electricity are paid through credit cards. It explains the logic saying that for such payments made through utility bills, the GST once will be levied on the credit card and the next time on the amount billed on the credit card.

The message advises people to pay bills either in cash or via internet banking.

However, this rumour has come to the knowledge of the government and on Sunday Revenue Secretary Hasmukh Adhia rubbished the claims on twitter saying, “A wrong message is doing rounds on social media that if u make payment of utility bills by credit cards,you will be paying GST twice. This is completely untrue. Please do not recirculate such message without checking it with authority.”

1/2 A wrong message is doing rounds on social media that if u make payment of utility bills by credit cards,you will be paying GST twice. — Dr Hasmukh Adhia (@adhia03) July 2, 2017

 

2/2 This is completely untrue. Please do not recirculate such message without checking it with authority. — Dr Hasmukh Adhia (@adhia03) July 2, 2017