Credit card users in India may soon face these changes
Big changes are on the way for credit card users in India, with new draft rules that may take effect from April 1, 2026.
The government wants to keep a closer eye on high-value spending and make sure people's expenses match what they report as income.
Banks will have to report your spending
Banks may be required to tell tax authorities if you spend over ₹10 lakh a year through non-cash modes or over ₹1 lakh in cash on your credit card.
Getting a new card? You may need to provide your PAN, so big purchases are linked directly to your tax record.
You may finally be able to use credit cards to pay taxes
You may soon be able to pay your income tax and other central taxes using your credit card—finally, an extra digital payment option.
But if you're using a company-issued or reimbursed corporate card, those expenses could count as taxable perks unless you can prove they were strictly for work.
Employers will need to track corporate card spending
Employers may be required to keep detailed records of all business spending on corporate cards.
If employees pay back any personal expenses, that amount may get knocked off their taxable perks.
Overall, these updates mean more transparency—and more paperwork—for anyone who swipes big.