New Delhi: Indian e-commerce payment system Paytm said it will charge 1.75% and levy goods and services tax (GST) if a customer adds more than Rs.10,000 in a month in Paytm wallet using credit card.
Customers can add up to Rs.10,000 from their credit card free of cost. The levy of charges and GST on the said transactions may come into effect from the start of 2020.
“Please note that charges of 1.75% + GST shall be applicable for money added through credit card once the limit of 10,000 is reached,” Paytm said on the micro-blogging and social networking website Twitter, replying to a query.
In another tweet on its handle Paytm Bank Care, Paytm said customers should use other payment options such as United Payments Interface (UPI) or debit cards to add money to their wallets and to avoid charges and levy of GST.
“To add money to your wallet without any charge, we recommend you to use other payment options such as UPI or Debit Card. Kindly refer the charges mentioned on our website,” Paytm said.
In case the first transaction exceeds the limit of Rs.10,000 in a month, then Paytm will charge 1.75% and impose GST. Transactions that follow will be charged as per the company rules. In case there are multiple transactions totaling less than ₹10,000 in a month, then it will be free of any char