It has been decided to take steps to promote digital payments in the federal budget for the next fiscal year, under which a proposal to collect up to Rs 3 extra on purchasing cash oil from petrol pumps is under consideration.
According to the report, sources said that there is a proposal to collect additional money to discourage all types of cash purchases, including petroleum products. Proposals to discourage cash purchases are likely to be made part of the Finance Bill in the fiscal year 2025-26.
Sources said that a proposal to collect up to Rs 3 extra on purchasing cash oil from petrol pumps is under consideration, and digital payment measures will also be taken along with cash at petrol pumps.
Sources said that QR codes, debit, credit cards and mobile payment measures will be taken. If the proposal is approved, manufacturers and importers will be able to collect an additional 2 percent tax on cash sales.
According to sources, several meetings have been held with the corporate sector to make this proposal feasible. A proposal to impose an additional tax on cash purchases at shops is also under consideration.
Restaurants already have tax exemption on card payments, the budget will not provide much relief in terms of tax rate for the salaried class.
According to sources, the relief for the salaried class will be modest, buyers will be free to pay in cash after paying the higher tax.
Sources say that importers and manufacturers will have to collect the standard 18 percent general sales tax on digital payments from their suppliers and buyers, these payments will also be available through simple QR codes and other digital solutions.
