Interest as credit card services is leviable to GST… Interest on loan is not – Banks may seek clarity from GST Council https://www.taxtmi.com/forum/issue?id=118688 Interest is taxable under GST only when it has a nexus with the issuance, operation or use of a credit card and thus constitutes a credit card service; interest on independent loans not generated by card transactions lacks that nexus and is not liable to GST. Consequential charges tied to taxable card interest likewise become taxable, while additional interest on exempt original interest retains the nature of the original interest. en-us Wed, 09 Aug 2023 16:17:15 +0530 Thu, 23 Jan 2025 14:23:47 +0530 TaxTMI RSS Generator Interest as credit card services is leviable to GST… Interest on loan is not – Banks may seek clarity from GST Council https://www.taxtmi.com/forum/issue?id=118688 Interest is taxable under GST only when it has a nexus with the issuance, operation or use of a credit card and thus constitutes a credit card service; interest on independent loans not generated by card transactions lacks that nexus and is not liable to GST. Consequential charges tied to taxable card interest likewise become taxable, while additional interest on exempt original interest retains the nature of the original interest. Discussion-Forum GST Wed, 09 Aug 2023 16:17:15 +0530 https://www.taxtmi.com/forum/issue?id=118688