Imagine the rewards points you'd get if you could pay your income tax with your credit card.
This is now a reality thanks to startup Plastiq, who today announced that it has added the Canada Revenue Agency to its list of partners. The company, which was founded by Canadian Harvard University graduates Eliot Buchanan and Daniel J. Choi, allows Canadians to make large payments via their American Express, MasterCard, or Visa card to merchants who would previously accept only cash or debit.
“Many Canadians are very savvy with their credit card use, balancing a number of preferred cards to ensure their rewards are maximized,” says Buchanan, chief executive officer of Plastiq. “With Plastiq, a credit card is now a viable option to pay personal income tax, providing consumers with new choices and flexibility to strategically manage payments while capitalizing on the rewards offered by their credit card provider.”
“The Plastiq proprietary platform ensures transaction security, privacy, and an exceptional customer experience,” adds Daniel Choi, chief operating officer.
How does it work? The company explains:
Plastiq is an online system that allows people to use their credit cards to pay for things when they couldn’t before. This typically occurs in situations when merchants are not equipped or prefer not to pay the fees credit card companies charge. This is common with government entities, universities, rental property owners and private clubs.
At the center of the service is our proprietary payment platform—designed to allow secure access from any internet-enabled device at any time. This allows you to make and manage payments when you want and where you choose.
Although Plastiq's founders are Canadian, the startup is based in Boston.