Section 187
Section 187: acceptance of payment through prescribed electronic modes
Section 187 requires larger businesses and professionals to give their customers a way to pay electronically - specifically, anyone carrying on business or a profession whose sales, turnover or gross receipts exceeded ₹50 crore in the immediately preceding tax year must provide a facility to accept payment through the prescribed electronic modes.
This explanation is AI-assisted and pending review by our CA/CS team. It is general information, not professional advice - always cross-check against the bare law text above or talk to our tax team for guidance specific to your situation.
Who must provide the facility
Every person carrying on business or profession must provide a facility for accepting payment through the electronic modes prescribed (in addition to any other electronic modes already offered), if the total sales, turnover or gross receipts in that business or profession exceeded ₹50 crore during the immediately preceding tax year.
Frequently asked questions
What turnover threshold triggers the Section 187 requirement?
Total sales, turnover or gross receipts of the business or profession exceeding ₹50 crore in the immediately preceding tax year.
Does Section 187 replace other electronic payment modes already offered?
No - it requires the prescribed electronic modes to be offered in addition to any other electronic modes already being provided by that person.
Related sections
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Check your electronic payment compliance with our tax teamLast updated 9 September 2026