yup. i do not see how one can properly provide records to income tax department these days considering the number of digital wallets that exist today and the lunacy created by the central government. if the government starts scrutinizing digital wallets, they probably would not have much time left for anything else considering they are asking you to use it as an alternative for cash.
it works if you need it to work. but requires too much effort so does not make sense unless you are desperately in shortage of funds. you have to involve another person. it might be better to just take a loan from that person instead of taking a chance with your credit card.
the question here is whether paytm accepts transfer made using credit card as a topup if you use your own credit card. i mean you can add money using the regular feature. or use this new feature that was recently added:
as you can see, you can accept payment using credit or debit card here. if you use your own card... i am not sure if it considers it a topup or payment made from external source. if it is the latter, it might allow you to transfer that fund to your bank account.
so paytm app would soon start accepting payments through upi. that's nice.