Monday 06 September 2021

Easy Ways To Pay Your Income Tax Online

Income Tax is a government levy imposed on individuals or entities (taxpayers) that vary with the taxable income or profits of the taxpayer. Income Tax Payment can be made for:

> Advance Tax
> Self Assessment Tax
> Outstanding tax demand payment
Easy Ways To Pay Your Income Tax Online

 Advance Tax

Where annual tax dues are more than Rs 10,000, assessee must pay income tax in advance. Due Dates of payment of Advance Tax for FY 2015-16:

 For Individuals:

On or before 15th June
On or before 15th September Up to 30% of tax
On or before 15th December Up to 60% of tax
On or before 15th March Up to 100% of tax

Self Assessment Tax

 Income tax return cannot be submitted to the tax department, unless you have paid the tax dues in full.

 Outstanding tax demand payment

 Income Tax Department issue demand notice claiming short tax payment in previous years. If assessee agrees to the payment then such tax shall be paid online.

 How to pay Income Tax online

> Select Challan 280
Go to the tax information network of the Income Tax Department and select Challan 280.
> Enter Personal Information

 Enter details such as

  1. PAN
  2. Address of the taxpayer
  3. Assessment Year
  4. Head Code
  5. Type of payment
  6. Select the bank name from the drop down provided

For individuals paying tax, select 0021 (Other than Companies).

‘Type of Payment’:

  1. If you are paying taxes after the Financial Year has ended, select ‘Self Assessment Tax’
  2. If you are paying taxes during the Financial Year, select ‘Advance Tax’
  3. if you get a demand notice from the Tax Department, select ‘Tax on Regular Assessment’

> Verification of details filled

Verify the details entered by you. In case you have made a mistake in data entry, click on “EDIT” to correct the same. If all the detail and name as per ITD is correct, click on “SUBMIT” button. You will be directed to the net-banking site provided by your bank.

> Generation of Challan 280

Your bank will process the transaction online by debiting the bank account indicated by you and on success generate a printable acknowledgement indicating the Challan Identification Number (CIN).