Your Questions on E-Payment of Taxes under Income Tax Act

FAQs for E-Payment of Taxes under Income Tax Act

What is e-tax payment?

Ans: This is a facility provided to the taxpayers to make income tax payments through internet, using Net-banking/Debit card of the selected Bank.

Can I use this facility to pay income tax?

Ans: You can use the facility if –

  1. a) You have a bank account with Net-banking/Debit card of the selected Bank, and

  2. b) Your bank provides the e- payment facility.

Whether it is mandatory to pay tax online?

Ans: It is mandatory for the following types of assesses to pay tax online with effect from April 1,2008.

  1. a) All the corporate assesses.

  2. b) All assesses (other than company) to who the provisions of section 44AB of the Income Tax Act, 1961 are applicable.

How do I know whether my bank provides this facility?

Ans: The list of the banks providing this facility is available on NSDL-TIN website. Alternatively, you may get the information from your bank.

What should I do if my bank does not have an online payment facility or is not an authorized bank for e-tax?

Ans: In case your bank does not have an online payment facility or is not an authorized bank then you can make electronic payment of tax from the account of any other person who has an account with the authorized bank having online facility. However, the challan for making such payment must clearly indicate your Permanent Account Number (PAN).

What is the timing for making payment through internet?

Ans: You will have to check the net-banking webpage of your bank’s website for this information.

If I have misplaced my counterfoil whom do I contact?

Ans: Your Bank provides facility for re-generation of electronic challan counterfoil kindly check the Bank website; if not then you should contact your bank and request them for duplicate challan counterfoil.

After making e-payment of direct tax if status of challan is not available under Challan Status Enquiry on NSDL e-Gov site, what should I do?

You can verify the status of the challan in the “Challan Status Inquiry” at NSDL e-Gov-TIN website after 5 to 7 days of making e-payment. In case of non availability of the challan status kindly contact your bank.

If I encountered any error on e-tax portal while making e-tax payment what should I do?

If encountered any error on e-tax website kindly contact TIN call centre at 020 – 27218080 or write to us at  (Please indicate the subject of the mail as Online Payment of Direct Tax ).

What should I do if bank name is not visible, after entering the challan details in NSDL e-Gov site?

Ans: Kindly contact TIN call centre at 020 – 27218080 or write to us at  (Please indicate the subject of the mail as ” Online Payment of Direct Tax – Bank Name is not present “).

What if my account gets debited twice for the same e-Tax transaction?

Ans: If during the transaction, or after completing the transaction bank site encountered any error or get disconnected before generating Taxpayer counterfoil, then instead of doing the same transaction again, kindly check your account. If account has been debited, then contact your bank for the taxpayer’s counterfoil. Please note that, in the above case, do not make the same transaction again which results in account being debited more than once for the same e-tax transaction.

What is fees under Section 234F of the Income Tax Act, 1961?

Ans: Fees under section 234F will be levied on a person who is required to furnish return of income under Section 139 and does not furnish the same within the time prescribed under the Income Tax Act, 1961.

How to make payment of Fees under Section 234F?

A person desirous to make payment of fees under Section 234F of Income Tax Act, 1961, need to provide the same in the field ‘OTHERS’ under Challan No/ITNS 280.

How can I know that I have completed tax payment using this facility?

Ans: Apart from the CIN given to you, you can check your online bank statement to verify the tax payment.

Do I have to attach the acknowledgment counterfoil with my return?

Ans. No, it will be considered sufficient proof if you quote your Challan Identification Number (CIN) as mentioned in your counterfoil in your return.

Where should I make inquiries about my tax payments through internet?

Ans. You should contact your bank for queries about your payment transactions through internet.

Which are the banks offering the facility of e-tax payment?

Ans. At present, HDFC Bank, IDBI Bank, State Bank of India and Union Bank of India (for old challans 280,281,282) and UTI Bank (for new challans 280,281,282, 283) offer the facility of e-tax payment. NSDL is working with other banks and their names will be notified as soon as the respective banks are ready.

How secure is the transmission of data to the website for e-tax payment?

Ans. All transmission through NSDL-TIN website is encrypted and is with Secure Socket Layer (SSL) authentication. With respect to the banks, it depends on the security measures provided by the bank for net-banking.

How does this system of payment of taxes through internet benefit me as a taxpayer?

Ans. This system is beneficial to you as you are not required to personally visit the bank to make the payments. Payment can be made electronically at your convenience from any place where an internet facility is available e.g. your office, residence, etc. Further, you get the Challan Identification Number (CIN) online, which is required by you when you file your return.

Compiled By

CA Tarun Kumar