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Q1 What are the new challans for the payment of Direct Taxes?

A1

Sr. No.Challan No.DescriptionType Of Payment
1. ITNS 280 for payment of Income Tax and Corporation Tax
  • Advance Tax
  • Surtax
  • Self Assessment Tax
  • Tax On Distributed Profits Of Domestic Companies
  • Tax On Regular Assessment
  • Tax On Distributed Income To Unit Holders
2.ITNS 281 for depositing Tax Deducted at Source/Tax Collected at Source (TDS/TCS) from corporates or non-corporates
  • TDS/TCS Payable By The Taxpayer
  • TDS/TCS Regular Assessment (Raised By IT Department)
3.ITNS 282for payment of Securities Transaction Tax Hotel Receipts Tax Estate Duty Wealth Tax Gift Tax Expenditure Tax and Other direct taxes
  • Advance Tax
  • Tax On Regular Assessment
  • Self Assessment Tax
4.ITNS 283for payment of Banking Cash Transaction Tax and Fringe Benefits Tax
  • Advance Tax
  • Tax On Regular Assessment
  • Self Assessment Tax
[Source : NSDL]

Q2 Where can one obtain these Challans?

A2 Soft copies of these challans are available at NSDL-TIN website and Income Tax Department website. Challans are also available at the local Income tax offices and with private vendors.[Source : NSDL]

Q3 How does the new system benefit me a common tax payer?

A3 The new system is of great benefit to the common tax payer. Now a single simplified challan has to be filled up replacing the complicated four-copy challan. This challan can be filled up much faster. Secondly it will be possible to obtain an acknowledgement for taxes paid at your own bank branch immediately. Further once you have the acknowledgement counterfoil with the rubber stamp containing the Challan Identification Number (CIN) and you have filled in your PAN correctly you are assured that the payment will be properly accounted for in your name. Lastly you will no longer need to attach copies/ acknowledgement of challan with your return. Simply mention the CIN details in the income-tax return. This will also assist you in e-filing your return. [Source : NSDL]

Q4 Can I pay taxes using the old challan?

A4 No[Source : NSDL]

Q5 What is the new procedure for payment of direct taxes at banks?

A5 If you are paying taxes in cash at any designated bank branch or by cheque at the bank branch where you have a bank account the bank will accept your cash/cheque and will immediately stamp the counterfoil of the challan with a rubber stamp containing the CIN.If however you are paying taxes by cheque/draft at a bank branch other than where you have a bank account the collecting bank branch will accept your cheque/draft and issue you a paper token in acknowledgement. When you present this token after encashment of the cheque the bank will hand over the acknowledgement counterfoil duly stamped with the CIN. [Source : NSDL]

Q6 What is Challan Identification Number (CIN) and what is its relevance?

A6 Challan Identification Number (CIN) has three parts * Seven digit BSR code of the bank branch where tax is deposited * Date of Deposit (DD/MM/YY) of tax * Serial Number of Challan CIN is stamped on the acknowledgement receipt to uniquely identify the tax payment. CIN has to be quoted in the return of income as a proof of payment. CIN is also to be quoted in any further enquiry. Therefore you must ensure that CIN (comprising the above three parts) is stamped on the Challan by the bank. If not immediately contact the bank manager and insist on CIN.The Reserve Bank of India has already passed an order dated April 1 2004 making it compulsory for all tax collecting branches of banks to use a rubber stamp acknowledgement that carries CIN. A separate CIN is given for each challan deposited. If the Bank Manager is unable to resolve the issue you should address your grievance to the Bank's Regional Manager and the Regional Office of Reserve Bank of India for redressal. [Source : NSDL]

Q7 How will the acknowledgement stamp bearing the CIN look like?

A7 The Acknowledgement stamp of the bank will contain the following information: * Bank Branch Name * BSR (7 digit) * Deposit Date (DDMMYY) * Serial No. [Source : NSDL]

Q8 Do I have to attach the acknowledgement counterfoil with my return?

A8 No it will be considered sufficient proof if you quote your Challan Identification Number (CIN) (as mentioned in your counterfoil) in your return. The Income-tax return forms have been suitably modified. [Source : NSDL]

Q9 What should I do if I have misplaced my acknowledgement counterfoil?

A9 Kindly approach the bank where you have deposited the tax and request them to issue you a certificate which contains your payment particulars including CIN. [Source : NSDL]

Q10 What would happen if I loose the paper token issued by the bank?

A10 Each bank follows its own procedure so you may contact the branch manager of the bank. [Source : NSDL]

Q11 I am an individual and have to pay self assessment tax (income tax) before filing my return of income. Which challan should I use?

A11 You should use Challan ITNS No. 280 and tick the box 0021 Income-tax. As you are paying self assessment tax you should further tick the Self Assessment Tax (300) under Type of Payment. [Source : NSDL]

Q12 We are a corporate and have to pay Advance Tax for Assessment Year 2005-06. Which challan should we use?

A12 You should use Challan ITNS 280 and tick the tax 0020 Corporation Tax. As you are paying Advance tax for the Assessment year 2005-06 write this in the space provided in the challan and then tick the box Advance Tax (100) under Type of Payment. [Source : NSDL]

Q13 We are a partnership firm and have to deposit tax deducted from a corporate. Which challan should we use?

A13 You should use Challan ITNS No. 281 and tick tax '(0020) companies' as the status of the deductee is a company. [Source : NSDL]

Q14 We are a company XYZ Ltd. and have deducted tax source for both companies and non-companies on 'Interest other than interest on securities'. Which challan should we use to deposit the tax?

A14 You will have to use two separate challans. You should use Challan No. 281 and tick box (0020) in respect of tax deducted at source from companies. You should use a separate Challan No. 281 and tick box (0021) in respect of tax deducted at source from non-companies.As in both cases tax deposited relates to TDS on 'Interest other than interest on securities' you should fill up code No. 94A in the 'Nature of Payment' field in the challan. The codes for 'Nature of Payment' are mentioned behind the challan. [Source : NSDL]

Q15 We have to deposit taxes on account of TDS on salaries of our employees as well as TDS on interest paid to fixed deposit holders who are individuals and other corporates. Can we combine the three payments in one challan?

A15 No you will have to use three separate challans.The TDS on salaries of employees will have to be deposited with Challan No. ITNS 281 by ticking the box '0021 non-companies' as the TDS pertains to individuals (non-companies). The code 92B will have to be filled up under 'Nature of Payment'. (Codes for 'Nature of Payment' are mentioned behind the challan.)In respect of interest paid to fixed deposit holders you will have to first of all segregate the interest payable/paid to companies (Corporates) and non-companies. * For the portion of TDS pertaining to companies fill up Challan No ITNS 281 and tick box '0020 companies' as the TDS pertains to companies. * For the portion of TDS relating to non-companies fill up a separate Challan No. ITNS No. 281 and tick box '0021 non-companies' as TDS pertains to non-companies. * Fill up the 'Nature of Payment' as per codes given behind Challan No. ITNS 281. In this case also the code will be 94A. Please ensure that the bank branch gives you separate acknowledgements with separate Challan Identification Number (CIN) for the three challans deposited by you.[Source : NSDL]

Q16 If I have to deposit fees for filing appeal what should I do?

A16 In case you have to deposit appellate fees copying charges or other miscellaneous payments tick box 0020 thereafter tick box '400 Regular Tax' under 'Type of Payment' and fill up the amount to be paid in 'Others' column under 'Details of Payment'. In case of non-corporates such as individuals partnership firms societies etc. the same procedure is to be followed except that the box 0021 should be ticked at the top of the challan instead of 0020. [Source : NSDL]

Q17 After depositing my tax at the bank I have noticed that I have mentioned the Assessment Year/Minor Head incorrectly in my challan. Whom do I approach to have this corrected?

A17 You should approach your Assessing Officer with an application containing the details of your PAN and the CIN and request him to carry out the necessary corrections. [Source : NSDL]

Q18 After depositing the tax at the bank I have noticed that I have mentioned wrong PAN or I have received my PAN after making the challan payment. How do I get this incorporated in my challan information?

A18 You should approach your Assessing Officer with an application containing the details of correct PAN and CIN and request him to make the necessary correction.[Source : NSDL]

Q19 Is it possible for us to deposit many challans with a single cheque?

A19 No you should deposit separate cheques for each challan. [Source : NSDL]

Q20 Which are the banks where direct taxes can be paid?

A20 As on date 32 banks and the Reserve Bank of India (RBI) at 8 centres are collecting taxes through their authorised branches. To check the nearest authorised bank branch you may contact the bank manager of your bank who will be able to guide you. This information can also be obtained from NSDL-TIN website and the Income Tax Department website.[Source : NSDL]

Q21 Can I make income tax payment using the internet?

A21 You can make income tax payment through the internet. This facility is called e-Tax payment. Details of the same are available at NSDL-TIN website and the Income Tax Department website.[Source : NSDL]

Q22 What is e-payment of taxes?

A22 This is a facility provided to the taxpayers to make income tax payments through internet using net-banking facility. [Source : NSDL]

Q23 How can I use this facility to pay income tax?

A23 You can use the facility if -a) You have a bank account with net-banking facility andb) Your bank is amongst the banks that provide the e- payment facility. [Source : NSDL]

Q24 Whether it is mandatory to pay tax online?

A24 It is mandatory for the following types of assesses to pay tax online with effect from April 12008.a) All the corporate assesses.b) All assesses (other than company) to whom provisions of section 44AB of the Income Tax Act 1961 are applicable. [Source : NSDL]

Q25 Whether it is mandatory to make the TDS/TCS payment (Challan 281) online?

A25 Yes it is mandatory for below Assessee to make the TDS/TCS payment onlinea) All the corporate assesses.b) All assesses (other than company) to whom provisions of section 44AB of the Income Tax Act 1961 are applicable.[Source : NSDL]

Q26 How do I know whether my bank provide this facility?

A26 The list of banks providing this facility is available on NSDL-TIN website. Alternatively you may get the information from your bank.[Source : NSDL]

Q27 What should I do if my bank does not have an online payment facility or is not an authorized bank for etax ?

A27 In case your bank doesnot 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).[Source : NSDL]

Q28 What is the procedure for entering the required data on the screen for paying tax online?

A28 Follow the steps as under to pay tax online:-Step 1a) Log on to NSDL-TIN website (www.tin-nsdl.com).b) Click on the icon e-payment: pay taxes online.c) Click on ?Please Click Here?.d) Select the required challan.Step 2After selecting the required challan you will be directed to the screen for entering the following data:-a) PAN for non-TDS payments and TAN for TDS paymentsb) Name and address of the taxpayerc) Assessment Yeard) Major Head Codee) Minor Head Codef) Type of paymentg) Select the bank name from the drop down providedIn case of challan no. 280 282 and 283 the Permanent Account Number (PAN) needs to be entered. In case of challan no. 281 Tax Deduction/Collection Account Number (TAN) needs to be entered. Please ensure that you enter PAN/TAN correctly as this is extremely important for further processing. The system will check the validity of PAN/TAN. In case PAN/TAN is not available in the database of the Income Tax Department then you cannot proceed with the payment of tax.Step 3After entering all the above detail click on PROCEED button. TIN system will display the contents you have entered along with the ?Name? appearing in the ITD database with respect the PAN/TAN entered by you.Step 4You can now 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. [Source : NSDL]

Q29 What is the procedure after being directed to the net banking site of the bank?

A29 TIN system will direct you to net-banking facility of your bank. You will have to log on to the net banking site of your bank using your login ID and password/PIN provided by the bank. The particulars entered by you at TIN website will be displayed again.You will now be required to enter the amount of tax you intend to pay and also select your bank account number from where you intend to pay the tax. After verifying the correctness you can proceed with confirming the payment.[Source : NSDL]

Q30 What will happen after I confirm the payment of tax at my bank?s site?

A30 Your bank will process the transaction online by debiting the bank account indicated by you and generate a printable acknowledgment indicating the Challan Identification Number (CIN). You can verify the status of the challan in the ?Challan Status Inquiry? at NSDL-TIN website using CIN after a week after making payment. [Source : NSDL]

Q31 How can I know that I have completed tax payment using this facility?

A31 Apart from CIN given to you you can check your online bank statement to verify the tax payment. [Source : NSDL]

Q32 Do I have to attach the acknowledgment counterfoil with my return?

A32 No it will be considered sufficient proof if you quote your Challan Identification Number (CIN) as mentioned in your counterfoil in your return. [Source : NSDL]

Q33 What is the timing for making payment through internet?

A33 You will have to check the net-banking webpage of your bank?s website for this information. [Source : NSDL]

Q34 If I encounter any problem while making payment through internet whom should I contact?

A34 If any problem encountered at the NSDL website while entering non-financial data then contact the TIN Call Center at 022-24994650 or write to us at e-tax@nsdl.co.inIf any problem encountered while entering the financial details at the net-banking webpage of your bank then you should contact your bank for assistance.[Source : NSDL]

Q35 Where should I make enquiries about my tax payments through internet?

A35 You should contact your bank for queries about your payment transaction through internet. [Source : NSDL]

Q36 Whom should I contact if the counterfoil containing the CIN is not displayed on completion of the transaction and if I want duplicate counterfoil?

A36 Your Bank provides facility for re-generation of electronic challan counterfoil kindly check the Bank website if not then you should contact your bank request them for duplicate challan counterfoil.[Source : NSDL]

Q37 If I have misplaced my counterfoil whom do I contact?

A37 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.[Source : NSDL]

Q38 After making e-payment of direct tax if status of challan is not available under Challan Status Enquiry on NSDL site what should I do?

A38 You can verify the status of the challan in the ?Challan Status Inquiry? at NSDL-TIN website after 5 to 7 days of making e-payment. In case of non availability of the challan status kindly contact your bank..[Source : NSDL]

Q39 If I encountered any error on NSDL site while making e-tax payment what should I do?

A39 If encountered any error on e-tax website kindly contact TIN call centre at 022-24994650 or write to us at e-tax@nsdl.co.in[Source : NSDL]

Q40 If after entering challan details in NSDL site if Bank Name is not being displayed what should I do?

A40 The problem may be encountered because of the followingReason 1: If Assessee enters incorrect TAN / PAN in challan data entry screen.Reason 2: If Assessee using Internet Explorer browser then temporary internet files should be deleted by followingA. Open Internet Explorer windowB. Go to ?Tools? MenuC. Select ?Internet Options?D. Delete cookies and Delete temporary Internet files on your machineE. Close the current Internet Explorer windowsF. Again go to tin-nsdl site & make e-paymentIf still above raised problem not resolved then kindly contact the TIN Call Center at 022-24994650 or write to us at e-tax@nsdl.co.in[Source : NSDL]

Q41 Account get debited more than once for the same e-tax transaction what should I do?

A41 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 is being debited then contact your bank for regeneration of taxpayer counterfoil . Please note in the above case donot make the same transaction again which result in account debited more than once for same e-tax transaction.[Source : NSDL]

Q42 How secure is the transmission of data to the website for e- payment?

A42 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. [Source : NSDL]

Q43 How does this system of payment of taxes through internet benefit me as a taxpayer?

A43 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.[Source : NSDL]