Paying Income Tax Online, epayment: Challan 280

To deposit Advance Tax, Self Assessment tax and Regular Assessment Tax an individual has to use challan ITNS-280. It can be paid both through internet (online or e-payment) and at designated branches of banks empanelled with the Income Tax Department (offline). Our article Challan 280: Payment of Income Tax discusses the basics of Payment of Income Tax. In this article we shall explain for an individual what is Challan 280, how to pay online?

Online Payment or E-Payment

e-Payment facilitates payment of direct taxes by taxpayers through internet (also called online). To avail of this facility the taxpayer is required to have a net-banking account with any of the Authorized Banks. The webpage for paying tax online is  TIN NSDL webpageTax Information Network (TIN) is an initiative by Income Tax Department of India (ITD) for the modernization of the current system for collection, processing, monitoring and accounting of direct taxes using information technology. TIN is a repository of nationwide Tax related information, and has been established by National Securities Depository Limited (NSDL) on behalf of ITD.

Step1 : On TIN NSDL webpage Select Challan 280.

Challan 280 online payment site TIN NSDL

Challan 280 online payment site TIN NSDL

Step 2: Enter details such as  a) PAN for payment of Tax. b) Address of the taxpayer c) Assessment Year d) Major Head Code e) Minor Head Code f) Type of payment g) Select the bank name from the drop down provided.  TIN NSDL webpage of Authorised Bank is list of banks through which one can do e-Payment of tax.

Note: In this screen or webpage you don’t have to enter your name.  Please ensure that you enter PAN correctly, as this is extremely important for further processing. The system will check the validity of PAN. In case PAN is not available in the database of the Income Tax Department then you cannot proceed with the payment of tax. After 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.

challan-280 epayment details

challan-280 epayment details

E-payment instructions on the webpage are as follows:

Challan 280 ePayment instructions

Challan 280 ePayment instructions

Step 3 : You 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.

Step 4: Fill in the information.

Assessment year :Return for income earned in a particular financial year (say April 1, 2012 to March 31, 2013) should be filed by July 31 of the immediate next financial year (2013-14). In this case, FY is 2012-13 and AY is 2013-14.

  • Financial Year (FY): This is the year (starting April 1) in which you earned the income for which you are filing your tax return.
  • Assessment Year (AY): This is the year (starting April 1) in which you are filing the tax return for a given Financial Year.

 Tax applicable : For individual Select 0021 : INCOME-TAX (OTHER THAN COMPANIES)

Type of Payment : Type of payment depends on  why you are paying income tax.

  • 100 for Advance Tax
  • 300  for SELF ASSESSMENT TAX,
  • 400 for Tax on Regular Assessment for making any payment only when demand has been raised by Income Tax Department.

Step 4:Login to the net-banking site with the user id/ password provided by the bank for net-banking purpose and enter payment details at the bank site.

You need to break up the tax payable into its components, i.e. “Income Tax” and “Education Cess” etc as shown in picture below. There is no Surcharge for FY 2012-13 and education cess is 3%.

Paying advance tax and self assessment tax by Challan 280

Paying advance tax and self assessment tax by Challan 280

  • Basic tax is tax payable without any cess, interest etc. 
  • Surcharge : is Not applicable. So Should be 0(zero)
  • Penalty :is applicable only if assessment order is passed and you receive a notice from Income Tax Dept. Not applicable for Self Assessment or Advance Tax.
  • Education cess. : is 3% of the Basic tax. 
  • Interest : If one has to fill interest for late payment of advance tax and self assessment tax 234B,234C or any other interest . Then it has to be mentioned here.
  • Others: Which does not fit into any of above category  Unless specially asked ignore.

For Advance Tax: Filling only basic tax. 

For Self Assessment Tax:   One needs to  pay education cess and also penalties calculated under Sections 234A/B/C and entered separately in Interest field.  If you have detailed calculation say while filing ITR fill in the values from it as shown in image below. Else get the breakup of tax into education cess, interest and Basic tax. 

Filling Self Assessment Tax in Challan 280

Filling Self Assessment Tax in Challan 280

Step 5: 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). Challan counterfoil will contain CIN, payment details and bank name through which e-payment has been made. This counterfoil is proof of payment being made. 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.

Challan 280 e payment counter foil

Challan 280 e payment counter foil

If any problem encountered

  •  at the NSDL website while entering non-financial data then contact the TIN Call Center at 020 – 27218080 or write to at
  • While entering the financial details at the net-banking webpage of your bank, then you should contact your bank for assistance.

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

After paying income tax through Challan 280 what next?

You can verify challan using CIN in reciept online through your Form 26AS or through Challan Status Enquiry on  TIN webpage. You also need to quote CIN number while filing your income tax. Our article , Challan 280: Payment of Income Tax, discusses verification, correction process in detail

If you have paid Self Assessment tax through Challan 280 fill in the details in Tax paid and make sure that your tax liability is 0 before submitting the return  as explained for ITR1 in our article Fill Excel ITR1 Form : Income, TDS, Advance Tax

For more queries : Check TIN-NSDL’s Frequently Asked Questions (FAQ) on e-payment

Disclaimer:  Please do not construe this as professional financial advice. While efforts have been made to provide correct information, this is our understanding of the Income  tax law. Apologies upfront for any mistakes. Please let us know and we will correct. Please don’t send us emails asking us to check your income tax detail. But if you have any doubt on the  article or some clarification is required or you feel some information is wrong. Please leave it in comment section so that all readers can benefit. For details check our Disclaimer.

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In this article we have tried to cover how to pay income tax using challan ITNS-280. Do you pay Challan 280 online or offline? Do you pay Education cess while filling the Advance Tax? What have been your experience in paying through Challan 280? Did you like the article?

10 Responses to Paying Income Tax Online, epayment: Challan 280

  1. Firoz says:

    Hi
    I have filed return for AY 2014-15 today.
    Realized that the tax on income is say 100 while the amount deducted by my company is 96 as in Form 16
    I have already uploaded the xml, but yest to send ITR-V hard copy via post to CPS

    What should I do now ??
    Do not do anything considering a difference of only 4 rs
    Pay additional 4 Rs on my own as tax and submit xml again ?? ow to pay tax, under which head and is it possible to upload xml again !!

    please help

    • Kirti says:

      Theoretically You have to pay all your due taxes before filing Income tax. I am not sure if there is a difference of Rs 4 or the limit to which you can ignore.
      When you still owe taxes to the government. For example: if you have income from other sources, if you have worked in more than one company, etc. You will be liable to pay a penalty of 1% interest on the balance tax payable, under section 234A.
      Self Assessment Tax: While filing income tax returns, an assessee does a computation of income and taxes to be filed in the returns. At times,due to incorrect calculation or laziness or ignorance, the tax paid either as Advance tax or in TDS is less than actual tax payable. The difference between tax payable and tax paid is called the Self assessment tax. This needs to be paid before Income Tax Returns are filed.
      Our article Fill Excel ITR1 Form : Income, TDS, Advance Tax explains it.
      Please remember that Returns filed after the due date cannot be revised.

  2. sowmiya says:

    i have paid the advance tax in online using debit card ,the payment has been transfered but i did not get the counterfoil that has the CIN no..I approached my bank but they are not responding properly.what should i do now.pls reply as soon as possible

    • Kirti says:

      I pay through netbanking – debit card I am not aware of. Did you pay offline/online?
      That’s surprising. Please check your Form 26AS and verify if advance tax appears.
      The transaction should appear in your bank statement. Approach the bank with the statement .
      Which bank it is – a public sector bank or private bank

  3. Tariq says:

    Apply pan card online India

    Apply Pan India is a one stop solution for all the individuals who wants to apply for Pan card online.

  4. mohan says:

    Query:

    In FY 11-12 I sold a house property on which I made long-term capital gains of Rs 400 Lakhs. Out of this I deposited Rs 50 Lakhs in REC Bonds and Rs 250 Lakhs in CGAS. I paid tax on the remaining capital gains of Rs 100 Lakhs for FY 11-12 and filed my return of income for AY 12-13 in Jul’12 declaring the said capital gains. However, subsequent to my filing the return, I purchased a new flat in Nov’12 which cost Rs 320 Lakhs. This was paid to the extent of Rs 250 Lakhs out of CGAS and the balance Rs 70 Lakhs out of the capital gains held by me in my bank account. In these circumstances is it permissible to claim a higher deduction under section 54 and consequent refund of tax by filing a revised return of income ?

    • Kirti says:

      You can claim tax exemption under Section 54 on the long-term capital gain on the sale of a house. To avail of this exemption, you must

      Use the entire profit to either buy another house within two years or
      Construct one in three years.
      If you had already bought a second house within a year before selling the first one, you could still avail of the tax exemption,

      So from your information it seems you could have used entire 400 lakh for buying house.
      50 lakh in REC bonds are locked for 3 years so let’s leave it (else reversal need to be taken care)
      For buying house you used :
      250 lakh for buying house
      remaining 70 lakh you said I paid out of the capital gains held by me in my bank account? Is it part of 100 lakh on which you paid capital gains?
      You can revise your returns (assuming it’s not processed yet) but our suggestion is take help of professional for he might be able to save you from being penny wise and pound foolish!
      Now for rem

  5. Hello, I have made payment of self assessment tax before filing my return using challan 280. now I come to know there is mistake in my return and in calculation of my self assessment tax. What should be done now? If I file for revision of my return form (it is itr1) then should i have to pay the tax difference again in challan 280. please advise as it is all very confusing for me.

    • admin says:

      To err is human so it’s okay. Yes you can file the revised return provided the original return has been filed before the due date and provided the department has not completed assessment. However it is expected that the mistake in the original return is of a genuine and bona fide nature. Please take care of following:

      Corrected tax returns can be filed only if the original returns were filed on time

      You can file a revised return only in case of ‘omission or wrong statements’ and not for ‘concealment or false statements’

      Revise tax returns within one year from the end of the assessment year or before the assessment

      Returns can be revised when filed pursuant to notice under Section 148

      You will have to cough up 100 to 300 per cent of tax due as penalty for concealing income

      This apart, revised returns have a higher chance of landing a scrutiny letter from the I-T department. More details at Business Standard Made a mistake in filing I-T returns?

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