E payment of Challan 280, 281,282, 26QB – Income Tax Department
TDS is the abbreviated form for Tax Deducted Source, controlled by the CBDT. TDS Challan is required to pay the TDS sum deducted to the Tax dept. You can use TDS Challan 280, TDS Challan 281, or 282 as needed. Let’s check the complete understanding of TDS Challan in detail like the various forms of TDS Challan and how to check the status of the TDS Challan etc.
What’s the TDS and TCS Challan?
- TDS Challan is a method used to deposit Tax Deducted Source (TDS) and Tax Collected at Source (TCS) to the Government.
- TDS Challan was implemented in 2004 in order to reduce human error and promote online tax receipts, receipts,s, and refund transactions.
- In the case of Challan for TDS, the person or payer responsible for making specified payments, such as wage, interest, rent, commission, and the like, is responsible for deducting the specified percentage of the amount before paying it to his or her payee or employee.
- Any person making TDS payment claim 281 shall also be liable for the deposit of the TDS sum to the tax department.
Type of E-Tax Challan
Types of TDS Challan: CBDT has specified six challans or forms to be filled and submitted by Assess while depositing income tax online payment.
| Challan |
Purpose |
| ITNS 280 |
TDS Challan 280 is specifically for depositing income tax like for making depositing Income Tax, Wealth Tax, Corporation Tax |
| ITNS 281 |
TDS 281 Challan is specifically for TDS and TCS like for making depositing tax deducted at source and tax collected at source |
| ITNS 282 |
TDS Challan 282 is for depositing gift tax, wealth tax, transaction or security tax, and similar other forms of indirect tax like for making payment of Gift Tax, Estate Duty, Expenditure Tax, other miscellaneous taxes |
| ITNS 26QB |
For payment of Tax Deducted At Source on sale of property |
| ITNS 286 |
Payment under Income Tax Declaration Scheme, 2016 |
| ITNS 287 |
Payment under PMGKY (Pradhan Mantri Garib Kalyan Yojana) Scheme, 2016 |
CHALLAN 280: FOR INCOME TAX, CORPORATION TAX PAYMENTS
To pay advance tax, self-assessment tax, and regular assessment tax, Challan 280 is used by the Assesse. You have the choice of paying income tax via Online Challan 280. Previously you could pay tax offline at authorized Bank branches but this alternative has been scrapped by most of the banks. You should have to a net banking account for any banks to make an online tax for income tax, corporation tax payments.
ONLINE MAKING TAX PAYMENT VIA CHALLAN 280
You can pay the due tax online by filling in the online way of Challan 280 and paying by your online bank site under the banking services. Go to the website https:/www.tin-nsdl.com to make online payments and press the online icon on the e-pay page button or pay taxes via an online link. TIN is the Income Tax Department’s new initiative to collect, process, monitor, and account for direct taxes by using information technology.
PROTECTIVE MEASURES WHILE FILING INCOME TAX CHALLAN 280 PAYMENT
- Quote your accurate Permanent account number along with your name and address used for the tax deposit on Challan.
- For each and every transaction, use a different Challan and fill in the correct code number corresponding to the particular payment form.
- Do not make errors when completing the respective Challan in the selection of Financial Year (FY) and Assessment Year(AY).
- Never use the single challan to make payments of multiple tax forms such as advance tax, tax on self-assessment, etc.
CHALLAN 281: DEDUCTED FROM CORPORATE AND NON-CORPORATE TAX DEDUCTED AT SOURCE (TDS) FOR DEPOSITING TDS
The income tax department facilitates tax deducted at the source to be paid online by filling out Challan 281. Challan 281 is used by both non-corporate detectors and corporate for the payment of TDS under the head of income or TCS. For making TDS and TCS (Tax Collected at Source) payments, Challan 281 is used. The forms of payments covered by Challan 281 are as follows:
- TAX DEDUCTED AT SOURCE / TCS paid by the taxpayer
- TAX DEDUCTED AT SOURCE / TCS Request against regular assessment
- Select the type of payment correctly from the following:
- (100) Advance Tax
- (102) Surtax
- (106) Tax on Distributed Profit
- (107) Tax on Distributed Income
- (300) Self Assessment Tax
- (400) Tax on Regular Assessment
PROTECTIVE MEASURES WHILE DEPOSITING THE CHALLAN 281 VIA ONLINE MODE
- The appropriate Ten digit Tax Deduction and Collection Account Number and name and address of the deductor are quoted on each challan used for tax deposit.
- Always Using a separate challan in various parts to deposit the deductible tax. For instance –, to pay contractors and subcontractors, use Challan 94C for TDS, and to pay rent, use Challan 94I for TDS.
- Identify the accurate code number for each payment type as specified.
- Do not make an error when filling challan in suggesting AY (Assessment Year) and FY (Financial Year)
- Each business division is expected to file only one TAN number with Challan. In case the deductor has a different TAN number for a specific business branch, he is recommended to file tax under one Tax Deduction and Collection Account Number (TAN) Number and surrender the other Tax Deduction and Collection Account Number (TAN) number
ONLINE COMPLIANCE DUE DATE UNDER TDS CHALLAN 281
TDS 281 Challan is issued when a taxpayer deposits TDS and TCS, for which they must comply with the timelines specified for depositing tax.
DEADLINE FOR DEPOSITING ONLINE TDS 281 CHALLAN:
- Online TDS Challan payments excluding property purchase –7thof Next month.
- Online TDS Challan for the property purchase –30thof Next month.
- Online TDS Payment Challan 281 issued in March – 30th April of AY.
The interest of 1.5% is charged per month if TDS payment challan 281 is delayed
WHAT ARE THE TDS DEDUCTION BASIC REQUIREMENTS?
- Every taxpayer with TDS Challan shall be provided with the Tax Deduction and Collection Account Number.
- Upon filing form No 49B (also can find on the TIN NSDL website) with fees, you will obtain a Ten digit number quoted as Tax Deduction and Collection Account Number.
- Reference Ten Digit Tax Deduction and Collection Account Number for all correspondence with the IT department concerning Challan for TDS.
- Failure to mention Tax Deduction and Collection Account Number for TDS is subject to a penalty of Rs 10,000.
CHALLAN 26QB: FOR TDS ON PROPERTY SALES
In compliance with the provisions laid down in section 194-IA, where a buyer purchases an immovable property such as a house or part of a building other than agricultural land, it is required to deduct TDS on such property at 1% at the time of payment to the seller in case cost greater than Rs.50 Lakh. Corporate and non-corporate deductors may use the method.
List of Particular of the Information/ details to be required In Challan 26QBB
- Deductor and deductee PAN category, whether it is corporate or non-corporate
- Deductor and deductee Full name
- Deductor and deductee address
- Choice of more than one deductor or deductee
- Information of the transferred property and full address of such property
- Date of arrangement or reservation, consideration for sale, and payment type (lump sum or installment)
- The amount that is paid or attributed
- TDS number and other statistics, such as TDS rate, interest, charges, etc.
- Mode of payment (net banking or e-payment by a bank branch visit)
- Payment/credit date and tax deduction date
Protective measures while making the payment of Challan 26QB i.e TDS on property
- One percent TDS on the gross sales consideration required to be deducted and paid to the income tax department, the buyer is allowed to deduct TDS. Only the buyer can deduct TDS, not the seller.
- If sales consideration is less than Rs. 50 Lakh, No TDS will be deducted. If installments are charged, TDS will be deducted on each installment.
- On the whole sales amount, tax is to be paid.
- The buyer is not entitled to accept a TAN number (Tax Deductible Account Number).
- The seller must have his PAN number, otherwise, 20 percent of the TDS would be deducted. The PAN number also requires to be provided by the buyer.
- TDS shall be withheld at the point of payment or at the point of the seller’s credit, whichever is earlier.
- Within 7 days after the end of the month in which TDS is deducted, TDS is to be deposited along with Form 26QB.
- The buyer must give the TDS certificate to the seller after payment of the TDS to the government.
What is the Procedure to pay tax under property TDS via Challan 26QB?
- Visit the website https://onlineservices.tin.egov-nsdl.com/etaxnew/tdsnontds.jsp to pay for TDS by using Challan 26QB
- After that, click on Challan 26QB and choose the taxpayer type:
- Taxpayer for corporations: 0020
- Non-firm taxpayer: 0021
- Full information such as the Financial Year and Assessment Year, the name of the deductor and deductor, the address of the deductor and deductor, property descriptions, and the sum of tax deducted.
- Pick the payment mode. Select e-tax payment for online payment directly, and e-payment for offline payment on corresponding days.
- If you vote for online payment via net banking, By using the correct username and password, log in to your net banking account.
- Thereafter The system will create printable acknowledgment after the correct payment, which consists of details such as TDS payment and banking details.
- Take the print out of your acknowledgment slip if you want to pay offline. The slip of acknowledgment will be valid for Ten days after completion. By visiting the designated bank branch, you can pay tax via cheque or Demand Draft. You will get a copy of your Challan 26QB from the bank after making a successful payment.
STEPS TO BE FOLLOW FOR MAKING INCOME TAX PAYMENT THROUGH CHALLAN:
- Press on the e-pay tab or pay taxes online on the TIN NSDL website and choose the respective Challan. If you open the screen with the form, enter the following details:
- Permanent Account number
- Your Residential address
- year of Assessment for which the tax is to be paid
- Minor Head code
- Applicable Tax (income tax on salaried workers)
- Type of payment: You must pick 100 in the case of advance tax, 300 in the case of self-assessment tax and 400 in the case of daily assessment tax to make any payment only if the income tax department has increased the query.
- Choose a bank name from the drop-down list of banks
- Click the Proceed button after filling in all the required details. The TIN system will display all the information entered by you along with your name in the income tax department database for the Permanent Account Number entered by you.
Note: Permanent Account Number is Compulsory for the payment of income tax. Paying of tax would not continue without a correct Permanent Account Number (PAN) number.
- You will get an opportunity to check the information you entered. If you notice any errors, click on the Edit button to correct the details. If all the filled-in details are correct, tap submission. You will be directed to its net-banking site via the TIN system.
- Log in with a user ID and password to your net banking account and enter the payment details. Your pay has to be split into separate elements such as income tax and education cess, etc.
- Through debiting your account and on a satisfactory deposit, your bank will process the transaction online; a printable certification representing CIN (Challan Identification Number) will be created by the machine. The CIN number, payment information, and name of the bank from which the payment was made would be included in the Challan acknowledgment. Challan recognition is the evidence of payment being made. After a week of making payment, you can check the Challan status online in the Challan Status Enquiry section on the NSDL-TIN website using your CIN.
How to pay income tax using the offline Challan?
By visiting your particular bank branch, you can also pay income tax by using respective Challan offline. You may make payment by cheque or Demand Draft. A counterfoil containing the Corporate Identification Number (CIN) number and payment information will be provided by the bank during deposit. After a week of payment, you can check your Challan on the Tax Information Network (TIN) NSDL website.
Challan 287: Under Pradhan Mantri Garib Kalyan Yojana Scheme or PMGKY scheme, 2016 while making an income tax payment
Normally Challan 287 are using Under the Pradhan Mantri Garib Kalyan Yojana (PMGKY) Scheme, 2016, for making tax payments by taxpayers preparing to planning to disclose income during the period From 17 December 2016 until 31 March 2017 under the PMGKY Scheme.
Pradhan Mantri Garib Kalyan Yojana Scheme or PMGKY, 2016
You could report all of declaring any of your disclosed income (either in the form of cash or deposit) to pay tax, cess, or penalty under the taxation and investment regime of PMGKY, 2016. under the Pradhan Mantri Garib Kalyan Yojana Scheme, 2016, the tax on such declare any of your disclosed earnings is to be deposited in government accounts with the help of Challan 287 under the income tax.
How to make payment of tax under PMGKY?
Under Pradhan Mantri Garib Kalyan Yojana, 2016, you can pay tax on your disclosed income by following the steps below:
- Declare income such as deposits and cash: under government PMGKY, 2016, you are expected to report your unaccounted deposits and cash.
- Pay tax and make the deposit: As recommended by the Income Tax Department, you are expected to pay tax at a 50 percent rate on reported income. Afterward, in Pradhan Mantri Garib Kalyan Yojana, 2016, you are expected to pay 25 percent of the total declared amount. The money therefore charged will be blocked for four years by the state, and will be charged to you without interest.
- Payment of income tax using Challan 287 and proof of payment: You are expected to pay tax using Challan 287 after completing the above steps and to receive a counterfoil in respect of the payment made. The counterfoil is seen as evidence of the payment you have made.
Protective measures while filing income tax
- For filing taxes by using Challan 287, the PAN number is compulsory. If you do not have a PAN number, apply for the Permanent Account Number (PAN)number and the application date of the quotation, and the number of the certificate.
- Make sure the bank counterfoil contains the following details:
- Seven Digit BSR code of the branch of the bank via which the payment was made
- Date of Challan’s deposit
- Serial Number of Challan
- CIN Number
Challan 286: For making the payment of Undisclosed income under the Income Tax Declaration Scheme 2016
The Finance Act, 2016 consists of the requirement under the Government’s Income Tax Declaration Scheme 2016, to pay taxes on undisclosed income received during the previous year. Challan 286 may be used to pay income tax on certain income to the state. As specified by the Income Tax Department, income tax on such undisclosed income is payable at a Forty-five percent rate. This Income Tax Declaration Scheme 2016 is effective as of June 1st, 2016.
Online Check the status of TDS Challan with the Tax Dept.
Check the status of your tax challan deposited in banks online. Taxpayers can verify the status of their verity either through the CIN or the TAN. Banks can verify the online status of the tax deposited in their banks by choosing either a bank branch or a nodal bank branch.
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