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Income Tax Challan: How to e-Pay Your Tax?


Income Tax Challan

In the digital age, paying income tax has become more convenient. With the advent of online tax payment options, taxpayers can effortlessly fulfil their tax obligations without the hassle of long queues or paperwork. This article will guide you through the step-by-step process of e-Pay Tax on the Income Tax Portal and shed light on this method’s benefits and eligibility criteria.

How to e-Pay Your Tax?

Step 1: Navigating to ‘e-Pay Tax’ Section

The journey begins at the Income Tax Portal. Upon arrival, take a moment to locate the ‘Quick Links’ section on the homepage’s left side. There, you’ll find the ‘e-Pay Tax’ option. Alternatively, you can employ the search bar to locate ‘e-Pay Tax quickly.’

Step 2: Enter PAN/TAN and Mobile Number

Once you’ve accessed the ‘e-Pay Tax‘ section, the next step involves entering your Permanent Account Number (PAN) and re-entering it to confirm accuracy. Following this, provide your mobile number and click ‘Continue.’ A 6-digit OTP (One-Time Password) will be sent to your mobile number, which you must enter to proceed.

Step 3: Select the correct Assessment Year and Payment Type

In this step, you’ll need to make a couple of selections. Start by checking the first box labelled ‘Income Tax’ and click ‘Proceed.’ From the ‘Assessment Year’ dropdown menu, select ‘2023-24.’ For the ‘Type of Payment,’ opt for ‘Self-Assessment Tax (300)’ and proceed by clicking ‘Continue.’

Step 4: Enter Tax Payment Details

Now comes the crucial part – entering your tax payment details. Ensure that you input the payment amounts accurately under the relevant categories. You can refer to the pre-filled challan if you need guidance on the specific amounts.

Step 5: Select the Payment Method

Next, it’s time to select your preferred payment method and bank. You have various options, including internet banking, debit card, credit card, RTGS/NEFT, UPI, or paying at the bank counter. Once you’ve made your selection, click ‘Continue’ to proceed.

Step 6: Verify Payment Information

Before finalizing the transaction, you can review the challan details. Double-check all payment information for accuracy. If any modifications are necessary, click ‘Edit.’ Otherwise, proceed to ‘Pay Now’ to complete the payment.

Step 7: Submit the Payment

To seal the deal, tick the checkbox to agree to the Terms and Conditions. Then, click ‘Submit To Bank’ to initiate the payment process. You will receive a confirmation once your tax payment has been successfully submitted.

Step 8: Receive Payment Confirmation

After completing your tax payment, it’s advisable to download the challan. You’ll need the BSR code and Challan number for the subsequent return filing process.

Step 9: Declaring Tax Paid Details

Following your tax payment, make sure to update the payment information. Click’ Add Paid Tax Details’ on the ‘Tax Summary’ page. You can either upload the challan or manually input the details. Once done, your tax payment status will change to ‘taxes paid,’ allowing you to proceed with e-filing and e-verifying your return.

Benefits of e-Tax Payment

The advantages of e-tax payments are undeniable:

  1. Time-Saving: Paying taxes online saves precious time and can be done at your convenience, eliminating the need to endure long queues.
  2. Automatic Record Updates: Tax department records are updated automatically, sparing taxpayers from additional steps to ensure the updating of records.
  3. Instant Receipt Generation: With e-Payments, tax receipts are generated instantly, offering peace of mind and proof of payment.
  4. Online Verification: Checking the status of your tax payment can be easily done online, reducing the need for manual verification.

Eligibility for e-Tax Payment

As of April 1, 2008, the following groups are required to pay taxes online mandatorily:

  1. Corporate Assessees: All corporate assesses must opt for online tax payment.
  2. Assesses under Section 44AB: Individuals or entities to whom the provisions of section 44AB of the Income Tax Act, 1961, are obligated to make online tax payments.

Self-Assessment Tax

In income tax returns, you cannot submit your return unless you have settled your tax dues in full. Self-assessment tax is the term for taxes payable when filing your income tax return. This tax can be conveniently paid online, ensuring a smooth e-filing process. Additionally, if you are paying tax after March 31, remember to include interest under sections 234B and 234C along with your tax dues. Contact Kanakkupillai tax expert to know more details about online tax payment.


Online tax payment offers unparalleled convenience, saving time and streamlining the taxpaying experience. Embracing this digital option not only fulfils your tax obligations efficiently but also contributes to the smooth functioning of the tax department’s record-keeping system. Remember, tax compliance is a crucial aspect of responsible citizenship, and online tax payment platforms have made it easier than ever to fulfil this civic duty.


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