New Tax Payment method via e-Filing portal

In recent years, the income tax department has taken various measures and initiatives to make the income tax payment process smooth and easy for individuals. Subsequently, growth has been seen in the Income-tax collection from 69,198 crores to 8.71 lakh crores over a decade.

As seen previously, online tax payments were made through the NSDL portal using debit cards or net banking facilities of authorized banks only. And taxpayers had difficulties paying their taxes, and did not have accounts in authorized banks; however, the process has recently been migrated to the e-Filing Portal with increased payment options. Now one can pay taxes via UPI and credit cards also through the payment gateway method. Moreover, surprisingly you can also deposit tax without logging into the e-Filing portal.

Also! wouldn’t it be more convenient for people to have multiple platforms/ways to pay taxes? Just like paying bills online for electricity, mobile recharges, and other payments on Google pay, Amazon, Paytm wallet, etc.

Now, let’s understand the new tax payment pattern in the e-Filing Portal.

Here, there are two methods to pay taxes through the e-Filing Portal

  • Pre-Login option: With this method, you can simply pay tax without logging into the e-Filing portal
  • Post Login option: From this option, you can pay tax by logging into the e-Filing portal, where, you have three ways which include
    • New Challan Form (CRN): By this, you can start with a new payment option, where the tax payment process has not been started and any drafts have not been made before.
    • Previously Saved Drafts: Here, you will be able to pay tax for the saved drafts for which challan has not been generated, and you can resume from the step you have left.
    • Previously Generated Challan Forms (CRNs): Using this option, you can pay tax for an already generated Challan Form saved under the Generated Challans tab, by clicking on Pay you can resume the payment from the saved challans. You are required to make the tax payment within 15 days from the generation of the challan.

The new e-Filing portal would allow income tax payments to be made in five ways includes: Net Banking, Debit Card, Pay at Bank Counter, RTGS/NEFT, and Payment Gateway. For now, there are three authorized banks for the e-pay tax option: Kotak Mahindra Bank, Bank of India, and Federal Bank, from which at present only the Kotak Mahindra Bank Payment Gateway allows you to pay taxes using apps like Google Pay, Amazon Pay, BMIP, PhonePe, Paytm, and others.

Are there any transaction charges levied on income tax payments?

As per the e-Filing Income Tax Portal, you are liable to pay convenience charges and goods and services tax (GST), subjective to certain payment methods.

There will be no additional charges if you pay your taxes with a debit card or at a bank counter or net banking options of an authorized bank. If you choose to pay taxes using payment gateways or credit cards, then, you will be charged based on the bank you select.

Here is a detailed article on: Pay Tax Online through Income tax Portal