Every Indian taxpayer’s financial responsibility includes paying their income taxes. There are two main ways to pay income tax: the contemporary and practical online technique through the Income Tax e-filing portal and the conventional offline method carried out at authorised bank branches. In order to assist you make the correct decision, we will examine both approaches in this post and emphasise their benefits and disadvantages.
Paying Income Tax Online via E-filing Portal
Usefull of Paying Income Tax Online
Simple Registration: To start using the online approach, you must first complete the simple registration process on the official Income Tax e-filing page. This first action simplifies all of your later tax payments, making it a practical decision.
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24/7 availability: You can pay your income taxes at any time, day or night, using the online method. You can manage your taxes whenever it’s convenient for you thanks to this flexibility, which removes the limitations of banking hours.
Payment Tracking: Using an online system makes it simple to keep track of your payment status and transaction history. Your financial records are simple to check, which will help you keep better control of your money.
Secure Online Transactions are available through the Income Tax e-filing Portal. You can select the payment method that you feel most confident in from a variety of options, including net banking and debit/credit cards.
Benfit Of Paying Income Tax Offline at Bank
Personal Assistance: If you choose the offline approach, bank employees will personally assist you. It is the best option for individuals who value human interaction because they can direct you through the procedure.
No Internet Dependency: The offline technique is still a reliable option for people who have no or limited access to the internet. It does away with the necessity for both technical know-how and an internet connection.
conclusion
In conclusion, the decision to pay income taxes online using the e-filing portal or choose the offline option at a bank mostly depends on your preferences, situation, and availability of resources. While the offline strategy offers a more traditional and reliable process, the internet method offers ease, accessibility, and efficiency.
Here is how to pay taxes using a challan both offline and online.
How to pay income tax online
Step 1: Visit the Income Tax e-filing portal at https://www.incometax.gov.in/iec/foportal. If not logged in, find the ‘e-pay Tax’ button under ‘Quick Links.’ If logged in, locate it under the ‘e-file’ button.
Step 2: Clicking the ‘e-pay Tax’ button opens a webpage, whether logged in or not. Here, provide the Assessment Year (A.Y.) and select the type of payment (e.g., advance tax, self-assessment tax). Fill in these details and click ‘Continue’.
Step 2: Clicking the ‘e-pay Tax’ button opens a webpage, whether logged in or not. Here, provide the Assessment Year (A.Y.) and select the type of payment (e.g., advance tax, self-assessment tax). Fill in these details and click ‘Continue’.
Step 3: Next an individual has to fill in the tax break-up details: tax amount, surcharge (if any), cess (if any), etc on a new webpage. Normally in the case of advance tax payment, penalty, cess, the other rows are not required to be filled. It is enough to fill in the advance tax amount in the ‘Tax’ row.
Step 4: In the next step, you proceed to make the advance tax payment. At this stage, you have two payment options: online, which includes debit card, credit card, RTGS/NEFT, UPI, and net banking, and offline, which involves using a bank challan and RTGS/NEFT. It’s important to note that RTGS/NEFT is the common option available for both online and offline payment processes.
Offline payment process
Certainly, some individuals may opt for the offline payment method, especially when dealing with significant income tax payments due to concerns about internet connectivity. The Income Tax Department provides two offline tax payment options: RTGS/NEFT and bank challan, offering taxpayers flexibility in choosing a method that aligns with their preferences and circumstances.
RTGS/NEFT
To make an offline tax payment using RTGS/NEFT, start by selecting the RTGS/NEFT option on the payment page. Then, proceed by clicking ‘Continue.’ This will lead you to a new webpage where you’ll find a button labeled ‘Download Mandate Form.’ Simply click on it to download the form.
Once you’ve downloaded the RTGS/NEFT mandate form, be sure to print it out and take it to your bank for further processing.
