Income Tax Online Payment – Follow this Step by Step Guide

Taxes that can be paid online include advance tax as well as self-assessment tax. Sometimes even tax on regular assessment, on distributed profits related to domestic companies, surtax, and tax on distributed income can be paid online. But before making a finalized decision about paying the taxes, you should have some essential tax-related information. Read this post to understand detailed steps on Income Tax Online Payment.


Documents and Information Required

  • The income tax Calculation sheet with detailed income-expenditure or deductions and Taxes
  • PAN details
  • Additional income details including property, capital gains on shares, or winning a lottery, net banking or debit card.
  • Availability of a good internet connection
  • Form AS 26 that deals with the knowledge of taxes paid

Situations When you Have to Pay Advance Tax

If you are a salaried person, you don’t have to worry about the advance tax. Both the payment and deduction of the taxes to the government will be taken care of by the employer.

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But, in case you are a self-employed professional or businessman, then you have to assess the income-expenditure and tax liabilities. The law mandates and advance tax are estimated with the tax liabilities after the deduction of TDS. It complies with the situation when the amount exceeds Rs 10000. So, even if you are a salaried person with the annual tax due over Rs 10,000 you have to pay the advance tax.

Pursuing an activity of professionals like doctors, legal, engineering or accountancy also makes one liable to pay the tax.

Method of Calculation:

  • List down income sources.
  • Assessing Income by checking all financial assets for dividends and interests.
  • Check bank account statements to get the details of the credit.
  • The salaried persons must inform about additional income and income sources for tax calculations.
  • Assessing Expenses for freelancers, self-employed and professionals is mandatory. They must subtract expenses like internet, office rent, electricity, mobile, and other bills, depreciation etc.
  • Assessing Deductions & Taxes by listing down various deductions and exemptions. Then go ahead with the taxable income and the taxes.

5 Simple Steps To Pay Income Tax Online:


Right from the payment of taxes to filing the income tax return, we totally take help from the chartered accountant or the tax facilitation center. You can go online for making the payment, and click the right form that will serve the needful.

The procedure, however, becomes easier with the convenient online mode of payment.

So, follow this step by step and.

  • Step 1-go to the site where you will get a number of options
  • Step 2- options available include payment of tax deducted at source and non TDS/TCS section>>>click on challan number 280 that will become the key for payment of income tax under the head of non TDS or TCS>>>after clicking on it, you will get the window which will redirect you to the E payment gateway
  • Step 3- enter the details>>> click on the option whether or not to pay that Income tax for the individual>>>you may also choose for the company>>>enter your PAN number>>> enter the assessment year of paying the tax and the other details >>>select the type of bank >>> click on the options available- advance tax or self-assessment tax to some others>>> enter the bank name that will become the path for making the payment through the net banking facility>>> click on the proceed button
  • Step 4-after clicking on the proceed button, you will get a window that will ask for confirmation of the details
  • Step 5 -After confirming the details you will be redirected to the page containing the payment gateway>>> here you have to enter the amount of payment you want to make along with some other bank details.

On completion of these steps, you will get a copy of the challan receipt. You can download it and keep for future purpose. Hopefully, you get how simple the method is.

Also, Check – Income Tax Login and Registration – A Step-by-Step Guide

Overall Advantages:

There are many advantages to income tax online payment.

  • You can save lots of time by paying them from any location using the debit card or net banking.
  • You can rest assured that there are no problems regarding late penalties or interest because the fund transfer is immediate. This aspect makes the procedure helpful even when you are having to pay the tax at the last moment.
  • The checking tax payment status method is quite easy when it is applicable online.
  • You will get the immediate acknowledgment of the tax payment which is authentic.
  • It will be also available for verification online.
  • You can copy the receipt of the tax counterfoil which can be stored safely online and available for retrieval even at a later stage.

Final Word:

From the above guide, it is clear that the income tax online payment method is available at your fingertips to make the payments just within 10 to 15 minutes. So, next time you are willing to pay the income tax online, follow the above steps. It will save you additional hassles and unnecessary expenditure of getting your payments done.


Natraj Studied bachelor's degree in finance and business from Telangana University, Nizamabad. A Writer based In India, He has a degree in Charted Accounts and has very knowledgeable in credit repair and Banking Sectors. So, I decided to start a blog and share my knowledge to the visitors.

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