A guide on - How to pay TDS online

A step by step guide for paying TDS online.

Before learning how to pay TDS online, one must understand the concept of TDS. TDS is a system where the person responsible for making specified payments is liable to deduct a certain percentage of tax. After deducting the tax at the source, the deductor is obliged to deposit it with the government, within the prescribed time period. Pay TDS online, TDS e payment, e TDS payment, TDS deposit online, and TDS challan payment, etc.

Read in detail about TDS – “A comprehensive guide on TDS”.

Deductor can deposit the said tax deducted at source (TDS) online i.e. via e-tax Payments.

This article will guide you to know the steps for paying TDS online.

In order to avail of the facility, the deductor should have either Net Banking or Debit Card facility available.

The following steps will help the deductor to pay TDS online i.e. via e-tax:-

Step 1: Log in to TIN-NSDL Portal (https://www.tin-nsdl.com/) and click on the services tab

Step 2: Find the “e-payment Pay Taxes Online” head and click on the head.

Step 3: Select the relevant challan, i.e. challan ITNS-281. This challan is used for depositing TDS/TCS.

After choosing the correct challan, click on “Proceed”.

Step 4: On the new page, fill in the details carefully.

Select Tax Applicable

(0020) – For “Company Deductees”.

(0021) – For “Non-Company Deductees”.

Select Type of Payment

(200) – For making payment of TDS / TCS by the deductor.

(400) – For making payment of demand raised during TDS / TCS assessment.

Select the Nature of Payment. salary, interest, commission, rent, professional service, etc.

Select the Mode of Payment. Net-Banking or Debit Card.

Select “Bank Name” from the drop-down list of the selected modes of payment.

Note:- For Debit card mode only a few banks option is available.

Enter the Tax deduction Account No. Apply for TAN

Select relevant Assessment Year

Fill Address, District, State, Pin code, Email ID, and Mobile Number.

Enter the “Captcha Code”.

Step 5: Go through the challan and confirm all the details entered in the challan and click on the “Proceed” button.

Step 6: On the new page, a confirmation page will appear. If the details are correctly entered in the challan, the full name of the deductor will appear automatically on this page.

Step 7: Click on the “Submit to the Bank” button and it will be redirected to the net banking page of the bank selected earlier.

Step 8: Login into the net-banking portal on the website with the user ID and password provided by the bank and enter the payment details.

Step 9: Once the payment is successful, a counterfoil will be generated on the screen with CIN (Challan Identification Number), BSR (Basic Statistical Return) code, Challan Serial Number, details of the payment, and name of the bank through which the payment is done. This counterfoil is proof of payment made by the taxpayer.

Online Verification – After making the online payment of TDS, the deductor can track online the status of the Challan deposited in the bank in the ‘Challan Status Inquiry” on the NSDL – TIN website. This can be done after seven days of making the payment.

Hopefully, the above-illustrated steps will help you in payment of TDS online.

After the payment of TDS, the taxpayer files the TDS return.

The payment of TDS is a monthly process whereas its returns are filed quarterly.