How to Pay Outstanding Income Tax Demand online?

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How to Pay Outstanding Income Tax Demand online?

Have you filed your E-filing Income Tax Returns online? The due date for filing the Income Tax Returns has been approaching and the last date as per the Income Tax Department is 31st July, 2016 according to the financial year 2016-17. If you’re done with your submission process or E-filing IT returns via the online mode, it is well and good. But, if you haven’t completed the process of filing IT Returns, just take the guidance of other articles which we have provided in this blog.

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Let’s discuss about the things which the tax payer must take care after successfully submitting or filing the Income Tax Returns for the financial year 2016-17. Usually, Income Tax Returns filing includes several steps such as E-filing Income Tax Returns online, Mailing Income Tax Returns V form to the Centralized Processing Cell (CPC- Bangalore) and finally receiving an ITR V acknowledgment form.

Once you receive the ITR V acknowledgement form from the CPC Bengaluru via an Email within a year of Filing the Income Tax Returns, you can find ‘Intimation under Section 143(1)’ which will be sent by the Income Tax Department. Intimation deals with the Outstanding Income Tax Demand that must be paid by the tax payer.

Here is everything you need to know about Outstanding Income Tax Demand and much more detailed guide for the tax payer to pay Outstanding Income Tax Demand online. In this article, you can check out how to pay or decline paying the Outstanding Income Tax demand received by the tax payer under section 143(1).Take a look!

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What is Intimation U/S 143(1)?

After successfully submitting or filing the Income Tax Returns online to the concerned department to CPC Bengaluru, it will send intimation U/S 143(1) to the specific tax payer regarding the Outstanding Income Tax Demand that must be paid by the tax payer. If the tax payer pays less Income tax than what they are actually made-up to at the time of e-filing Income Tax Returns online then, in such a case the tax payer will receive the intimation.

At the time of processing and assessing the e-filed Income Tax Return by the CPC, the Income Tax department will send an Email asking the tax payer to pay the outstanding demand under the Section 143(1). The email also includes all the essential calculations regarding the reason why the tax payer need to pay the outstanding demand or more tax than what the payer had already filed to the department. The CPC/AST will raise the outstanding tax demand that must be paid by the tax payer which is sent to the tax payer in the form of intimation through the email.

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The tax payer can check out the calculations provided via the email and once the tax payer gets a clear picture regarding their outstanding income, you can either accept or refuse to pay the outstanding demand to the Income tax Department. Usually, the Income Tax Department sends Intimation under Section 143(1) for 2 major aims:

  • In a bid to notify the tax payer regarding any outstanding Income Tax demand or Interest payable by the tax payer.
  • The other reason is to let know the tax payer regarding any tax or interest refundable to the tax payer.

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What if you Receive Email for ‘Tax Refund’ Intimation?

If you receive an email intimating you regarding the tax refund intimation then you need not do anything much. The Income Tax department will refund you the amount which you’ve paid additional than the actual Income Tax that you must pay to the Income Tax Department. The refundable amount will be received by the Tax payer to their concerned or authorised bank account.

What if you Receive Email for ‘Tax Demand’ Intimation?

If in case, you receive an email that states you need to pay outstanding tax demand, which is a tax the must be paid by you, then you need to check out all the calculations provided in the mail. If you’re totally pleased with the computation and other essential calculations done by the Income Tax Department and accept to pay the outstanding demand, then you must pay the amount of Tax payable under the Section 143(1).

In some cases, you may find the refundable amount is zero but, you need to pay certain amount as interest payable amount. Usually,the tax payer is demanded to pay the entire Income Tax demand as mentioned by the Income Tax Department within a stipulated time of about 30 days or 1 month after receiving the acknowledgement receipt of the Intimation.

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How to Pay Outstanding Income Tax demand Under Section 143(1) online?

Here is a detailed guide with step-by-step procedure to pay the outstanding tax demand online:

Step 1:First of all, visit the official website of Income Tax department @ www.incometaxindiaefiling.gov.in and log in to the website.

Step 2: Once you log in to your website just hit the option “My Account.”

Step 3:Under the e-File menu option, you can find the link “Response to Outstanding Tax Demand.” Just hit the link in order to double-check the outstanding tax demand amount that you must pay.

Step 4:Just click on the option “E-Pay Tax” in order to pay certain taxes online. Once you hit the above option, you will be redirected to a website called “Tax Information Network” (TIN).

Step 5:On the new redirected web page, choose the option “Challan no /ITNS 280”.

Step 6:Then, hit the option “Income Tax – other than companies.”Enter all the essential details that include the following:

  • PAN number
  • Assessment Year (this year can be found on the first web page of the Intimation)
  • Address
  • Email-id
  • Mobile Number

Step 7:Under “Type of payment” section, you need to choose the option “Tax on Regular Assessment (400)”

Step 8:Choose your preferred authorised bank using which you wish to make your tax payment. Once you make your payment, hit the button “Proceed” and re-check your credentials

Step 9:You will be then directed to the Login page of your preferred authorised bank. Once you visit the login page, enter your credentials in order to login to your bank account.

Step 10:Next, enter the Outstanding Income Tax Demand amount asked by the Income Tax Department. You can find various options such as Interest, Penalty, income tax,Education cess, surcharge and much more.

Step 11: You can find the type of demand and the category to which it belongs can be found on the Intimation document sent by the CPC, Bengaluru.

Step 12:Once you enter the essential amount of outstanding tax demand, you can make proceed to make the payment by making use of your net-banking facility.

Step 13: Once you complete the payment of outstanding tax demand online, an online receipt will be generated. Take a print out of the receipt or acknowledgement for future reference.

How to check the status of your Outstanding Tax demand Payment online?

Once you complete the payment of outstanding tax demand online, there are two different methods to check the status of your payment. The concerned Income Tax department has received your Outstanding Tax demand payment or not can be checked using two methods. You can check for the status of Outstanding Tax demand payment online status after two to four weeks from the date of your payment.

Method 1:

  • Visit the official website of Income Tax department.
  • Click on the option “Outstanding Tax Demand” and check the status of your payment.
  • If your Outstanding Tax Demand payment is received by the Income Tax department then you will not find any kind of records.

Method 2:

  • You can also check the Outstanding Tax Demand payment status just by clicking on the option “View Form 26AS.”
  • Once you hit the option, you will be re-directed to a new web page of “TDS website.”
  • Click on the option “View Tax Credit – Form 26AS.”
  • Choose the exact Assessment Year as mentioned in the intimation and check out the PDF document.
  • You can even download the PDF document.

That’s it! These are the simple steps and process of making payment of outstanding tax demand online. Hope this detailed guide helps you in the best way to know the process of paying outstanding tax demand to the Income tax department.

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