How to Make Payment of TDS?: Tax Deduction at Source is the system where the tax or TDS gets deducted, and TDS payments happen online. The deduction of tax is during the time of making a few payments such as interest, rent, commission etc. The individual making such specified payments is responsible for deducting the TDS and making the TDS payment, as well as paying the balance amount to the individual entitled to receive such compensation.
The entire list of such specified payments, along with the TDS rate to be deducted, can be accessed in the TDS rate chart.
Steps for Making Online TDS Payment
The amount of TDS deducted must be deposited to the government within the due dates specified by the individual removing the TDS. The procedure for making TDS payments online is:
Step 1: Visit the NSDL’s website for the e-payment of taxes.
Step 2: Click on the option ‘CHALLAN NO./ITNS 281’ under the TDS/TCS section. One is going to be directed to the e-payment page.
- Under ‘Tax Applicable,’ select the ‘Company Deductees’ if the TDS deducted by one is when making payment to a company. In any other scenario, select the option ‘Non-Company Deductees’.
- Enter the TAN as well as the Assessment Year for which the payment has been made.
- Enter ‘Pin Code’ and select the ‘State’ from the drop-down.
- Select whether one has made the payment for the TDS deducted and payable by an individual or TDS on the regular assessment.
- Select the ‘Nature of Payment’ also the ‘Mode of Payment’ from the drop-down menu.
- Click on the ‘Submit’ option.
Step 3: On this page the following details have to be entered
Step 4: On submission, a confirmation screen is going to be displayed. If TAN is valid, the taxpayer’s full name as per the master is going to be displayed on this confirmation screen.
Step 5: On the confirmation of the data entered, one is going to be directed to the net banking site of their bank.
Step 6: The taxpayer must log in to the net banking site with the user id and password provided by the bank and make the payment.
Step 7: On the successful payment, a challan counterfoil is going to be displayed containing the CIN, the payment details and bank name via which e-payment has been made. This counterfoil is proof for the payment made. After payment of TDS, one has to file their TDS return.