TDS Challan ITNS 281

History of Challan ITNS 281

In 2004, the manual process of tax collection was replaced by the Online Tax Accounting System (OLTAS). OLTAS was introduced to minimize human intervention, reduce errors, and facilitate online transmission of tax-related details. OLTAS used to issue a single copy of a Challan and enabled taxpayers to track the status of their challans or e-challans deposited in banks online.

Types of Challans

There are 3 types of challans that were issued: 

• Challan ITNS 280: For depositing income tax (includes self-assessment tax, advance tax, tax on regular assessment)

• Challan ITNS 281: For depositing Tax Deducted at Source (TDS) and Tax Collected at Source (TCS)

• Challan ITNS 282: For depositing gift tax, wealth tax, Securities Transaction Tax (STT), and other direct taxes

Challan ITNS 281 Compliance

Challan ITNS 281 is issued when a taxpayer deposits TDS and TCS and has to comply with the timelines for deducting and depositing tax.

Due dates for payment of TDS:

• TDS deducted on payments (excluding the purchase of property): 7th of the subsequent month.

• TDS deducted on the purchase of property: 30th of the subsequent month.

• TDS deducted in the month of March: 30th April.

If there is a delay in depositing tax, interest is levied at a rate of 1.5% per month or part of the month from the date of deduction.

Methods for Filing Challan ITNS 281

There are two processes for filing Challan ITNS 281:

• Online process

• Offline process

Online Process

To pay taxes online, go to the tin-nsdl website and select Challan No./ ITNS 281. The following details have to be filled in Challan ITNS 281:

• Deductees: Select the appropriate deductee

  • 0020: Company deductees

  • 0021: Non-company deductees

• Assessment Year (AY): The relevant AY for which the payment is being made.

• Tax Deduction Account Number (TAN): A 10-digit alphanumeric number issued to those required to deduct or collect tax.

• Type of Payment:

  • 200: if the TDS/ TCS is a regular transaction

  • 400: if the payment is for a demand raised by income tax authorities

• Nature of Payment: Select the section under which TDS/TCS has been deducted from the drop-down list.

• Details of Payment: Enter the income tax, surcharge, and late filing fees (if applicable), along with the date and bank branch.

After filling in the details, click on submit to the bank to be redirected to your bank’s portal to process the payment. A challan counterfoil containing the CIN No., payment details, and bank name will be displayed once the transaction is successfully processed.

Offline Process

For the offline process, the taxpayer can make the payment by visiting the bank and submitting a challan via cheque or cash. The bank will issue a back-stamped counterfoil receipt as proof of submission.

How to Check the Status of Challan ITNS 281?

To check the status of the Challan online, go to the tin-nsdl portal. There are two modes to view the status:

• CIN based view

• TAN based view

To view the status through the CIN based mode, enter the following details from your challan:

• BSR code

• Challan date

• Challan serial number

• Amount

To view the status through the TAN based mode, enter the following details from your challan.

• TAN

• Challan date