As per section 234E of the Income-tax Act, 1961 read with Rule 31A (4B) of Income-tax Rules, 1962, failure on part of deductor (tenant/lesse/payer) to furnish challan-cum-statement in Form No. 26QC electronically within 30 days from the end of the month in which the tax deduction is made will attract levy of fee for default in furnishing statement at the rate of Rs. 200 for every day to be paid by the deductor (tenant/lessee/payer).
E-Payment facilitates payment of taxes online by taxpayers. To avail this facility the taxpayer is required to have a net-banking account with any of the Authorized Banks or a debit card in case of some banks. Please follow the steps as under to pay tax online:-
Step 11.) Log on to NSDL e-Gov-TIN website (www.tin-nsdl.com).2.) Click on the option Online form for furnishing TDS on Rent (Form 26QC).3.) Select Form 26QC (Payment of TDS on Rent of Property)
Step 2After selecting the form you will be directed to the screen for entering certain information.Example:-a) Permanent Account Number of the Tenant and Landlordb) Address of the Tenant and Landlord as well as the Property being let outc) Financial Year will be populated on the basis of Date of Payment/Credit selected in the Form.d) Major Head Code – Indicates the type of tax applicable viz; Corporation Tax (Companies)/ Income Tax (Other than Companies) will be populated based on Landlords PANe) Total Value of Rent Payablef) Period of Tenancyg) Date of Payment/Credith) Date of Deductioni) Amount Paid/Creditedj) TDS Amountk) Select the option for Payment of taxes immediatelyIt is important to ensure that PAN of Tenant and Landlord are correctly mentioned in the form. There is no online mechanism for subsequent rectification. Deductor will have to approach the TDS – Assessing Officer or CPC-TDS for rectification of errors.
Step 3After entering all the above detail, click on PROCEED button. The system will check the validity of PAN. In case PAN is not available in the database of the Income Tax Department then you cannot proceed with the payment of tax.If PAN is available then TIN system will display the contents you have entered along with the Name appearing in the ITD database with respect the PAN entered by you.If PAN of the landlord is not available (select PAN of landlord as PAN Not Available) TDS has to be deducted under the provisions of section 206AA of the Income-tax Act, 1961 and such deduction shall not exceed the amount of rent payable for the last month of the previous year or the last month of the tenancy, as the case may be.
Step 4You can now verify the details entered by you. In case you have made a mistake in data entry, click on EDIT to correct the same. If all the detail and name as per ITD is correct, click on SUBMIT button. Ten digit alpha numeric ACK no. will be generated and you will be directed to the net-banking site provided by you.Please be informed that the name and status of PAN is as per the ITD PAN Master. You are required to verify the name before making payment. In case any discrepancy is observed, please confirm the PAN entered by you. Any change required in the name displayed as per the PAN Master can be updated by filling up the relevant change request forms for PAN. If the name is correct, then click on “Confirm”.
Step 5After confirmation an option will be provided for submitting to Bank. On clicking on Submit to Bank, deductor (as per the mode of payment selected while filling the form) will have to key in the debit card details or login to the net-banking site with the user ID/ password provided by the bank for net-banking purpose and enter payment details at the bank site.On successful payment a challan counterfoil will be displayed containing CIN, payment details and bank name through which e-payment has been made. This counterfoil is proof of payment being made.
How do I know whether my bank provides this facility?
To avail this facility the taxpayer is required to have a net-banking account with any of the Authorized Banks or a debit card in case of some banks. List of Authorized Banks is available at the TIN website.
What is the procedure after being directed to the net banking site of the bank?
TIN system will direct you to net-banking/Debit card facility of your bank. You will have to log on to the net banking site of your bank using your login ID and password/PIN provided by the bank. The particulars entered by you at TIN website will be displayed again.You will now be required to enter the amount of tax you intend to pay and also select your bank account number from where you intend to pay the tax. After verifying the correctness, you can proceed with confirming the payment.
What will happen after I confirm the payment of tax at my banks site?
Your bank will process the transaction online by debiting the bank account indicated by you and generate a printable acknowledgment indicating the
Challan Identification Number (CIN). You can verify the status of the challan in the Challan Status Inquiry at NSDL e-Gov-TIN website using CIN after a week, after making payment.
What is the timing for making payment through internet?
You will have to check the net-banking webpage of your banks website for this information.
Whom should I contact if the counterfoil containing the CIN is not displayed on completion of the transaction and if I want duplicate counterfoil?
Your Bank provides facility for re-generation of electronic challan counterfoil kindly check the Bank website, if not then you should contact your bank and request them for duplicate challan counterfoil.If any problem encountered while entering the financial details at the net-banking webpage of your bank, then you should contact your bank for assistance.
What is the procedure for paying the TDS amount into the Bank subsequently, i.e. not immediately after furnishing the purchase transaction details online?
Using this facility deductor (Tenant) can furnish the details online and make the payment of taxes subsequently either through net-banking account or by visiting any of the authorized bank branches. Following are the steps to avail this facilityStep 1a) Log on to NSDL e-Gov-TIN website (www.tin-nsdl.com).b) Click on the option Online form for furnishing TDS on Rent (Form 26QC).c)Select Form 26QC (Payment of TDS on Rent of Property)Step 2After selecting the form you will be directed to the screen for entering certain information.Example:-a) Permanent Account Number of the Tenant and Landlordb) Address of the Tenant and Landlord as well as the Property being let outc) Financial Year will be populated on the basis of Date of Payment/Credit selected in the Form.d) Major Head Code – Indicates the type of tax applicable viz; Corporation Tax (Companies)/ Income Tax (Other than Companies) will be populated based on Landlords PANe) Total Value of Rent Payablef) Period of Tenancyg) Date of Payment/Credith) Date of Deductioni) Amount Paid/Creditedj) TDS Amountk) Select the option for Payment of taxes on Subsequent DateIt is important to ensure that PAN of Tenant and Landlord are correctly mentioned in the form. There is no online mechanism for subsequent rectification. Deductor will have to approach the TDS – Assessing Officer or CPC-TDS for rectification of errors.Step 3After entering all the above detail, click onPROCEEDbutton. The system will check the validity of PAN. In case PAN is not available in the database of the Income Tax Department then you cannot proceed with the payment of tax.If PAN is available then TIN system will display the contents you have entered along with the Name appearing in the ITD database with respect the PAN entered by you.If PAN of the landlord is not available (select PAN of landlord as PAN Not Available) TDS has to be deducted under the provisions of section 206AA of the Income-tax Act, 1961 and such deduction shall not exceed the amount of rent payable for the last month of the previous year or the last month of the tenancy, as the case may be.Step 4You can now verify the details entered by you. In case you have made a mistake in data entry, click on“EDIT”to correct the same. If all the detail and name as per ITD is correct, click on“SUBMIT”button. Ten digit alpha numeric ACK no. will be generated and you will be provided with an option to print an Acknowledgment slip.Please note that the name and status of PAN is as per the ITD PAN Master. You are required to verify the name before making payment. In case any discrepancy is observed, please confirm the PAN entered by you. Any change required in the name displayed as per the PAN Master can be updated by filling up the relevant change request forms for PAN. If the name is correct, then click on“Confirm”.Step 5With the printout of the Acknowledgment slip, you may visit any of the authorized Bank branches to make the payment of TDS subsequently. The Bank will make the payment through its net banking facility and provide you the Challan counterfoil as acknowledgment for payment of taxes. Based on the information in the Acknowledgment slip, the bank will make the payment only through net-banking facility by visiting tin-nsdl.com and entering the acknowledgement number duly generated by TIN for the statement already filled by the buyer in respect of that transaction.In case you desire to make the payment through e-tax payment (net banking account) subsequently, you may access the link E-tax on subsequent date on the TIN website. On entering the details as per the acknowledgment slip, you will be provided an option to submit to the bank wherein you have to select the Bank through which you desire to make the payment. You will be taken to the net banking login screen wherein you can make the payment online.
