TDS Payment / Remittance Process
Tax Deducted at Source (TDS) deducted by the Deductor needs to be deposited with the Government within the specified due date.
Under the Income-tax Act, 2025, the basic procedure for depositing TDS remains substantially similar. However, from 1 April 2026, the Income-tax Department’s e-Filing portal requires the deductor to select the applicable Income-tax Act and Tax Period while creating the challan.
The payment process broadly involves the following steps:
- Login & Navigate
- Select the applicable Income-tax Act and Tax Period
- Select Deductee Type and TDS Section/Table Code
- Enter TDS details and make payment
- Download and preserve Challan Receipt
Due Date for TDS Payment
- For a regular non-government deductor, TDS is generally required to be deposited by the 7th day of the subsequent month.
- For TDS deducted during March, the due date is generally 30 April for non-government deductors.
- For certain transactions where a Challan-cum-Statement is required, such as specified PAN-based TDS transactions, a different due date applies.
1. Login & Navigate:
- Visit official Income Tax portal https://www.incometax.gov.in/
- Login to the portal using TAN and Password
- After logging in, go to menu ‘e-File’ and click on ‘e-Pay Tax’.
- Click on ‘New Payment’ on the right hand side to go to ‘New Payment’ page.
2. Select the Applicable Income-tax Act and Tax Period
- After clicking New Payment, the portal provides an option to select the applicable Income-tax Act.
- For payments relating to the new Act, Select – Income-tax Act, 2025
- Select the applicable TDS section from the options given and click on ‘Continue’
94C
What is a TDS Section / Table Code?Under the Income-tax Act, 1961, students were familiar with codes such as: – Payment of contractors and sub-contractors94H – Commission or brokerage94J – Fees for professional or technical servicesThese old codes should not be used for TDS transactions governed by the Income-tax Act, 2025.Under the Income-tax Act, 2025, TDS provisions relating to payments other than salary are consolidated under Section 393.The applicable TDS provision is identified through the relevant Table and Sl. No. under Section 393.The Income Tax Department has specifically cautioned that quoting an old section such as 194C instead of Section 393(1), Table 6(i) for a payment governed by the new Act may result in system-level validation errors in TDS return processing.
Income-tax Act, 2025
Experiment 2:Assume TDS computation has been done under Professional Services for the April month. In the simulation interface below:Select Select Tax Year 2026-27Select the applicable TDS payment optionSelect the relevant deductee typeSelect the applicable Section 393 Table / Nature of PaymentProceed to enter the tax amount.
3. Enter TDS details & Make Payment
- After selecting the applicable TDS payment option, the deductor has to select the appropriate Deductee Type.
- The current portal requires appropriate selection of the deductee category and then allows entry of the applicable section-wise TDS/TCS payment details.
- Enter the TDS payable under relevant heads i.e., Tax, surcharge, cess, interest, penalty and Fee
- Select ‘Type of Payment’ (Net Banking / Debit Card / RTGS / Pay at Bank) and click on Continue. Select the Bank Name you want to use and click ‘Continue’ to preview and pay.
- Check the details in the preview and click on Pay and Submit to the Bank.
- The taxpayer will 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, a 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.
- Click on Download button to download the challan for future refernce. You can also download the challan from Payment History of ITD Portal.
- Click on Make Another Payment if you would like to make next payment
Sample copy of Challan has been show for your reference:
Experiment 3:Assume total TDS payable under Professional Charges for the April month is Rs.12,900 (Party: G-MaC Advisors Private Limited) and Interest payable is Rs.194. Select 7th May as payment date. Please make payment using the Simulation experiment below. Use FinC Dummy Bank as Payment bank under Net-banking option.