Read below to find out what these conditions are and how to make a correction to your income tax return.
How to pay income tax?
There are two ways to complete a tax form and proceed to pay the required income tax:
- Online through the ITR e-filing portal, or
- Offline through Banks (You need to print a tax receipt generated through ITR e-filing portal and then pay offline at the authorized bank).
“We can pay Income Tax by visiting the bank branch, but before doing so, you need to first generate the e-payment form for tax on the ITR e-filing portal. The most common payment form forms used for tax payment are ITNS 280 (for Income Tax) or ITNS 281 (for TDS/TCS). Remember to fill the payment form with correct details like PAN, assessment year, type of payment (e.g. Income Tax, Advance Tax, Self Assessment Tax), etc.,” says Abhishek Gupta, Founder & Managing Partner, Pierag Consulting LLP.
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Gupta also explains the process of filing the tax return offline. “Once you have printed out the completed tax return, take it to any authorised bank branch where income tax payments are accepted and pay it. After processing the payment, the bank will provide a stamped receipt as proof of payment. This receipt should be kept safely as it serves as proof of tax payment. The payment details are updated in the taxpayer’s account with the Income Tax Department after the bank approves the payment. This may take a few days, so it is essential to check the status online using the taxpayer’s login credentials,” he says.
What errors can be corrected using the challan correction facility on the ITR e-filing portal?
“This facility was implemented in August 2023. Earlier, taxpayers had to approach the department for making such corrections. Now, only if the taxpayer misses the online correction deadline, he/she has to file a petition with the jurisdictional assessing officer (AO) for making necessary corrections in the challan,” says Ramakrishnan Srinivasan, former chief commissioner of income tax.
According to the income tax website, as of July 22, 2024, here’s what you need to know about making corrections to your income tax return:
- Applications for correction of Challan can be filed only for minor heads 100 (Advance Tax), 300 (Self Assessment Tax) and 400 (Demand Payment as Regular Assessment Tax) and their corresponding major heads through the e-filing portal. For corrections of other heads, you need to contact the jurisdictional AO.
- The deadline for the taxpayer’s request for correction to change the AY (assessment year) in the ITR e-filing portal is within 7 days from the date of deposit of the tax receipt.
- Challans for FY 2019-20 (FY 2020-21) onwards are available for correction currently through the e-filing portal. (If you need to make corrections in previous challans, please follow the above process which involves approaching the Income Tax Assessing Officer)
- Requests for correction of challan are allowed only once on the e-filing portal for any challan submitted. (If you wish to submit another request for correction of challan, you must approach the jurisdictional Assessing Officer (AO).
It is important that you make corrections in your tax return on time. For example: You are paying income tax for the financial year 2023-24 (AY 2024-25) but you have selected the financial year 2024-25 in the tax return. If you have selected the wrong financial year, this could lead to discrepancies between the tax you have deposited and what is reflected in your Annual Information Return (AIS)/Form 26AS for a particular financial year. As a direct consequence of this error, you will not be able to claim this tax payment for the ITR filed for the financial year 2023-24 (AY 2024-25).
According to Sujit Bangar, Founder, Taxbuddy.com, “Make sure that the challan is not ‘consumed’. This means that if you notice an error, do not file the challan with incorrect details. First, file a challan correction application and then file the ITR with the challan. This ensures that the challan details are corrected at the time of processing.
If you have already submitted the challan with incorrect details, you can file a complaint with your Assessing Officer (AO) on the submission portal to correct it.”
How to make online tax return correction on ITR e-filing portal
Below is a step-by-step guide on how to use the tax return correction option:
Step 1: Go to the ITR e-filing portal (https://eportal.incometax.gov.in/iec) and log in with your credentials.
Step 2: Go to the Services tab and click on the “Challan Correction” button. Source: ITR portal
Step 3: A new web page will open which will have an option – “Create Challan Correction Request”. Click on it and then you will be redirected to another web page where you can select the attributes for correction in the challan. Click on “Continue” once you have made the selection.Source: ITR portal
Stage 4: A new web page will open and you will need to select the assessment year or enter the Tax Return Identification Number (CIN) to create a tax return correction request. Click “Continue” to proceed.
Step 5: A new web page will open where you can update the challan details and make the necessary changes. Once done, click on “Continue”. A new web page will open where a summary of the corrected challan will be displayed. Click on “Continue” if you agree with the changes.
Source: https://www.incometax.gov.in/iec/foportal/help/ChallanCorrectionRequest-UserManual
Step 6: A new web page opens and you are asked to e-verify the challan correction request using Aadhaar OTP, DSC, EVC or other options. After e-verification, a success message is displayed.
“If the deadline for online submission of correction of receipt is missed, the taxpayer should send a request letter to his jurisdictional assessing officer (JAO) along with appropriate annexure (copy of receipt, copy of PAN card, etc.) indicating the nature of correction sought and submit it at the ASK counter in the IT office and get an acknowledgement. The JAO will initiate appropriate action,” says Srinivasan.
