Federal Bank introduces online tax payment facility

21 Jul 2022 , 08:22 AM

On Wednesday, the Central Board of Direct Taxes (CBDT) and the Aluva-based private lender Federal Bank inaugurated an online tax payment service.

According to a statement from the Bank, the online/e-pay tax facility would assist taxpayers in paying their taxes promptly online through the income tax site using any online payment methods, including cash, NEFT/RTGS, UPI, debit/credit cards, and net banking.

Citizens of India who pay taxes, NRIs, and domestic clients can create a tax challan and pay through their bank branches. The statement added there is no necessity for PAN/TAN registration or verification for taxpayers in order to facilitate payments and prevent initial delays.

“These are among a host of digital initiatives, being invested into by the bank to please our clients with the simplicity of transaction and bring agility to our business,” said Harsh Dugar, country head (wholesale banking) for Federal Bank. We regard it as a confirmation of our dedication to being Human at the Center with Digital at the Fore.

Direct tax collection was approved by the government during the previous fiscal year, but it didn’t take into effect until July 1 of this year. With this agreement, the Federal Bank reportedly became one of the first businesses to be registered on the Income Tax Department’s TIN 2.0 platform.