Understanding the 'Pay At Bank Counter' Option for Income Tax Payments

The 'Pay At Bank Counter' option offers taxpayers a straightforward way to settle their income tax dues offline. This guide explains how to generate a Challan Reference Number, the steps to make payments at bank branches, and the restrictions on cash payments. Understanding this process can help ensure compliance and facilitate smoother tax filing. Discover the details to make your tax payment experience hassle-free.

By Narendra Chaudhary Jun 25, 2026, 16:06 IST

Overview of the 'Pay At Bank Counter' Feature

For taxpayers submitting their Income Tax Returns (ITR), the 'Pay At Bank Counter' feature provides a convenient offline payment method. This allows individuals to settle any self-assessment tax, advance tax, or other dues.

How Does the 'Pay At Bank Counter' Work?

This option enables taxpayers to make payments using cash, cheque, or demand draft at designated bank counters. To initiate this process, users must first create a Challan Reference Number (CRN) through the Income Tax Department's online service portal, which remains valid for 15 days.

Steps to Utilize the 'Pay At Bank Counter' Option

To access this feature, taxpayers should navigate to the e-filing portal and select the e-pay tax section. They will need to input details such as the assessment year, type of tax, and the amount owed. After selecting 'Pay At Bank Counter' as the payment method, a challan number will be generated, which includes a unique identification number and other relevant information. Users can then download and print this challan, which is necessary for making the payment at the bank.

Once at the authorized bank branch, payments can be made in cash, cheque, or demand draft, adhering to the bank's policies. After processing the payment, the bank will issue a stamped acknowledgment or receipt, which taxpayers should retain for their records. Once the payment is reflected in the tax system, the challan details can be utilized when completing and submitting the Income Tax Return.

Restrictions on Cash Payments

It is important to note that cash payments exceeding Rs 10,000 are not permitted through this method. Additionally, there are no transaction fees associated with this payment option. The Income Tax Department has established this limit to enhance transparency and promote secure transactions within the system.