How Do I File Intimation About Voluntary Payment? A Complete Step-by-Step Guide -

Many taxpayers in India worry about income tax notices, penalties, and interest. But what if you realize on your own that you have paid less tax or made a mistake in your return? The Income Tax Act allows you to voluntarily pay tax and inform the Income Tax Department before any notice is issued. This process is called intimation about voluntary payment.

In this article, we will explain what voluntary payment means, when it is required, how to make the payment, and how to file intimation properly, all in very simple language.

What Is Voluntary Payment Under Income Tax?

A voluntary payment means paying tax on your own initiative, without waiting for a notice from the Income Tax Department.

This usually happens when:

You discover additional income later
You underreported income in your ITR
You forgot to include interest, rent, or capital gains
You need to pay self-assessment tax
You want to avoid penalties or future notices

Once you make such a payment, you must inform the Income Tax Department by filing an intimation about voluntary payment.

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Why Is Filing Intimation Important?

Many taxpayers think paying tax is enough. But that’s not true.

If you pay tax but do not intimate, the department may:

Treat it as unmatched payment
Still issue a notice
Not give credit for the tax paid

Filing intimation ensures:

Proper tax credit in your account
Reduced chances of scrutiny
Transparency with the tax department
Peace of mind

When Should You Make a Voluntary Payment?

You should consider voluntary payment in the following situations:

1. Shortfall in Self-Assessment Tax

After filing ITR, you realize tax payable was more than what you paid.

2. Missed Income

You forgot to include:

Bank interest
Freelance income
Rent from property
Capital gains
Foreign income

3. Incorrect Deductions or Exemptions

You claimed deductions (80C, 80D, HRA) incorrectly.

4. Before Receiving Any Notice

Making voluntary payment before notice often reduces penalties.

Types of Taxes You Can Pay Voluntarily

You can voluntarily pay:

Self-Assessment Tax (SAT)
Advance Tax (if missed earlier)
Interest under sections 234A, 234B, 234C
Penalty (if applicable)

Most voluntary payments are made under Self-Assessment Tax.

Step 1: Calculate the Correct Tax Liability

Before making any payment, calculate:

Total actual income
Correct tax payable
Tax already paid (TDS, advance tax)
Balance tax payable
Applicable interest

You can calculate using:

Income tax calculator on the e-filing portal
Form 26AS
AIS (Annual Information Statement)

Step 2: Make Voluntary Tax Payment Online

Voluntary payment is done using Challan ITNS 280.

How to Pay Tax Online

Visit the Income Tax e-Filing portal
Go to e-Pay Tax
Select New Payment
Choose Income Tax
Select Self-Assessment Tax (300)
Enter PAN and assessment year
Enter tax amount and interest
Choose payment mode (Net Banking / Debit Card / UPI)
Complete payment

After payment, you will receive:

Challan Identification Number (CIN)
BSR code
Date of payment

Save this carefully.

Step 3: How to File Intimation About Voluntary Payment

This is the most important step.

Method 1: While Filing or Revising ITR

If you have not filed ITR yet:

Include the voluntary payment details in Schedule IT
Enter CIN details
File ITR normally

If ITR already filed:

File a Revised Return
Add the voluntary tax payment
Submit revised ITR

This itself acts as intimation.

Method 2: Response Through e-Proceedings (If Applicable)

In some cases, the portal allows voluntary disclosure via e-Proceedings.

Steps:

Login to Income Tax Portal
Go to Pending Actions
Select e-Proceedings
Choose Voluntary Compliance
Upload payment proof and explanation

This option is usually available if the department has flagged a mismatch but not issued a notice.

Method 3: Through Rectification (Section 154)

If:

Tax paid is not reflected
Credit not given

You can file Rectification Request.

Steps:

Login to portal
Go to Services → Rectification
Select assessment year
Choose Tax Credit Mismatch
Enter challan details
Submit request

Step 4: Verify That Payment Is Reflected

After filing intimation, check:

Form 26AS
AIS
ITR status

Usually, it reflects within 3–7 working days.

What Happens After Filing Intimation?

If everything is correct:

Tax gets adjusted
No notice is issued
Case is closed

If excess tax paid:

Refund may be issued

If short payment:

You may need to pay balance tax

Can Voluntary Payment Reduce Penalty?

Yes, in many cases.

Benefits include:

Lower penalty
Reduced interest
Better compliance record
Favorable view during scrutiny

Early voluntary compliance shows good faith.

Common Mistakes to Avoid

❌ Paying tax but not filing revised return
❌ Entering wrong assessment year
❌ Selecting wrong challan type
❌ Not saving challan receipt
❌ Ignoring AIS mismatches

FAQs on Voluntary Payment Intimation

Is voluntary payment mandatory?

No, but highly recommended if tax shortfall exists.

Can I pay tax after filing ITR?

Yes, through self-assessment tax and revised return.

Will I still get a notice?

If done correctly and timely, chances are very low.

Can salaried employees make voluntary payment?

Yes, if income was missed or TDS was insufficient.

Final Thoughts

Filing intimation about voluntary payment is a smart and responsible step for any taxpayer who wants to stay compliant and stress-free. The Income Tax Department encourages voluntary compliance, and the online system has made it simple and transparent.

If you identify a mistake, don’t panic. Calculate the correct tax, pay it voluntarily, file proper intimation, and move on confidently.

Being proactive today can save you from penalties, notices, and unnecessary tension tomorrow.

How Do I File Intimation About Voluntary Payment? A Complete Step-by-Step Guide