Answer: A. Tax still due after credits. It is the remaining tax liability after the taxpayer computes the return and accounts for eligible taxes already paid or credited.
How is a remaining tax balance identified?
A Gross income before deductions
B Final liability less credits
C Total receipts before expenses
D Tax withheld by one payer
Answer: B. Final liability less credits. The return computation determines tax liability and applies available credits such as TDS and advance tax to find any amount still payable.
Which payments can reduce an individual’s balance?
A Only cash deposits
B Only employer deductions
C TDS, TCS, advance tax
D Bank interest and fees
Answer: C. TDS, TCS, advance tax. Eligible TDS, TCS, and advance-tax credits are considered when calculating the balance, subject to correct reporting and credit availability.
When is self-assessment tax generally paid?
A Before earning any income
B After refund is credited
C Only after an audit
D Before filing the return
Answer: D. Before filing the return. The e-Filing guidance directs taxpayers to pay any balance found during return preparation and enter the challan details before submitting the return.
Which portal service handles direct tax payments?
A e-Pay Tax
B AIS dashboard
C Income calculator
D Refund tracker
Answer: A. e-Pay Tax. The Income Tax Department provides e-Pay Tax for making direct tax payments through the portal.
A payment concerns FY 2025–26 and is made in June 2026. Which year applies?
A Tax Year 2025–26
B Assessment Year 2026–27
C Assessment Year 2025–26
D Tax Year 2027–28
Answer: B. Assessment Year 2026–27. The Department’s transition guidance says a self-assessment payment for FY 2025–26 is linked to AY 2026–27, even when paid in June 2026.
Why must the correct AY or TY be selected?
A To change the tax rate
B To avoid filing a return
C To credit payment correctly
D To replace the taxpayer’s PAN
Answer: C. To credit payment correctly. The Department warns that the correct Assessment Year or Tax Year must be selected so the payment credit reaches the correct period.
Which Act governs self-assessment tax for AY 2026–27 relating to FY 2025–26?
A Income-tax Act, 2025
B Companies Act, 2013
C Finance Act, 2026
D Income-tax Act, 1961
Answer: D. Income-tax Act, 1961. The official transition FAQ states that section 140A of the Income-tax Act, 1961 governs self-assessment tax for AY 2026–27, which relates to FY 2025–26.
For income earned from April 2026 through March 2027, which period should be chosen?
A Tax Year 2026–27
B Assessment Year 2025–26
C Tax Year 2025–26
D Assessment Year 2027–28
Answer: A. Tax Year 2026–27. The Department’s payment guidance identifies Tax Year 2026–27 for income earned from April 2026 to March 2027 under the new Act.
A tax challan is missing from the credit statement. What should be checked first?
A Browser history and cookies
B PAN and challan number
C Return title and address
D Bank branch opening hours
Answer: B. PAN and challan number. The Department’s tax-credit mismatch guidance specifically asks taxpayers to validate the challan number and PAN when a deposited tax amount does not appear.
What belongs in a final self-assessment computation?
A Only salary and savings
B Only TDS and TCS
C Liability, interest, and credits
D Gross receipts without deductions
Answer: C. Liability, interest, and credits. The final computation should account for taxable income, applicable tax and interest, and eligible taxes already paid or credited.
How does self-assessment tax differ from advance tax?
A Paid by a buyer
B Deducted from every salary
C Collected on imported goods
D Paid after final computation
Answer: D. Paid after final computation. Advance tax is paid during the income period against an estimate; self-assessment tax addresses a remaining balance after the return computation.
Who normally deducts TDS from a payment?
A The payer or employer
B The taxpayer’s bank
C The tax portal
D The return preparer
Answer: A. The payer or employer. TDS is withheld by a person responsible for making a specified payment, such as an employer paying salary.
After paying the balance, which details are entered in the return?
A Bank password details
B Tax challan details
C Debit-card PIN details
D Portal login credentials
Answer: B. Tax challan details. The ITR-1 filing guidance says taxpayers should enter the challan details in the return before submitting it.
Which records help reconcile taxes already paid?
A Shopping receipts and invoices
B Travel bookings and tickets
C Form 26AS and challans
D Utility bills and statements
Answer: C. Form 26AS and challans. Form 26AS includes deposited tax-credit information; challan receipts help verify the taxpayer’s own payments.
Which detail can cause a payment-credit mismatch?
A Incorrect browser zoom
B Different screen brightness
C Expired email signature
D Incorrect PAN
Answer: D. Incorrect PAN. A mismatch may occur if the PAN or challan details are incorrect, so both should be validated against the payment record.
How should remaining tax be calculated after prior payments?
A Liability minus eligible credits
B Income minus bank balance
C Gross receipts plus TDS
D Deductions minus tax rate
Answer: A. Liability minus eligible credits. Subtract available eligible credits, including taxes already paid, from the computed liability to identify the remaining amount.
If total credits exceed final tax, what may occur?
A A second return is automatic
B A refund may be due
C All credits are forfeited
D The PAN is cancelled
Answer: B. A refund may be due. When taxes paid exceed the final amount due, a refund may be claimed through the return and processed under the applicable rules.
What must still happen after paying self-assessment tax?
A Request a new PAN
B Open a bank account
C File and verify the return
D Submit a TDS statement
Answer: C. File and verify the return. Tax payment and return filing are separate steps; the taxpayer must file the return and complete the required verification.
Does an e-Pay Tax receipt itself file your return?
A Yes, filing is automatic
B Only for salaried taxpayers
C Only for online payments
D No, a return is separate
Answer: D. No, a return is separate. The Department distinguishes e-Payment from e-Filing: paying tax does not itself submit an Income Tax Return.
Before confirming payment, which details deserve a final check?
A PAN, period, amount, tax type
B Email, font, and theme
C Device, browser, and wallpaper
D Username, password, and PIN
Answer: A. PAN, period, amount, tax type. Check the taxpayer identifier, applicable year, payment category, and amount on the preview before completing payment.
What does the e-Pay Tax service let a taxpayer do?
A File every return automatically
B Pay taxes electronically
C Change a tax law
D Issue a PAN card
Answer: B. Pay taxes electronically. e-Pay Tax is the portal service for paying direct taxes through supported payment modes.
Where should payment information appear in a return?
A Personal biography section
B Bank nominee section
C Tax-payment details section
D Business address section
Answer: C. Tax-payment details section. The return includes a section for taxes paid, where applicable challan details are reported.
Why should advance tax already paid be entered accurately?
A It changes reported income
B It replaces the return
C It cancels TDS records
D It reduces remaining liability
Answer: D. It reduces remaining liability. Advance tax is a credit against the final liability, so inaccurate reporting can distort the remaining balance.
If payment exceeds the amount due, what might follow?
A Refund after return processing
B Automatic tax exemption
C Permanent account closure
D A second PAN allocation
Answer: A. Refund after return processing. Excess tax may result in a refund after a valid return is filed, verified, and processed.
What should be retained after a successful online payment?
A Portal password and PIN
B Challan receipt and reference
C Browser cache and cookies
D A screenshot of the homepage
Answer: B. Challan receipt and reference. Keep the challan or payment confirmation so the transaction can be reconciled with the tax-credit statement.
Which record can confirm a completed bank payment?
A A saved login password
B A draft tax estimate
C Bank receipt or challan
D A sent email reminder
Answer: C. Bank receipt or challan. A bank confirmation or generated challan provides evidence of the payment and its transaction details.
Can prefilled tax-credit data be accepted without review?
A Yes, it is always final
B Only if income is salary
C When tax is zero
D No, reconcile with records
Answer: D. No, reconcile with records. Prefilled information should be checked against Form 26AS, AIS, challans, and source records before filing.
Which items can affect final tax due?
A Income, deductions, credits, interest
B Browser, device, and network
C Address, email, and phone
D Font size, theme, and color
Answer: A. Income, deductions, credits, interest. Taxable income and eligible deductions affect the computation; tax credits and applicable interest affect the amount still payable.
When might interest also be payable?
A Whenever a refund is claimed
B When applicable under tax law
C Whenever e-Pay Tax opens
D Only when income is exempt
Answer: B. When applicable under tax law. Interest can form part of the amount payable when the relevant provisions apply to the taxpayer’s facts.
Which mistake can place a payment in the wrong account?
A Using a small screen
B Printing the receipt twice
C Selecting the wrong tax year
D Changing browser language
Answer: C. Selecting the wrong tax year. Selecting the wrong Assessment Year or Tax Year can cause a payment credit to be recorded for the wrong period.
What is a likely result of using the wrong AY or TY?
A Return verification is automatic
B PAN validity is extended
C Income is reclassified
D Credit may post incorrectly
Answer: D. Credit may post incorrectly. The Department warns that choosing the wrong period can prevent the payment from being credited to the intended year.
Where should a taxpayer check payment-correction steps?
A Official portal guidance
B An unofficial discussion forum
C A social-media comment
D An old saved screenshot
Answer: A. Official portal guidance. Payment correction procedures depend on the payment and portal workflow, so use current Income Tax Department or bank guidance.
Which Act selection applies to AY 2026–27 payments?
A Income-tax Act, 2025
B Income-tax Act, 1961
C Companies Act, 2013
D Foreign Exchange Act
Answer: B. Income-tax Act, 1961. The Department’s payment manual says payments for Assessment Years up to 2026–27 use the Income-tax Act, 1961 selection.
Which Act selection applies to Tax Year 2026–27 onward?
A Income-tax Act, 1961
B Companies Act, 2013
C Income-tax Act, 2025
D Goods and Services Act
Answer: C. Income-tax Act, 2025. The portal manual says to select the Income-tax Act, 2025 for payments relating to Tax Year 2026–27 onward.
How much should be paid as self-assessment tax?
A Total income before deductions
B Estimated future tax only
C A fixed fee for everyone
D Calculated remaining tax amount
Answer: D. Calculated remaining tax amount. Pay the amount shown as payable after the completed computation and available credits, including any applicable interest.
A TDS credit is absent from records. What is sensible?
A Reconcile with deductor records
B Claim it without checking
C Delete the related income
D Pay the same amount twice
Answer: A. Reconcile with deductor records. Compare Form 16 or other deduction evidence with the tax-credit statement and contact the deductor or follow portal guidance to resolve a mismatch.
How should income from several sources be handled?
A Report only the largest source
B Report every applicable source
C Ignore interest income
D Combine it with TDS
Answer: B. Report every applicable source. The return computation should include all income that is reportable under the applicable rules, not only salary.
Which statement includes self-assessment tax deposited?
A Form 16 only
B A bank passbook only
C Form 26AS
D The AIS receipt page
Answer: C. Form 26AS. The Department describes Form 26AS as including self-assessment tax and other tax deposits, along with other tax-credit information.
Is self-assessment tax the same as regular assessment tax?
A Yes, both are TDS
B Yes, both are refunds
C No, one is a deduction
D No, payment categories differ
Answer: D. No, payment categories differ. Self-assessment tax is paid by the taxpayer based on the return computation; regular-assessment tax relates to a demand raised through assessment.
When does the online ITR flow identify a possible balance?
A After computing unpaid balance
B Before income is entered
C Only after an audit
D Before choosing a tax year
Answer: A. After computing unpaid balance. In the ITR-1 online flow, tax is computed after income and tax-payment details are entered; any remaining payable amount is then shown.
Who remains responsible for checking the final liability?
A The bank alone
B The taxpayer
C The employer alone
D The browser provider
Answer: B. The taxpayer. Taxpayers must review the return computation, reported credits, and payment details before filing.
Which payment category should be chosen for this balance?
A Advance Tax
B Regular Assessment Tax
C Self Assessment Tax
D Tax Collected at Source
Answer: C. Self Assessment Tax. Choose the Self Assessment Tax payment category for a balance due under that payment type.
Where can a taxpayer check deposited tax credits?
A A salary payslip only
B A bank loan statement
C A GST invoice
D Annual Tax Credit Statement
Answer: D. Annual Tax Credit Statement. The Annual Tax Credit Statement, Form 26AS, includes tax payment credits such as self-assessment tax deposits.
Which information helps match a challan to a payment?
A PAN, tax year, amount
B Browser, screen, and keyboard
C Email, phone, and address
D Employer, role, and department
Answer: A. PAN, tax year, amount. Matching the challan with the taxpayer’s account requires checking identifiers and payment-period and amount details.
Why should duplicate tax payments be avoided?
A They cancel an ITR
B They may create excess credits
C They change the tax year
D They erase a challan
Answer: B. They may create excess credits. Duplicate payments can create excess tax credits and require later reconciliation or refund processing.
Which payment method is listed on the portal?
A Cash app transfer
B Gift card payment
C Net banking
D Cryptocurrency wallet
Answer: C. Net banking. The e-Pay Tax manual lists net banking among available modes, alongside other supported options.
When a challan detail is wrong, what should guide correction?
A A guess from memory
B An unrelated tax blog
C A social-media poll
D Portal or bank procedure
Answer: D. Portal or bank procedure. Use the correction route specified by the Income Tax portal or bank for the specific challan and error.
After payment, what should be reconciled before filing?
A Challan amount and tax credit
B Browser history and cache
C Email signature and password
D The homepage and menu
Answer: A. Challan amount and tax credit. Check that the amount and period in the challan align with the tax credit shown in the official account records.
What final review helps prevent a filing mismatch?
A Device, browser, theme, color
B Liability, credits, period, challan
C Email, password, phone, address
D Title, font, spacing, image
Answer: B. Liability, credits, period, challan. Before filing, compare the computed liability, available credits, selected tax period, and challan details.