Importance of Challan Identification Number (CIN)
Get your questions answered by the experts at I Paid a Bribe
Challans used for payment of Excise and Service Tax
Two new challan forms GAR-7 have been introduced by PR. CCA's office.
- GAR-7 - Proforma for Central Excise Tax Payments is to be used for payment of Excise and
- GAR-7 - Proforma for Service Tax Payments is to be used for payment of Service Tax
These are single copy challans.
Where to obtain the challan
Soft copies of these challans are available at NSDL (www.nsdl.co.in) and Central Board of Excise and Customs website (www.cbec.gov.in). Challans are also available with private vendors.
Tax payment using old challan
From 1st April, 2007 it is mandatory to use challan no GAR-7 for payment of Excise and Service Tax.
Challan Identification Number (CIN) and relevance
Challan Identification Number (CIN) has three parts:
- Seven digit BSR code of the bank branch where tax is deposited
- Date of Deposit (DD/MM/YY) of tax
- Serial Number of Challan
Points to remember:
- CIN is stamped on the acknowledgement receipt to uniquely identify the tax payment.
- CIN has to be quoted in the return of income as a proof of payment.
- CIN is also to be quoted in any further enquiry. Therefore, you must ensure that CIN (comprising the above three parts) is stamped on the Challan by the bank. If not, immediately contact the bank manager and insist on CIN.
- The Reserve Bank of India has already passed an order dated April 1, 2004 making it compulsory for all tax collecting branches of banks to use a rubber stamp acknowledgement that carries CIN.
- A separate CIN is given for each challan deposited.
- If the Bank Manager is unable to resolve the issue, you should address your grievance to the Bank's Regional Manager and the Regional Office of Reserve Bank of India for redressal.
Description of acknowledgement stamp bearing the CIN
The Acknowledgement stamp of the bank will contain the following information:
- Bank Branch Name
- BSR (7 digit)
- Deposit Date (DDMMYY)
- Serial Number