Answer

1. F

   Facts

   If you agree with the demand, pay it against the Demand Reference Number through Response to Outstanding Demand. Paying this way links the challan to the demand.

2. P

   Provisions and law

   • Sec 156, Income-tax Act 1961 (now Sec 289)An intimation that shows tax payable is treated as a notice of demand.
   • Sec 220, Income-tax Act 1961A demand is payable within the time given in the notice, normally 30 days, and interest of 1% a month runs after that (2025 Act number to be confirmed).
3. A

   Analysis

   Use the Pay Now option for the DRN so the payment is tagged correctly. You can pay by net banking, debit card, UPI or a payment gateway. Paying within 30 days avoids further interest. After payment, the demand normally shows as closed within a few days; if not, a tax credit mismatch rectification with the challan details clears it.

4. C

   Conclusion

   1. 1Open Pending Actions, then Response to Outstanding Demand.
   2. 2Choose the demand and click Pay Now.
   3. 3Complete the payment and download the challan.
   4. 4Check after a few days that the demand shows as paid.
   5. 5If it does not, file a rectification with the challan details.

General guidance from TaxSavvy’s library of money processes. Laws change; your Savvy confirms the answer on your exact case before anything is filed.