Govt makes e-Challan mandatory for all revenue collections from today

The government has made the e-Challan (electronic challan) system mandatory for the collection and deposit of all government revenues and receipts from today (July 1), effectively ending the use of the traditional manual challan system.

The decision was announced in a directive issued by the Finance Division on Tuesday, ahead of the start of the 2026�"27 fiscal year.

According to the directive, from the beginning of FY2026�"27, no ministry, division, department, autonomous body, or any of its subordinate offices will be allowed to collect or deposit government revenues or receipts through any system other than the e-Challan platform.

The Finance Division also instructed all government entities to immediately discontinue any separate or existing arrangements currently used for collecting government funds outside the e-Challan system.

In addition, all government funds held in accounts with commercial banks must be transferred to the government's Treasury Single Account (TSA) by June 30, the directive said.

The Finance Division said the move is aimed at ensuring government revenues are credited to the state treasury in real time, improving the efficiency and cost-effectiveness of public cash management, and eliminating the risk of fake or fraudulent challans.

Officials said the mandatory adoption of the e-Challan system is expected to enhance transparency and accountability in public financial management while enabling the government to monitor revenue collections more efficiently through a fully digital platform.