ICT has affected almost each and every area of business world. It has also assisted Govt. to curb tax evasion to a large extent. In manual records, it was not very easy to track the records,it is not so that manual record keeping was not efficient, but when we compare it with digital record keeping, then really manual record keeping seems to be less efficient,as far as retrieval of data is concerned. Moreover, various modes like eTDS, eTCS,e Filing of Income Tax Returns have really made tax payment by assessees, and in that way,Govt has also been able to expand its tax base by creating a large pool of satisfied tax payers. Let us share the experiences, benefits,issues,challenges the taxation has faced in ICT Environment.