Rectangular tanks are common as it is use for the storage of liquids such as water, oil, petroleum products, compressed gases, etc. Analysis of such tanks is quite difficult. So, in order to analyze these tanks, various methods are used. Mostly Approximate method and Finite Element Method (FEM) are used to analyse water tanks. This paper presents a literature review on the analysis of rectangular tanks by using Finite Element Analysis (FEA) with the help of STAAD Pro software. The design and analysis of rectangular tanks requires various design charts and involves lengthy and monotonous calculations. To avoid these tedious calculations various codes and books are available which provide charts for shear force and bending moment coefficients for the design of water tanks with different support conditions. This paper gives an idea for an approach to the analysis of rectangular tanks by Finite Element Analysis (FEA).