What is an Advance tax?
Advance Tax is applicable to all taxpayers including salaried ones, if the total tax liability for a Financial Year after deducting TDS and tax relief is Rs.10,000/- or more.
To calculate your Advance Tax liability, click here
When to pay?
The Due dates for payment of Advance Tax have been amended by the Finance Act 2016 from Financial Year 2016-17. As per the amended provisions, Advance Tax is required to be paid in four instalments of 15%, 45%, 75% and 100% of tax payable on the current Income by 15th June, 15th September, 15th December and 15th March respectively.
Taxpayers covered u/s 44AD and 44ADA need to pay an Advance Tax of the whole amount in one instalment on or before the 15th of March of the financial year. An option has been given to section 44AD taxpayers to pay their Advance Tax due by 31st March.
Advance Tax liability for all taxpayers (other than covered under sections 44AD and 44ADA of the Income Tax Act, 1961)
| Due Date | Installment Payable |
| On or before 15th June, 2023 | Not less than 15% of Advance Tax. |
| On or before 15th Sep, 2023 | Not less than 45% of Advance Tax as reduced by the amount paid in the earlier instalment. |
| On or before 15th Dec, 2023 | Not less than 75% of Advance Tax as reduced by the amount paid in the earlier instalments. |
| On or before 15th Mar, 2024 | The whole amount (100%) of Advance Tax is reduced by the amount paid in the earlier instalments. |
Advance Tax liability for taxpayers covered under sections 44AD and 44ADA of the Income Tax Act, 1961
| Due Date | Installment Payable |
| On or before 15th Jun, 2023 | — |
| On or before 15th Sep, 2023 | — |
| On or before 15th Dec, 2023 | — |
| On or before 15th Mar, 2024 | The whole amount (100%) of Advance Tax |
What if I don’t pay?
1% Interest per month is payable for non-payment/short payment of Advance Tax u/s 234B & 234C of the Income-tax Act.
Who is exempted from paying Advance Tax?
Exemption for payment of Advance Tax is provided to the following persons:
1. Senior Citizen who does not have any Income from Business or Profession.
2. Taxpayers having Tax Liability less than Rs 10,000/- after considering TDS and Tax Relief on Income.
How do I pay this Advance Tax?
To know how to pay the Advance tax please Click Here.
Whether a Non-Resident Indian (NRI) or a Non-Resident is required to pay Advance Tax in India?
Yes. The Advance Tax is applicable to them if they have any Income accrued during the Financial Year in India.
How do I show Advance Tax details in my Income-tax return?
You are required to provide challan details to your employer before the end of the financial year so that they will consider it in your Form-16 and deduct TDS accordingly. If you miss it, you can further declare it while filing your Income-tax return in the Advance Tax section/ page under the Tax Paid option.
myITreturn.com provides you with a unique advance tax estimator through which you can calculate your exact Advance Tax liability and pay it within the due date.
For any support on Advance Tax, please submit a request from here.
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