Are you liable to pay Advance Tax? Check this out….

Payment of Income-tax as Advance tax is an obligation to be met by the Tax payers.

Are you liable to pay Advance tax?

Are there any exemptions?

When should these advance tax payments be made?

Find answers for all your queries here. Read on….

When does the question of Advance tax arise?

If your total Income-tax Liability in a financial year excees Rs. 10000/-, you are liable to Pay Advance Tax

What type of assessees are liable to pay Advance tax?

All types of assessees are liable to pay advance tax. Whether Individuals, HUF, Firm, Company, LLPs, etc., all are required to pay advance tax

How much & when the Advance tax to be paid?

Due date of paymentAdvance tax to be paid
On or before 15th June15% of the Advance tax due to be paid
On or before 15th September45% of the Advance-tax due to be paid
(45% of the tax less Advance tax already paid)
On or before 15th December 75% of the Advance tax due to be paid
(75% of the tax less Advance tax already paid)
On or before 15th March 100% of the Advance tax due to be paid
(100% of the tax less Advance tax already paid)
Advance tax table

Advance tax payable by assessees opting for presumptive taxation u/s 44AD & 44ADA

Due date of payment Advance tax to be paid
On or before 15th March 100% of the Advance tax due to be paid

Benefit for Senior Citizens in payment of Advance tax

In respect of Senior Citizens , who are 60 years or older and who do not have any Income from Business or Profession are exempt from payment of advance tax. However, at their option, they can also pay the taxes in Advance.

Other Points to be noted regarding Advance tax payments :

  • Non Residents are also required to pay Advance tax
  • Non payment of Advance tax will lead to payment of Interest while filing Income-tax returns.
  • Deductions under section 80C , 80 D etc , exemptions can be considered while calculating the Advance tax
  • TDS/TCS already deducted/collected can be reduced from the tax liability
  • Challan No ITNS 280 should be used for payment of Advance Tax
  • Advance tax can be paid online using the link (Advance tax payment Link)
  • You can use the Advance tax calculator to calculate your Advance tax Liability
  • Even if you miss any of the due dates of payment of Advance tax, you can pay the Advance tax till 31st March to reduce the Interest liability

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