Advance Tax Calculator

Calculate your advance tax liability and quarterly payment schedule. Includes due dates and installment amounts for proper tax planning.

About This Calculator

Advance tax is the tax paid in advance during the financial year instead of paying it as a lump sum at the end of the year. It's mandatory for individuals whose tax liability exceeds ₹10,000 in a financial year.

Our calculator helps you determine your advance tax liability and provides a detailed payment schedule with due dates and amounts for each quarterly installment.

Advance Tax Payment Schedule:

  • 15th June: 15% of total tax liability
  • 15th September: 45% of total tax liability (30% additional)
  • 15th December: 75% of total tax liability (30% additional)
  • 15th March: 100% of total tax liability (25% additional)

Who Must Pay Advance Tax:

  • Salaried Individuals: If tax liability > ₹10,000 after TDS
  • Business/Profession: If tax liability > ₹10,000
  • Capital Gains: On sale of assets
  • Other Income: Interest, rent, etc. where TDS is not deducted

Penalty for Non-Payment:

  • Interest: 1% per month on unpaid amount
  • Calculation: From due date until payment date
  • Minimum: Interest charged even for partial delays

Features:

  • Calculate total advance tax liability
  • Quarterly payment schedule with due dates
  • Consider TDS already deducted
  • Visual payment timeline
  • Installment amount breakdown

Frequently Asked Questions

What is advance tax?

Advance tax is income tax paid in advance during the financial year instead of paying it all at the end. It's also known as "pay as you earn" tax. If your total tax liability exceeds ₹10,000 in a financial year, you must pay advance tax in quarterly installments as per the schedule prescribed by the Income Tax Department.

Who needs to pay advance tax?

You need to pay advance tax if your total tax liability for the year exceeds ₹10,000. This typically applies to: salaried individuals with additional income (rent, interest, capital gains), freelancers and professionals, business owners, and those with significant capital gains or other income sources. Senior citizens (60+ years) not having business income are exempt.

What is the advance tax payment schedule?

The advance tax payment schedule for individuals is: 1) 15th June - 15% of total tax liability, 2) 15th September - 45% (cumulative), 3) 15th December - 75% (cumulative), 4) 15th March - 100% (cumulative). Missing these deadlines results in interest penalty under Section 234B and 234C.

What happens if I don't pay advance tax?

If you don't pay advance tax or pay less than required, you'll be charged interest: 1) Under Section 234B - 1% per month on unpaid tax if advance tax paid is less than 90% of total liability, 2) Under Section 234C - 1% per month for shortfall in each quarterly installment. This interest is calculated from the due date until actual payment date.

How to pay advance tax online?

Pay advance tax online through the Income Tax Department's e-filing portal: 1) Login to incometaxindiaefiling.gov.in, 2) Go to 'e-Pay Tax' section, 3) Select Challan 280, 4) Choose assessment year and tax type (100 - Advance Tax), 5) Make payment via net banking, debit card, or UPI. Keep the challan counterfoil for your records.

Do salaried employees need to pay advance tax?

Salaried employees whose only income is salary usually don't need to pay advance tax separately because their employer deducts TDS monthly. However, if you have other income like rental income, interest, capital gains, or freelance income exceeding ₹10,000 tax liability, you must pay advance tax on that additional income.

Can I claim TDS against advance tax?

Yes, TDS (Tax Deducted at Source) already deducted by employers, banks, or tenants is credited against your total tax liability. When calculating advance tax, subtract the estimated TDS for the year from your total tax liability. You only need to pay advance tax on the remaining balance if it exceeds ₹10,000.

What if I miss an advance tax installment?

If you miss an installment, you can pay it later along with the next installment, but you'll be charged interest at 1% per month for the delay. Try to catch up by the next due date to minimize interest. If you realize you underpaid significantly, revise your estimates and increase subsequent installments.

Is advance tax different from self-assessment tax?

Yes, advance tax is paid during the financial year based on estimated income. Self-assessment tax is paid after the financial year ends when you file your return, if there's any remaining tax liability after accounting for TDS and advance tax paid. Advance tax is pre-payment; self-assessment is final settlement.

How to calculate advance tax for capital gains?

For capital gains (which are unpredictable), pay advance tax in the installment immediately following the quarter when you realized the gains. For example, if you sold property in August (Q2), include the capital gains tax in the December 15th installment (Q3). You won't be penalized for not estimating capital gains in earlier quarters.