# Advance Tax Calculator

> If your tax for the year, after TDS and TCS, is ₹10,000 or more, you must pay it in advance in four instalments: 15% by 15 June, 45% by 15 September, 75% by 15 December and 100% by 15 March. Presumptive taxpayers under 44AD/44ADA can pay everything by 15 March. Short or late payment attracts interest under Sections 234B and 234C.

Interactive calculator: https://www.industax.com/calculators/advance-tax

- **Applies when tax due is:** ₹10,000 or more
- **Next instalment:** 15 December — 75%
- **Late payment interest:** 1% per month

## Advance tax instalment schedule

| Due date | Cumulative amount payable |
| --- | --- |
| 15 June | 15% of estimated tax |
| 15 September | 45% |
| 15 December | 75% |
| 15 March | 100% |
| Presumptive (44AD/44ADA) — 15 March | 100% in one instalment |

## Who must pay advance tax

- Salaried people with large interest, rent or capital gains not covered by TDS
- Freelancers, consultants and business owners
- Investors with big capital gains during the year
- NRIs with Indian income not fully covered by TDS
- Not required: resident senior citizens (60+) without business or professional income

## Interest if you pay late or short

Section 234C charges 1% simple interest per month on the shortfall in each instalment — for three months on the June, September and December instalments and one month on the March instalment. There is a margin: no 234C interest if you paid at least 12% by June and 36% by September.

Section 234B charges 1% per month from 1 April after the year-end if you paid less than 90% of your assessed tax by 31 March, until you pay it.

## Worked example: consultant with ₹4 lakh of tax for the year

1. Estimated tax for the year after TDS: ₹4,00,000.
2. By 15 June pay ₹60,000 (15%).
3. By 15 September pay ₹1,20,000 more (cumulative ₹1,80,000).
4. By 15 December pay ₹1,20,000 more (cumulative ₹3,00,000).
5. By 15 March pay the last ₹1,00,000.

**Result:** Paying on schedule avoids 234B and 234C interest entirely.

## FAQs

### Do salaried employees need to pay advance tax?

Usually not, because employers deduct TDS on salary. But if you have other income — capital gains, rent, interest, freelance fees — and the tax on it after TDS is ₹10,000 or more, you must pay advance tax on that.

### What if I make a big capital gain in February?

Pay the tax on it in the remaining instalments. For capital gains, Section 234C interest isn't charged on the shortfall in earlier instalments if the gain arose after that instalment's due date and you pay tax on it in the following instalments.

### How is advance tax paid?

Online through the e-Pay Tax facility on the income tax e-filing portal, selecting 'Advance Tax (100)' as the type of payment for the correct tax year.

## Official sources

- Income Tax Department: https://www.incometax.gov.in/

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Canonical page: https://www.industax.com/calculators/advance-tax
Publisher: Indus Tax — CA-led tax and compliance firm (https://www.industax.com). Contact: info@industax.com, 9059139258.
This is general information, not advice for your specific facts.