Advance Tax Calculator
Advance tax must be paid in four instalments if your tax liability exceeds ₹10,000 after TDS. Missing deadlines attracts interest under Section 234B and 234C. This calculator estimates your total tax, subtracts TDS, and breaks down the exact amount due on each installment date (June 15, Sep 15, Dec 15, March 15).
Frequently Asked Questions
Who needs to pay advance tax?+
Anyone whose estimated tax liability (after TDS) exceeds ₹10,000 for the financial year must pay advance tax. This includes: salaried employees with significant other income (FD interest, capital gains, freelance income), self-employed professionals, business owners, investors with large capital gains, and rental income earners.
What happens if I miss an advance tax deadline?+
You pay interest under Section 234C: 1% per month (simple) on the shortfall for each missed instalment. If you pay less than 90% of total tax by March 31, you also pay 1% per month under Section 234B from April 1 till the payment date. These add up quickly on large tax liabilities.
Should I pay more advance tax than required?+
Paying slightly more than required is fine — excess is refunded with interest (currently 6% p.a. under Section 244A). But don't overpay significantly; that money is better in your hands. Aim for 90–100% of actual liability across installments.
Does salaried income need advance tax?+
Employers deduct TDS monthly from salary, which counts as advance tax payment. If your only income is salary and TDS covers all liability, no separate advance tax is needed. But if you have rental income, FD interest, or capital gains outside salary — you may need to top up with advance tax.