Advance Tax Calculator — Installments & Due Dates (FY 2025-26)
Advance tax is income tax paid in installments during the financial year, rather than as a lump sum at filing time, whenever your estimated tax liability exceeds ₹10,000 (Section 208). This tool calculates your exact installment amounts and due dates for FY 2025-26, accounts for the presumptive taxation exception and the senior citizen exemption, and explains your Section 234B/234C interest exposure if you fall short.
Who Must Pay Advance Tax
Under Section 208 of the Income Tax Act, advance tax is mandatory for anyone whose estimated tax liability for the year exceeds ₹10,000, after accounting for TDS/TCS already deducted. This applies to salaried individuals with significant other income, freelancers, business owners, and anyone with capital gains or rental income.
The Quarterly Installment Schedule (Section 211)
For most taxpayers, advance tax is paid in four cumulative installments:
| Due Date | Cumulative % |
|---|---|
| On or before 15 June | 15% |
| On or before 15 September | 45% |
| On or before 15 December | 75% |
| On or before 15 March | 100% |
Presumptive Taxation Exception
If you've opted for presumptive taxation under Section 44AD (business) or 44ADA (specified professions), you skip the quarterly schedule entirely — you must pay 100% of your advance tax liability in a single installment on or before 15 March.
Senior Citizen Exemption
Under Section 207, a resident individual aged 60 or above who has no income from business or profession is not liable to pay advance tax at all — regardless of the amount. This is a categorical exemption, not an income-based one. Such taxpayers can pay their full tax liability at the time of filing their return without facing interest under Sections 234B or 234C.
Interest for Default or Shortfall
- Section 234B (default in payment): If advance tax paid by 31 March is less than 90% of your assessed tax, simple interest of 1% per month (or part thereof) applies from 1 April until payment.
- Section 234C (deferment of installments): If you pay less than the required cumulative percentage by any due date, 1% per month interest applies on the shortfall — charged for 3 months for a shortfall in the 1st, 2nd, or 3rd installment, and 1 month for a shortfall in the 4th (15 March) installment. No 234C interest applies to shortfalls caused by income that genuinely could not have been estimated in advance, such as capital gains or lottery winnings.
Frequently Asked Questions
What if I underestimate my income and pay less advance tax than required?
You'll owe interest under Section 234C on the shortfall for each installment you fell short on, and possibly Section 234B if your total payment by 31 March is below 90% of your final assessed tax. Both are simple interest at 1% per month — there's no penalty beyond interest if you eventually pay in full.
I received a large capital gain in January — do I owe interest for not paying advance tax on it earlier?
No. Income that genuinely could not have been estimated in advance — such as capital gains, lottery winnings, or income from a newly set-up business — is exempt from Section 234C interest, provided you pay the tax due on it in the remaining installment(s) of the year.
Can I pay all my advance tax in one go instead of in installments?
Yes, you can pay more than the minimum required at any installment — this is allowed and avoids 234C interest on later installments. However, paying late (after an installment's due date) still triggers interest for the period of delay on that installment's shortfall.
Does the senior citizen exemption apply if I have rental income or capital gains?
Yes. The Section 207 exemption is based on having no income from business or profession — rental income, capital gains, salary, pension, and interest income do not disqualify you. As long as you're 60+ and resident with no business/profession income, you remain exempt from advance tax.
Where do I actually pay advance tax?
Advance tax is paid online via Challan 280 on the Income Tax e-filing portal (incometax.gov.in) or through authorized bank net-banking portals. Keep the BSR code, challan number, and payment date for your records — you'll need them when filing your return.
Recommended Eligibility Tools
Informational only: This calculator provides an estimate based on the Income Tax Act, 1961 provisions for FY 2025-26 (Sections 207, 208, 211, 234B, 234C). It does not constitute tax advice. Your actual liability depends on your complete income computation, applicable deductions, and tax regime choice. Consult a qualified Chartered Accountant for your specific situation.