Advance tax means paying income tax during the year instead of in one lump sum when you file. It applies to anyone whose tax for the year, after TDS, is expected to be Rs 10,000 or more.
Due dates for FY 2026-27
| By | Share of the year’s tax paid in total |
|---|---|
| 15 June 2026 | 15% |
| 15 September 2026 | 45% |
| 15 December 2026 | 75% |
| 15 March 2027 | 100% |
The share is cumulative. If you owe Rs 1,00,000 after TDS, you should have paid Rs 15,000 by 15 June, Rs 45,000 in total by 15 September, Rs 75,000 by 15 December and everything by 15 March.
Who must pay
- Salaried people with other income such as rent, interest or capital gains that TDS does not cover.
- Freelancers, consultants and business owners.
- Anyone with a large capital gain during the year.
Who does not have to pay
- Anyone whose tax after TDS is under Rs 10,000.
- Resident senior citizens aged 60 or more who have no business or professional income.
Presumptive taxpayers
If you use presumptive taxation for a small business or profession (sections 44AD and 44ADA), you pay the whole advance tax in one go by 15 March, not in four parts.
If you miss a date
Interest of 1% a month applies on the shortfall. If you realise late, pay what you can as soon as possible, because the interest runs by the month.
Work out your amount
Enter your estimated income, regime and the TDS already deducted in the advance tax calculator to see what to pay on each date. If your income changes during the year, run it again and adjust the next instalment.
The Income-tax Act 2025 applies from 1 April 2026 and renumbered the sections, so quote the new section numbers on challans and notices.