Advance Tax Calculator

Calculate your quarterly advance tax liability under Section 208–211

Advance Tax Rules (Section 208–211): If your total tax liability for the year exceeds ₹10,000 after TDS, you must pay advance tax in quarterly installments. Failure to pay or short-payment attracts interest under Section 234C.

About Advance Tax Calculator

The Advance Tax Calculator computes quarterly advance tax installments for FY 2026-27 under Sections 207-211 of the Income Tax Act. Advance tax is payable when the total tax liability for the year exceeds ₹10,000 after deducting TDS. It must be paid in four installments — 15% by June 15, 45% by September 15, 75% by December 15, and 100% by March 15. Our calculator determines each installment, computes interest under Sections 234B and 234C for shortfalls, and helps you plan your tax payments efficiently.

Paying advance tax on time is crucial to avoid interest penalties. Section 234B charges 1% per month on the shortfall if advance tax paid is less than 90% of the total tax. Section 234C charges 1% per month on the deferment of each installment. Our calculator handles both the old and new tax regimes, considers salary income, business income, capital gains, and other sources to provide accurate installment calculations.

Key Features

Four installment calculation as per Income Tax Act
Interest computation under Sections 234B and 234C
Old and New tax regime comparison
TDS credit adjustment
Presumptive taxation (Section 44AD) support

Frequently Asked Questions

Who is required to pay advance tax?

Any taxpayer whose total tax liability for the financial year exceeds ₹10,000 after deducting TDS/TCS must pay advance tax. This includes salaried employees with additional income, freelancers, business owners, professionals, and investors with significant capital gains. Senior citizens (above 60 years) without business income are exempt from advance tax.

What are the advance tax due dates for FY 2026-27?

The four advance tax installments and due dates are: 1st installment — 15% by June 15, 2026; 2nd installment — 45% (cumulative) by September 15, 2026; 3rd installment — 75% (cumulative) by December 15, 2026; 4th installment — 100% (cumulative) by March 15, 2027. Each installment includes the previous ones — you pay the difference to reach the cumulative percentage.

What is the penalty for not paying advance tax?

If advance tax is not paid or is underpaid, interest is charged under two sections: Section 234B — 1% per month on the shortfall if total advance tax paid is less than 90% of the total tax liability, calculated from April 1 of the assessment year until payment. Section 234C — 1% per month on each deferred installment, calculated for 3 months per installment.

Is advance tax applicable for salaried employees?

Salaried employees whose entire tax is deducted at source (TDS) by the employer are not required to pay advance tax. However, if they have additional income (rent, interest, capital gains, freelance income) where the total tax on such income exceeds ₹10,000 after TDS, they must pay advance tax on that additional income.

Advance Tax Calculator