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Advance Tax Due Dates FY 2025-26 — Installments, Payment & Penalty

Updated: 3 June 2026  |  Income-tax Act, 2025  |  Section 234B & 234C

Advance tax installments for FY 2025-26: 15 June 2025 (15%), 15 September 2025 (45%), 15 December 2025 (75%), 15 March 2026 (100%). Pay if your estimated annual tax liability exceeds ₹10,000 after TDS credit. Individuals with only salary income (TDS deducted by employer) may not need to pay advance tax. Self-employed professionals, business owners, and capital gains earners must pay advance tax.
15 March
Final advance tax installment — 100% of total tax liability due by 15 March 2026.
This is the last opportunity to pay advance tax without Section 234C interest on the final installment.

Advance Tax Installment Schedule — FY 2025-26

Advance tax for FY 2025-26 is paid in four installments. The table below shows due dates, cumulative percentages, and example amounts on a ₹1,00,000 annual tax liability.

Installment Due Date Cumulative % Pay This Installment Example on ₹1L Tax
1st 15 June 2025 15% 15% of estimated annual tax ₹15,000
2nd 15 September 2025 45% 30% more (cumulative 45%) ₹30,000
3rd 15 December 2025 75% 30% more (cumulative 75%) ₹30,000
4th 15 March 2026 100% Remaining balance (25%) ₹25,000

Note: Amounts above are based on a flat ₹1,00,000 estimated tax liability. Your actual liability may differ based on income slabs, deductions, and TDS already deducted.

Who Needs to Pay Advance Tax?

Any taxpayer whose estimated tax liability for the year exceeds ₹10,000 after accounting for TDS credits must pay advance tax. This threshold applies to all categories of taxpayers — individuals, HUFs, firms, and companies.

MUST PAY ADVANCE TAX

  • Self-employed professionals (doctors, lawyers, consultants)
  • Business owners and proprietors
  • Freelancers and gig workers
  • Investors with capital gains (shares, property, mutual funds)
  • Salaried employees with rental income, FD interest, or other income where TDS is insufficient
  • Partners in firms receiving salary/interest from firm
  • NRIs with taxable income in India

EXEMPT / NOT REQUIRED

  • Senior citizens (60+ years, resident) with no business income — fully exempt under Section 207
  • Salaried employees whose only income is salary and employer deducts full TDS
  • Taxpayers with total tax liability of ₹10,000 or less after TDS
  • Agricultural income (exempt from advance tax)
Senior Citizen Note: Resident senior citizens aged 60 or above are exempt from advance tax only if they have no income from business or profession. A senior citizen running a business or practice must still pay advance tax on schedule.

Penalty for Non-Payment — Section 234B & 234C

Failure to pay advance tax on time results in interest charges — not a flat penalty, but interest that compounds over time. There are two separate interest provisions:

Section Trigger Interest Rate Duration
Section 234B Advance tax paid < 90% of assessed tax liability 1% per month From 1 April of the next year until date of assessment / self-assessment tax payment
Section 234C Shortfall in each individual installment 1% per month 3 months for 1st, 2nd & 3rd installments; 1 month for the 4th (March) installment

Example: If your total tax is ₹1,00,000 and you pay nothing by 15 June 2025, Section 234C interest on the 1st installment shortfall (₹15,000) = ₹15,000 × 1% × 3 months = ₹450. Section 234B interest on the full unpaid amount accumulates from April 2026 onward.

How to Pay Advance Tax Online

Pay advance tax directly on the Income Tax Department portal using Challan 280 (ITNS 280). No registration required for payment.

  1. Visit incometax.gov.in
    Go to the official Income Tax e-Filing portal. Under the “Quick Links” section on the homepage, click e-Pay Tax.
  2. Select Challan 280 — Income Tax
    Choose “Income Tax (other than companies) — ITNS 280”. For type of payment, select Advance Tax (code 100). For self-assessment tax (after year-end), choose code 300.
  3. Enter PAN & Assessment Year
    Enter your 10-digit PAN, select Assessment Year 2026-27 (for FY 2025-26 advance tax), and fill in your name and address details.
  4. Enter the Tax Amount
    Enter the advance tax installment amount (e.g., ₹15,000 for first installment). You can also break it up as Income Tax, Surcharge, Education Cess separately, or enter the total in the Income Tax field.
  5. Pay & Save Challan
    Complete payment via net banking, debit card, or UPI. A challan counterfoil will be generated with BSR code, challan serial number, and date. Save this for ITR filing — these details are required in Schedule TDS/Advance Tax of your ITR.

Alternative: Pay via the NSDL TIN portal (tin.tin.nsdl.com) using the same Challan 280 ITNS 280 process. Both portals are official and the payment reflects in your Form 26AS / AIS within 3–5 working days.

Frequently Asked Questions

What is the due date for advance tax payment?
For FY 2025-26 (Tax Year 2026-27), advance tax is paid in four installments: 15 June 2025 (15%), 15 September 2025 (45%), 15 December 2025 (75%), and 15 March 2026 (100%). If the due date falls on a public holiday, the next working day is the due date.
What happens if I miss the advance tax deadline?
Missing an advance tax installment attracts interest under Section 234C of the Income-tax Act at 1% per month (or part month) on the shortfall for each installment — for 3 months per installment (1 month for the March installment). If total advance tax paid is less than 90% of assessed tax, additional interest under Section 234B applies at 1% per month from 1 April until the date of assessment.
Do salaried employees need to pay advance tax?
Salaried employees whose employer deducts TDS on salary are generally not required to pay advance tax on that income. However, if they have other income — such as capital gains, rental income, FD interest, or freelance income — and the total tax liability after TDS exceeds ₹10,000, they must pay advance tax on the additional income.
Is there advance tax for senior citizens?
Senior citizens aged 60 years or above who are resident in India and do NOT have income from business or profession are completely exempt from paying advance tax under Section 207 of the Income-tax Act. They pay all their tax as self-assessment tax. However, senior citizens with business income must pay advance tax like any other taxpayer.
How to calculate advance tax?
Estimate your total income for the year from all sources (salary, business, capital gains, rent, interest, etc.). Compute the tax on this income at applicable slab rates. Deduct TDS already deducted or expected to be deducted. If the net tax liability exceeds ₹10,000, you must pay advance tax. Divide by installment percentages: pay 15% by 15 June, 45% cumulative by 15 September, 75% cumulative by 15 December, and 100% by 15 March.

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