Advance Tax Calculator India 2026 — Quarterly Due Dates & Interest
Calculate advance tax quarterly payments, TDS credit, interest on delayed payment (Section 234B/234C), and net tax payable. Supports both new and old tax regimes for FY 2025-26.
Calculate Advance Tax
Disclaimer: This is an estimated calculation for FY 2025-26. Actual tax depends on your complete income details, deductions claimed, and applicable exemptions. Consult a CA or use the official ITR form for exact calculation.
Quarterly Advance Tax Schedule — FY 2025-26
| Quarter | Due Date | Cumulative % | Tax Due (Q-wise) | Already Paid | Balance Due |
|---|---|---|---|---|---|
| Calculate to view schedule | |||||
Interest on Late Payment (If Applicable)
| Section | Applicable When | Rate | Calculation |
|---|---|---|---|
| 234B | Advance tax paid < 90% of assessed tax | 1% per month | On shortfall from due date of that quarter |
| 234C | Missed quarterly installment deadline | 1% per month | On that quarter's shortfall only |
What is Advance Tax?
Advance tax is self-assessed tax paid by individuals and businesses during the financial year (April to March) instead of waiting until the year-end assessment. In India, if your expected tax liability for the financial year exceeds ₹10,000, you are required by law to pay advance tax in quarterly installments. This applies to freelancers, business owners, investors, and salaried employees whose employer does not deduct sufficient TDS.
Who Must Pay Advance Tax?
- Expected tax liability > ₹10,000: If your total estimated tax for the FY exceeds ₹10,000, you must pay advance tax.
- Freelancers and Consultants: Those earning professional fees must pay advance tax if tax liability exceeds ₹10,000.
- Business Owners: Those with business or profession income must pay advance tax quarterly.
- Investors: Those with significant capital gains, dividend income, or interest income.
- Salaried Employees: If TDS deducted by employer + other TDS is less than expected total tax, they may need to pay advance tax.
- Rental Income Earners: Those with significant rental income often need to pay advance tax.
Quarterly Advance Tax Due Dates — FY 2025-26
Advance tax must be paid in four quarterly installments during the financial year (April 1 to March 31):
| Quarter | Period | Due Date | Cumulative % | Q-wise % | Payment Amount |
|---|---|---|---|---|---|
| Q1 | Apr 1 — Jun 30 | Jun 15 | 15% | 15% | 15% of total estimated tax |
| Q2 | Jul 1 — Sep 30 | Sep 15 | 45% | 30% | 30% of total estimated tax |
| Q3 | Oct 1 — Dec 31 | Dec 15 | 75% | 30% | 30% of total estimated tax |
| Q4 | Jan 1 — Mar 31 | Mar 15 | 100% | 25% | 25% of total estimated tax |
Tax Calculation — New Regime (FY 2025-26)
Step 1: Calculate Taxable Income
Taxable Income = Total Income - Standard Deduction (₹75,000)
Step 2: Apply Tax Slabs (New Regime)
| Income Range | Tax Rate |
|---|---|
| ₹0 — ₹4,00,000 | Nil |
| ₹4,00,001 — ₹8,00,000 | 5% |
| ₹8,00,001 — ₹12,00,000 | 10% |
| ₹12,00,001 — ₹16,00,000 | 15% |
| ₹16,00,001 — ₹20,00,000 | 20% |
| ₹20,00,001 — ₹24,00,000 | 25% |
| Above ₹24,00,000 | 30% |
Step 3: Rebate u/s 87A (New Regime)
If your taxable income is ≤ ₹12,00,000, you get full tax rebate (tax becomes ₹0). This means no income tax is payable if taxable income does not exceed ₹12 lakh.
Step 4: Add Cess
Health and Education Cess @ 4% is added to the tax calculated above.
Total Tax = Tax as per slabs + Cess (4%)
Tax Calculation — Old Regime (FY 2025-26)
Step 1: Calculate Gross Income & Deductions
Gross Income = Total Income - Standard Deduction (₹50,000) - Section 80C - Section 80D - HRA Exemption
Step 2: Apply Tax Slabs (Old Regime)
| Income Range | Tax Rate |
|---|---|
| ₹0 — ₹2,50,000 | Nil |
| ₹2,50,001 — ₹5,00,000 | 5% |
| ₹5,00,001 — ₹10,00,000 | 20% |
| Above ₹10,00,000 | 30% |
Step 3: Rebate u/s 87A (Old Regime)
If your taxable income is ≤ ₹5,00,000, you get full tax rebate (tax becomes ₹0).
Step 4: Add Cess @ 4%
Understanding TDS and Advance Tax
TDS (Tax Deducted at Source): TDS is tax deducted by your employer (or other sources) from your salary, interest, commission, etc. and deposited directly to the government. This reduces your final tax liability.
Advance Tax: Advance tax is self-assessed tax you pay directly. The sum of TDS and advance tax should ideally equal your total tax liability. At year-end, if you've overpaid, you get a refund; if you've underpaid, you owe additional tax.
Formula: Net Tax Payable = Total Tax Liability - TDS Deducted - Advance Tax Already Paid
Interest Penalties — Section 234B and 234C
Section 234B — Interest on Shortfall of Advance Tax: If the advance tax you paid during the FY is less than 90% of your assessed tax (tax shown in your ITR), you will pay 1% interest per month (or part thereof) on the shortfall. This is calculated from the due date of that quarter until the assessment date.
Section 234C — Interest for Late Payment of Installments: If you miss a quarterly deadline, you pay 1% interest per month on that quarter's shortfall. Each quarter is calculated separately. Missing multiple quarters results in separate interest charges.
How to Pay Advance Tax Online in India
- Challan 280 (NSDL/TINXSYS): Fill Form Challan 280 on NSDL (nsdl.com) or TINXSYS portal. Generate an ITINS reference number. Pay via internet banking or debit card. Download the ITINS receipt for your records.
- e-Pay Tax (epay.nic.in): Direct online payment portal. Enter your PAN, assessment year, and tax amount. Pay via net banking, credit/debit card, or UPI. Get an e-Pay reference number.
- Your Bank's Portal: Many banks offer tax payment services. Log in with your credentials and search for "tax payment" or "advance tax" option.
- Offline (Bank Branch): Get Challan 280 from your bank branch or download from NSDL. Fill it manually and submit with payment. Keep receipts.
Advance Tax for Freelancers and Business Owners
Freelancers and business owners must pay advance tax if their expected tax liability exceeds ₹10,000. Since there's no employer to deduct TDS, they must estimate their annual income, calculate tax, and pay quarterly installments. Keep detailed records of invoices, expenses, and payments to support your tax calculation during assessment.
Comparison: New Regime vs Old Regime for Advance Tax
| Aspect | New Regime | Old Regime |
|---|---|---|
| Standard Deduction | ₹75,000 | ₹50,000 |
| Rebate u/s 87A Limit | Taxable income ≤ ₹12L | Taxable income ≤ ₹5L |
| Section 80C/80D Allowed | No | Yes |
| HRA Exemption | No (included in income) | Yes, up to ₹3L+ |
| Tax-Free Allowances | No | Yes (HRA, LTA, etc.) |
| Highest Tax Rate | 30% | 30% |
| Best For | Salaried employees with no major deductions | Self-employed, business owners with high deductions |
Key Points & Tips for Advance Tax
- Estimate Income Accurately: Overestimate rather than underestimate. Paying extra advance tax is better than facing interest penalties.
- Adjust After Year-End: You can adjust your advance tax estimate if your income changes mid-year.
- Keep Records: Save all advance tax receipts (ITINS or e-Pay reference numbers) and TDS certificates to attach with your ITR.
- File ITR on Time: File your income tax return by the due date (July 31 for most individuals) to avoid penalties. Advance tax credit is only allowed after ITR filing.
- Avoid Interest & Penalties: Paying 90%+ of assessed tax protects you from Section 234B interest. Meeting quarterly deadlines avoids Section 234C interest.
- Check Your PAN Status: Ensure your PAN is activated and tax-resident status is correct before paying advance tax.
- Plan for Quarterly Payments: Divide your estimated tax into 15-30-30-25 across four quarters to manage cash flow.
Frequently Asked Questions — Advance Tax Calculator
What is advance tax and who must pay?
Advance tax is self-assessed tax paid by individuals and businesses during the financial year instead of waiting until year-end. If your expected tax liability for the FY exceeds ₹10,000, you must pay advance tax in quarterly installments. This applies to salaried employees whose employer does not deduct sufficient TDS, freelancers, business owners, and those with income from investments or rental properties. Paying advance tax ensures timely contribution to government revenue and avoids penalties and interest charges.
What are the quarterly advance tax due dates in 2025-26?
Q1 (Jun 15): 15% of total estimated tax due by June 15. Q2 (Sep 15): 45% cumulative (30% in Q2) due by September 15. Q3 (Dec 15): 75% cumulative (30% in Q3) due by December 15. Q4 (Mar 15): 100% cumulative (25% in Q4) due by March 15. If a due date falls on a weekend or holiday, payment can be made on the next working day. Mark these dates on your calendar to avoid missing deadlines.
What is Section 234B interest on advance tax?
Section 234B imposes 1% interest per month (or part thereof) on the shortfall of advance tax if the advance tax paid during the financial year is less than 90% of the assessed tax (tax shown in your ITR). The interest is calculated on the shortfall amount from the due date of that quarter until the assessment date. For example, if your assessed tax is ₹1,00,000 but you paid only ₹80,000 as advance tax, interest is charged on ₹20,000 from the date of payment until assessment. This interest is payable when you file your income tax return and is in addition to the unpaid tax.
What is Section 234C and how is it calculated?
Section 234C is the interest charged for not paying advance tax installments by the due date. The rate is 1% per month (or part thereof) on the shortfall for each quarter. If you miss a quarterly payment, interest is calculated from that quarter's due date until the assessment date, but only for that quarter's shortfall. For example, if Q2 payment was ₹30,000 but you missed the Sep 15 deadline, interest is 1% per month on ₹30,000 from Sep 15 onwards. This is separate from 234B interest on the overall shortfall. Each quarter's calculation is independent.
How to pay advance tax online in India?
Advance tax can be paid online using: (1) Challan 280 via NSDL (nsdl.com) or TINXSYS portal — fill challan online, get ITINS reference number, pay via net banking/debit card, (2) e-Pay Tax portal (epay.nic.in) — direct online payment for tax without form, (3) Your bank's tax payment portal (many banks offer this), (4) Offline — Challan 280 via bank branches (print, fill, submit with payment). You need your PAN and relevant details. Keep the ITINS receipt or e-Pay reference number for filing your income tax return. The payment reaches the government within 1-2 working days.
Who is exempt from paying advance tax?
You are exempt from paying advance tax if: (1) Your estimated tax liability is ≤ ₹10,000 — no advance tax needed, (2) 90% of your total tax liability is met through TDS already deducted by employer or other sources — you can skip advance tax, (3) You are a senior citizen (≥ 60 years) with income below ₹5,00,000 and TDS of ₹100,000+ — exemption available, (4) You have income only from salary and TDS is being deducted correctly by your employer — usually no need for advance tax. Freelancers, business owners, and those with investment income typically need to pay advance tax even if they have some TDS.
This advance tax calculator is for educational purposes only. Tax calculations are estimates based on the inputs provided. Actual tax depends on your complete income details, deductions claimed, applicable exemptions, and tax residency status. The Calculator assumes FY 2025-26 tax slabs and rates. Please consult a Chartered Accountant or use the official ITR form for exact calculation. The calculator does not account for special cases like foreign income, capital gains bifurcation, or business losses.