What is interest under Section 234B and 234C?

Section 234B: 1% per month interest if advance tax paid is less than 90% of assessed tax. Section 234C: 1% per month interest for deferment/shortfall in quarterly installments.

📅 FY 2025-26 · Quarterly Installments

Advance Tax Calculator

Q: Who needs to pay advance tax?

Any person whose estimated tax liability for the year (after TDS) is ₹10,000 or more must pay advance tax. This includes salaried individuals with other income, freelancers, professionals, and businesses. Senior citizens (60+) without business income are exempt.

Q: What are the advance tax due dates for FY 2025-26?

June 15 — 15% of tax, September 15 — 45% cumulative, December 15 — 75% cumulative, March 15 — 100% of total tax. Missing these dates attracts interest under Section 234C.

Calculate your quarterly advance tax installments, know exact due dates, and estimate interest under Section 234B & 234C if you miss a payment.

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Advance Tax Planner

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Estimated Total Income for FY 2025-26 (₹)

Total Deductions — 80C, 80D, NPS etc. (₹)

TDS Already Deducted / Expected (₹)

Tax Regime

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Age Category

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Note: Advance tax is applicable if your estimated tax liability (after TDS) exceeds ₹10,000 in a financial year. Senior citizens without business income are exempt.

Total Tax Liability

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Advance Tax Payable

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TDS Credit

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Balance Tax (Self-Assessment)

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📅 Quarterly Installments

Understanding Advance Tax

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Who Must Pay?

Anyone with estimated tax liability exceeding ₹10,000 in a year (after TDS). Freelancers, professionals, and salaried with rental/capital gains income are commonly affected.

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Interest on Default

Section 234B: 1% per month if advance tax paid < 90% of assessed tax. Section 234C: 1% per month interest for shortfall in each quarterly installment.

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How to Pay

Pay online via Challan 280 on the Income Tax portal (e-Pay Tax). Select Advance Tax (100), enter PAN, amount, and assessment year. Keep the receipt safe for ITR filing.

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Frequently Asked Questions

Who needs to pay advance tax? ▼

Any person with estimated tax liability exceeding ₹10,000 in a year (after TDS) must pay advance tax. This includes salaried individuals with additional income (rental, capital gains, freelancing), self-employed professionals, and businesses. Senior citizens (60+) without business/professional income are exempt.

What are the advance tax due dates? ▼

For FY 2025-26: June 15 — 15% of estimated tax, September 15 — 45% cumulative, December 15 — 75% cumulative, March 15 — 100% of total estimated tax. If the due date falls on a holiday, the next working day applies.

What interest is charged for late/short payment? ▼

Section 234B: 1% per month (simple interest) on shortfall if advance tax paid is less than 90% of assessed tax liability. Section 234C: 1% per month for deferment — charged when quarterly installments fall short of the prescribed percentages (15%, 45%, 75%, 100%).

Can I pay advance tax in a lump sum? ▼

Yes, you can pay the entire advance tax in a single installment before March 15. However, you may still be liable for Section 234C interest for the quarters where cumulative payment was short. Paying in all 4 installments is recommended to minimize interest.