Use advance tax calculator on I-T portal to find tax payable
Your Tax Queries Answered: Avoiding Advance Tax Penalties and Maximizing Joint Loan Benefits
l I have contractual jobs and companies deduct 10% TDS on payments. I have not paid any advance tax for FY26. Can I pay the tax when filing my income tax return (ITR)?—Rajat Kumar
TDS deducted by companies can be claimed as a credit while filing your ITR . However, if after claiming this credit there is any additional tax liability and it exceeds Rs 10,000, then interest under Sections 234B and 234C will be applicable for delay or shortfall in payment of advance tax. While you can still pay the remaining tax at the time of filing your return (as self-assessment tax), the interest would have already been triggered. Therefore, estimate your total income and tax liability, adjust for the TDS credit available, and pay any balance tax to avoid additional levy of interest. You can use the advance tax calculator on the income tax portal to ascertain the amount of tax payable.
l How much tax do I have to pay on Rs 5 lakh annual performance bonus?—R A Sumesh
A performance bonus is treated as part of your salary income and is taxed at your applicable slab rate. There is no separate or special rate for bonus income. Your employer will deduct applicable TDS based on your tax declaration on the bonus before paying it to you.
l My wife is repaying a home loan for the past five years. Now we are planning to take a joint loan to buy another property. Can she claim income tax benefit for the second loan also?—Prakash Kumar Chand
Yes, your wife can claim tax benefits on a second home loan as well. She can continue to claim principal repayment under Schedule XV (within the Rs 1.5 lakh limit) and interest under Section 22(2) for the second property too. However, the total interest deduction for a self-occupied property is capped at `2 lakh per year. In a joint loan, both co-borrowers can claim benefits in proportion to their ownership and repayment.
l I am a student and earned dollar income for developing social media content. Do I have to file income tax returns?—Gagan Sharma
Yes, even as a student, if you have earned income, whether in India or in foreign currency, you may be required to file an Income Tax Return (ITR). If your total income exceeds the basic exemption limit (Rs 2.5 lakh under the old regime or Rs 3 lakh under the new regime), filing is mandatory. Even if your income is below the limit, filing an ITR is advisable, especially for foreign income, as it helps maintain proper financial records and may be required for future visa or loan purposes.
The writer is senior partner, Nangia & Co LLP. Send your queries to fepersonalfinance @expressindia.com
Disclaimer: The views expressed are the author’s own and do not reflect the official policy or position of Financial Express.
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