The deadline for filing the second instalment of advance tax is today (Tuesday, September 15, 2026). Missing the due date today can lead to penal interest for the taxpayer. But do you also need to pay advance tax? Where can you file it, and what can be the consequences if you fail to meet the September 15 deadline? However, note that on some income like capital gains, you don’t need to pay advance tax before the income has happened. You can pay it after the income has happened.
What is advance tax?
Abhishek Soni, CEO & co-founder, Tax2win told ET Wealth Online that advance tax is an income tax that you pay during the financial year instead of paying the entire tax at the end of the year.
If your estimated tax liability for the year, after considering tax deducted at source (TDS) or tax collected at source (TCS) is Rs 10,000 or more, you generally need to pay advance tax, explains Soni.
Who needs to pay advance tax?
Soni further says anyone whose estimated tax liability is Rs 10,000 or more after considering TDS/TCS generally has to pay advance tax. This is not limited to business owners.
Citing an example, Soni says, “A salaried person may also have to pay it if they have additional income from capital gains, interest, rent or other sources and the TDS deducted is not enough.”
As per the Income Tax website, “Every taxpayer is required to estimate the income likely to be earned during the financial year, and if the tax liability on this estimated income exceeds a specified limit, the taxpayer is required to pay the tax in instalments within the same financial year. The tax rates for advance tax purposes are prescribed each year in Part III of the first schedule of the Finance Act and section 2 thereof.”What are the deadlines for advance tax?
What are the deadlines for advance tax instalments?
The Income Tax Department website says that advance tax should be payable by an assessee in four instalments on or before the prescribed due dates as specified in the table below:
| Due date for payment of advance tax | Advance tax to be payable |
| On or before June 15 of the previous year | At least 15% of advance tax |
| On or before September 15 of the previous year | At least 45% of advance tax |
| On or before December 15 of the previous year | At least 75% of advance tax |
| On or before March 15 of the previous year | 100% of advance tax |
Source: Income Tax Dept. website
Note: Any tax paid, on or before March 31, shall also be treated as advance tax paid during the financial year.
How can a taxpayer pay advance tax?
Soni says that advance tax can be paid online through the Income Tax Department’s e-Pay Tax facility. For payments relating to Tax Year 2026–27, taxpayers need to select the Income Tax Act, 2025, while making the payment, explains Soni.
Do some taxpayers also get an exemption on advance tax?
Explaning the conditions, Soni says that there is an exemption for resident senior citizens aged 60 years or above who do not have income from a business or profession. They do not have to pay advance tax even if their tax liability is Rs 10,000 or more, says Soni.
How to file advance tax online
As per the HDFC website, the steps to file advance tax are as follows-
1. Calculate your tax liability
2. Visit the income tax e-Filing portal
3. Navigate to e-Payment of taxes: After logging in with your User ID (PAN) and password, locate the ‘e-File’ tab on the top menu. Hover over it to find the ‘e-Pay Tax’ option and click on it.
4. Enter ‘New Payment’ details
Under E-pay tax, select new payment, select ‘Income Tax’ and click on ‘Proceed’ to make the payment. After choosing the applicable tax type, select your assessment year and type of payment and proceed to the next page.
5. Enter tax break-up
Add the break-up of the tax payment on the next page. Now select the payment mode and payment gateway and click on continue.
6. Verify details
Verify the details you have entered. Ensure that the PAN, assessment year, and other information are correct to avoid any issues. Click on ‘Submit to the Bank.’
7. Proceed to payment
After filling in the details, click on ‘Proceed’. You will be redirected to the bank’s net banking page or payment gateway, depending on your chosen payment method.
8. Confirmation and Receipt
Upon successful payment, a challan counterfoil will be generated containing the Challan Identification Number (CIN). You will also receive a confirmation message and email from the bank and the Income Tax Department.
9. Verify payment status
To ensure the payment has been credited to your tax account, verify the payment status on the Income Tax e-Filing portal:
Log in to the e-Filing portal using your credentials.
Navigate to ‘My Account’ and select ‘View Form 26AS (Tax Credit)’.
Choose the relevant assessment year and download Form 26AS to check if the advance tax payment is reflected in your tax statement.
What happens if someone fails to pay advance tax?
Soni says that the main consequence is interest on the tax shortfall or delay.
“If a taxpayer does not pay enough advance tax, interest can be charged at 1% per month or part of a month for the applicable period. Interest can also apply if the advance tax paid by the end of the year is less than 90% of the final tax liability,” says Soni.
So, even if someone pays the remaining tax while filing their income tax return, they may still have to pay interest for not paying sufficient advance tax on time, Soni says explaining the condition.
Also, advance tax is technically paid, rather than “filed”. The taxpayer makes the payment during the year and reports the advance-tax payment when filing the income tax return, says Soni.
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