ZestyQuokka
ZestyQuokka

Advance Tax - What's the way ?

My calculation says I should pay advance tax today (15 sep) - 45% of tax as per google search Quicko is saying to pay on 15March

What is the rule, should I pay or not?

I don't want penalty later

15mo ago
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JazzyNarwhal
JazzyNarwhal

Check the table below. Mar 15 is deadline that you should have paid any remaining advance tax already. It is not the deadline to pay advance tax itself.

https://cleartax.in/s/advance-tax

ZestyQuokka
ZestyQuokka

It is saying zero, I paid some amount in anticipation 😢

JazzyNarwhal
JazzyNarwhal

Have you entered salary also or just entered your capital gains? If your company already taking TDS from salary then whatever is your capital gain, you are supposed to pay advance tax.

ZestyWaffle
ZestyWaffle

If you are offering your income as professional u/s 44ADA or business income u/s 44AD u need to pay advance tax by 15th mar, no need to pay quarterly installments. If not, then u need to pay in quarterly installments.

ZestyQuokka
ZestyQuokka

44ADA, it wrote everywhere 45% So I paid a little more

ZestyWaffle
ZestyWaffle

Not for 44ADA see the link shared by @Sreekanth at the end it is mentioned for 44ADA

SleepyMarshmallow
SleepyMarshmallow

It’s always beneficial to pay maximum advance tax as soon as possible to prevent from any unknown tax implications.

WobblyBanana
WobblyBanana

Does IT department payback the excess easily?

SleepyMarshmallow
SleepyMarshmallow

Yes, they do. During Income Tax(IT) filing, make sure to attach this document of advance tax payment and rest IT will take care of that.
They will issue refund along with an interest to you.
I would say, IT task has become quite convenient from the last few years.

PeppyPretzel
PeppyPretzel

Your employer will deduct TDS on your income, so you need to pay advance tax only on your "other income". My "other income" is from bank FDs, the bank deducts 10% TDS, so I need to pay the remaining 20% advance tax on the Interest Credited.

SwirlyNoodle
SwirlyNoodle

Pay 45% by Sep 15if liability is more than 10k

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