Advance tax is part of the tax you pay before the end of the financial year. It is a way of paying taxes when you earn money. It helps you in reducing the burden of one time payment and helps the government to maintain a constant revenue throughout the year.

If you receive income other than your salary, such as income, lottery winnings, etc., you must pay taxes in advance if you exceed your debt. 10,000. In case of salary income, TDS will be deducted by your employer.

Let’s take a look at the next steps for advance tax payment in India.

Step 1: Calculate your income tax liability

The first step in the tax preparation process is to calculate your income tax liability, to see if you owe more than your tax limit. 10,000 or not. If yes, you only have to pay tax on the following due dates:

A suitable date Advance tax rates
On or before June 15th Up to 15% of the advance tax credit
On or before September 15th Up to 45% of advance tax credit
On or before December 15th Up to 75% of the advance tax credit
On or before March 15th 100% of tax paid in advance

Step 2: Visit the website

Now, when you have arranged all the calculations, you need to visit the website by clicking below:

When you pay advance tax through self assessment you have to click Challan number 280. Self assessment means you pay tax by identifying your tax liability on your own, without any authority. in the government issuing a notification to do so.

Step 3: Fill in the details

You will see the page where you have to fill the required details in the online form. You will see the applicable tax, payment type, payment method, permanent account number (PAN), assessment year, contact details, and a captcha to let the computer know you are human.

Many taxpayers make mistakes in completing the tax year. The assessment year is the year following the financial year (in which you earned the income). For example, if you earned income in 2022-2023, your assessment year is 2023-2024.

Step 4: Verification

Before submitting your tax return, you need to check for any incorrect details. If everything is filled in correctly, you can make further arrangements and click on the “I agree” option to complete the submission.

Step 5: Pay

To make the actual payment, you need to access your bank account to complete the payment. You need to accept the payment and select the payment method of your choice to pay. Generally, there are only two options for payment, net banking and through debit card. Make a payment by clicking the submit button.

Paying taxes is becoming easier thanks to the digital services of the authorities. All you need to do is to fill all the details correctly as it will be a tedious process for you to file an updated return.

Anushka Trivedi is a freelance financial content writer. Can be connected to


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First published: December 20, 2022, 08:23 am IST

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