Tips to Pay Advance Tax Online Easily

If you’re a working woman—freelancing, running a small business, earning rent or interest income—you might have heard the term Advance Tax and wondered, “Is this something I need to pay?”

Well, if your tax dues for the financial year exceed ₹10,000, the answer is yes.

But don’t worry! This guide will take you through the advance tax payment steps and explain the whole advance tax payment process. We here at Lxme are all about keeping money easy and worry-free—especially things like online advance tax payment, which can seem too complicated at first.

What is Advance Tax?

Advance Tax means paying your income tax in installments during the financial year, instead of waiting till the end.
If your total tax liability (after deductions and TDS) exceeds ₹10,000, you’re required to make an income tax advance payment in parts during the financial year—hence the name.

Who Needs to Pay Advance Tax?

You must pay Advance Tax if you’re:

• A freelancer (writer, designer, consultant, tutor, etc.)
• Running a business (including online stores, home bakeries, etc.)
• A salaried woman earning additional income (interest, rent, trading, etc.)
• A professional under the presumptive taxation scheme (like a CA, doctor, or lawyer)

And your total tax liability (after deductions and TDS) exceeds ₹10,000 in a financial year.

However, senior citizens (60+ years) with no business income are exempt.

Advance Tax Due Dates (FY 2025–26)

Installment	Due Date	Amount to Pay
1st	15 June	15% of the total tax
2nd	15 Sept	45% of the total tax (cumulative)
3rd	15 Dec	75% of the total tax (cumulative)
4th	15 March	100% of the total tax (final)

Presumptive taxpayers only need to pay 100% by 15 March.

This means if you’re under the presumptive taxation scheme, you’re not required to pay in quarterly installments—just make the full payment once by the final due date.

Knowing these dates is important in order to responsibly manage your online advance tax payment and prevent penalties.

“Cumulative” means you don’t pay 45% or 75% in addition to previous payments—you’re paying up to that percentage in total.

For example, if you’ve already paid 15% in June, then by September you just top it up (by 30%) to reach 45%.

Quick Example: Advance Tax on ₹50,000 Tax Liability

Suppose your tax payable for the year is ₹50,000. Here’s how the advance tax payment process looks:

Installment	Due Date	Amount to Pay
1st	15 June	15% of ₹50,000 = ₹7,500
2nd	15 Sept	30% more = ₹15,000 (Total 45%)
3rd	15 Dec	30% more = ₹15,000 (Total 75%)
4th	15 March	Remaining 25% = ₹12,500 (Total 100%)

If you’re under the presumptive scheme (like many CAs, doctors, and consultants), just pay the one-time income tax advance payment of ₹50,000 by 15 March.

How to Pay Advance Tax Online

Here is how to pay advance tax online in a few minutes:

1. Visit www.incometax.gov.in
2. Click ‘e-Pay Tax’ under Quick Links
3. Enter your PAN and mobile number
4. Choose ‘Advance Tax (100)’ under tax type
5. Select Assessment Year: 2026–27
6. Fill in your tax details and amount
7. Choose your bank and payment method
8. Review and click Pay Now
9. Save the challan/receipt for your records

What If You Miss It?

Missing deadlines or underpaying can cost you:

• Section 234B: If you haven’t paid 90% of the total tax by March 31, you’ll be charged 1% monthly interest.
• Section 234C: For missing quarterly due amounts, you also pay 1% per month for that shortfall

Timely online advance tax payment saves both money and mental stress.

How to Estimate Your Advance Tax

1. Estimate your total income from all sources.
2. Subtract deductions under sections like 80C, 80D, 24B (if you opt for the old regime.)
3. Use applicable income tax slabs to compute tax.
4. Subtract TDS already deducted.
5. If balance tax > ₹10,000 → You need to make an income tax advance payment.

If in doubt, use a reliable tax calculator or consult a Tax Expert. 

Tips for a Smooth Advance Tax Payment

• Estimate Your Advance Tax Early: As explained above, calculate your total income, apply deductions, subtract TDS, and check if your balance tax exceeds ₹10,000.
  
• Set Reminders: Don’t miss the due dates—mark your calendar!
  
• Save Receipts: Always download and save your payment receipt (challan) for reference during ITR filing.
  
• Check TDS: Check if TDS is already deducted by clients or banks to avoid double payment.
  
• Use Lxme Guides or Ask a CA: When in doubt, Lxme’s resources or a quick consult with a CA can help you stay on track.

Conclusion

Making your income tax advance payment on time is not just a legal requirement—it’s a powerful financial habit.

Whether you are a freelancer, entrepreneur, or side-hustling professional, it is important to know how to pay advance tax online.

Stay informed, stay ahead—and remember, Lxme is here to help you understand the advance tax payment process smoothly and stress-free.No jargon. No fear. Just practical advance tax payment steps for smart women.

FAQs:

Further read:

• Difference Between Tax Planning and Tax Management

• Tax Evasion vs. Tax Avoidance: What’s the Difference?

• Easy Tips for Salaried Employees to Reduce Their Taxes