Advance Tax
✓ Last verified 14 Sep 2026
The short version
Advance tax is income tax paid in instalments through the financial year rather than in one lump sum at filing time - required once your estimated tax liability after TDS crosses a set threshold.
See our full article on how advance tax works for the exact instalment schedule and thresholds - in short, if your net tax liability for the year (after subtracting TDS already deducted) exceeds ₹10,000, you're expected to pay it across the year in set instalments rather than as one payment when filing. This most commonly affects freelancers, consultants, and anyone with significant non-salary income like rent or capital gains.
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