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Do you know what is Advanced Tax? Know its benefits here and who all pay this tax

by Aaryan Srivastav
September 6, 2024
क्या आप जानते है क्या होता है Advanced Tax ? यहां जानिए इसके फायदे और कौन-कौन देता है ये टैक्स 

Business News Desk – Many people in India earn a lot of money, whoever earns as much, he also pays the same amount of tax. You must have heard about paying huge taxes in a year, but have you ever heard about advance tax? Recently, a report by Fortune India magazine stated that Shah Rukh Khan is the highest tax-paying celebrity in India in 2024. Shah Rukh has paid Rs 92 crore as advance tax. Today we will tell you why many celebrities pay advance tax and what are its benefits?

What is Advance Tax?
The name of advance tax itself makes it clear that this is the tax that is paid before time. The person who has even a little idea about his income in the financial year pays this tax. That is, advance tax is paid according to the potential income. Advance tax is also paid at the business level, if someone does not follow the rules of this tax then he has to pay a fine as well.

You have to pay this tax in installments in the middle of the year, not at the end of the year. This tax is applicable to those whose tax liability is more than Rs 10,000. The Income Tax Department has fixed 4 dates to pay it. You can pay your tax in four installments on 15 June, 15 September, 15 December, 15 March. This tax is also called ‘pay as much as you earn’ tax.

How beneficial is advance tax?
There are many benefits of paying tax in advance. The first benefit is that you are free from the burden of paying tax at the last moment. Apart from this, when everyone pays tax, there is a possibility of your application being rejected many times during this time. This not only benefits the taxpayers, but the government also benefits. The government also gets more interest on the government money deposited.

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