The last date for filing advance tax is June 15. Advance tax is deposited in four installments even before the completion of the financial year. This rule does not apply to everyone, those who deposit tax above Rs 10,000, they pay advance tax. Apart from this, there are many circumstances in which advance tax is to be paid. Know what are its rules and who can pay this tax-
If you are a freelancer and pay tax of more than Rs 10,000 per annum, then you will have to pay advance tax. Any salaried employee can also be eligible to deposit advance tax, but he should have other sources of income as well. For example, there is a good income from interest, capital income or rent. Apart from this, even after deducting TDS, the liability on tax is more than Rs 10 thousand.
At the same time, salaried employees who do not have any other source of income will not be required to pay advance tax. Moreover, senior citizens whose source of income is not a business also do not fall under this category.
According to which advance tax is to be paid
Advance tax submission is the process of depositing tax before the completion of the financial year. It is filled by estimating the amount of earnings you earn for the whole financial year. The interest rate and rental income have to be mentioned while taking into account the changes in the level of earnings of the previous year.
June 15, September 15, December 15 and March 15, these special four dates have been fixed for depositing advance tax. The first installment is deposited on 15th June and there is time till 15th March to deposit the last installment. In case of non-payment of advance tax by March 15, penalty at the rate of 1% is to be paid.
Pay advance tax like this
You can pay advance tax both online and offline. For online submission, you can fill the form through e-pet taxes on the website of Income Tax Department. At the same time, in offline mode, you can make payment through challan in the bank branch authorized by the Income Tax Department.