Advance Tax for FY 2026-27: Due Dates, Instalments, Who Must Pay and Interest for Shortfall

Advance tax for FY 2026-27 (tax year 2026-27 under the Income-tax Act 2025) is paid in four instalments: 15% of the year's tax by 15 June 2026, 45% by 15 September, 75% by 15 December 2026 and 100% by 15 March 2027. You pay it only if your tax for the year, after TDS and TCS, is ₹10,000 or more. Businesses and professionals declaring presumptive income under section 58 pay the whole amount in one instalment by 15 March 2027.

Sources checked: 20 October 2026

Facts checked on 20 October 2026 against the Income-tax Act 2025 (sections 403, 404, 405, 408, 424 and 425 on incometaxindia.gov.in).

Key facts

Item	Tax year 2026-27
Who pays	Anyone whose tax after TDS/TCS is ₹10,000 or more (section 404)
Exempt	Resident aged 60+ with no business or professional income (section 403(3))
Instalments	15% / 45% / 75% / 100% by 15 June, 15 Sept, 15 Dec, 15 March (section 408(1))
Presumptive business or profession	100% by 15 March 2027 (section 408(2))
Interest for a late instalment	Section 425 (formerly 234C)
Interest if less than 90% paid by 31 March	Section 424 (formerly 234B), 1% a month
Portal year to select	Tax year 2026-27

When is advance tax due in 2026-27?

The remaining dates this year are 15 December 2026 (75% cumulative) and 15 March 2027 (100%); the June and September instalments have passed.

Due date	Cumulative advance tax payable
15 June 2026	15%
15 September 2026	45%
15 December 2026	75%
15 March 2027	100%

If you declare business or professional income under the presumptive scheme (section 58(2), Table serials 1 and 3, formerly sections 44AD and 44ADA), you pay the entire amount by 15 March 2027. Goods-carriage operators under the same section follow the four-instalment table.

Anything paid by 31 March still counts as advance tax for the year; paying late only changes the interest.

Who does not have to pay advance tax?

A resident individual aged 60 or more with no business or professional income does not pay advance tax, and nor does anyone whose tax after TDS and TCS is below ₹10,000. Everyone else — proprietors, professionals, partners, firms, LLPs and companies — pays in instalments.

How do I estimate and pay it?

1. Project the year's income by head: business or profession, salary, house property, capital gains, other sources.
2. Apply the slab rates (or the flat rate for a firm, LLP or company), add surcharge if applicable and 4% cess.
3. Subtract the TDS and TCS you expect to be credited during the year.
4. Pay the cumulative percentage by each date, and re-estimate at each instalment as the year unfolds.

Pay online through e-Pay Tax on the income-tax e-filing portal: choose advance tax as the payment type and tax year 2026-27 as the year.

What interest applies if I pay late or too little?

Two interest charges apply, both on the shortfall and both simple interest:

• Deferment interest (section 425): 3% of the shortfall at each of the first three instalments and 1% of the shortfall at 15 March. There is no interest on the June or September instalment if you paid at least 12% and 36% of the tax by those dates. Presumptive taxpayers pay 1% on any shortfall at 15 March.
• Default interest (section 424): if advance tax paid by 31 March is less than 90% of the tax due, 1% a month on the unpaid amount from 1 April until you pay it as self-assessment tax or until assessment.

Example

A proprietor's tax for the year works out to ₹2,40,000 after TDS. They pay nothing until 15 March, then pay it all.

• Deferment interest: ₹36,000 (15%) × 3% = ₹1,080; ₹1,08,000 (45%) × 3% = ₹3,240; ₹1,80,000 (75%) × 3% = ₹5,400. Total ₹9,720.
• Default interest: nil, because 100% was paid before 31 March.

Paying the four instalments on time would have cost nothing extra.

Capital gains, dividends and new income

If a shortfall arises because you under-estimated capital gains, dividends, winnings or business or professional income arising for the first time, deferment interest is not charged, provided you pay the tax on that income in the remaining instalments or by 31 March (section 425(4)). A property sold in February, for example, needs the tax on the gain paid by 15 March or, at the latest, 31 March.

Related dates for business owners

• 31 August 2026 — return for FY 2025-26 for business and professional taxpayers whose accounts are not audited, and for partners of such firms (the date set by the Finance Act 2026; 31 July for others).
• 21 November 2026 — return for FY 2025-26 in audit cases, after the CBDT extension (audit report due 21 October 2026).
• 15 December 2026 — third advance-tax instalment for tax year 2026-27 (75%).
• 15 March 2027 — fourth instalment (100%), and the single instalment for presumptive taxpayers.
• 31 March 2027 — last day for a payment to count as advance tax for tax year 2026-27.

The compliance calendar lists every instalment date. Our income tax services include quarterly advance-tax estimates; if you are unsure what to pay by 15 December, ask our expert team.