Why is advance tax important

Is it compulsory to pay advance tax?

As per section 208, every person whose estimated tax liability for the year is Rs. 10,000 or more, shall pay his tax in advance

What happens if I dont pay advance tax?
Penalty for Default in Advance Tax Payment 

Under section 234B, interest for default in payment of advance tax is levied at 1% simple interest per month or part of a month. The penalty interest is levied on the amount of unpaid advance tax.

How many times can I pay advance tax?Three instalments Advance tax has to be paid in three instalments of 30%, 40%, and 60% on 15 September, December, and March in a financial year.
How much advance tax do I pay?What are the important dates in advance tax?Sr.Due DateAdvance Tax Payable
1On or before 15th June15%
2On or before 15th September45%

On or before 15th December75%
3On or before 15th March100%
Who is the advance tax payer in India?
Can I pay lumpsum as advance tax?

Advance tax needs to be paid by any person whose tax liability is Rs 10,000 or more in a financial yea

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