Today, September 15, marks the deadline for the second advance tax installment for the fiscal year 2026. Splitting advance tax payments helps prevent a large sum due at year-end. Who is required to pay? Individuals whose annual tax liabilities exceed ₹10,000 must pay. Typically, salaried individuals with TDS do not have to make additional payments. Those earning from rent, capital gains, freelance work, or business activities are obligated to pay. Senior citizens aged 60 and above are exempt if they do not have business income. The payment schedule is as follows: June 15: 15%, September 15: 45% (today), December 15: 75%, and March 15: 100%.
For example, if your tax is ₹2,00,000, you should have paid ₹30,000 by June, and today you need to ensure a total of ₹90,000 is paid, which means paying an additional ₹60,000. There is a penalty for late payments: if you miss the September 15 deadline, a 1% monthly interest will accrue until December. If 90% is not paid by March 31, interest will continue to accrue at the same rate until fully settled. Paying early does not incur extra tax; it simply allows for easier management of cash flow and helps avoid penalties. Payments can be made through the Income Tax portal or via net banking today.