Advance Tax — Q1 Instalment (15 June)
First instalment of Advance Tax for the current financial year, due by 15 June. Companies must pay at least 15% of their estimated annual tax liability by this date. Advance tax applies to all companies (and individuals) with an estimated tax liability exceeding INR 10,000 for the year, after accounting for TDS credits.
Who this applies to
- All companies (Private Limited, Public Limited, OPC)
- Individuals and firms with estimated tax liability above INR 10,000
- Companies under both old regime and Section 115BAA/115BAB
What to file
No return to file for advance tax instalments — just pay Challan 280 (ITNS 280) with the correct Assessment Year, PAN, and type (Advance Tax code 100). Payment via net banking, authorised bank branches, or Income Tax portal.
How to file
Pay via https://www.incometax.gov.in/iec/foportal/pay-taxes-online or NSDL portal using Challan 280. Select Assessment Year carefully (AY is one year ahead of FY — for FY 2025-26 select AY 2026-27). Choose payment type 100 (Advance Tax). Keep the counterfoil/BSR code as proof.
Payment due
15 June (Q1), 15 September (Q2), 15 December (Q3), 15 March (Q4) for all companies. 100% of estimated tax must be paid by 15 March.
Penalties for missing this deadline
Section 234C interest: 1% per month for 3 months if Q1 instalment is not paid or is less than 12% of assessed tax (cumulative, including Q1). For Q4 (March), interest runs for 1 month only. Section 234B: 1% per month from 1 April of the AY if total advance tax paid is less than 90% of assessed tax.
Filing checklist
- Estimate net profit for the full financial year
- Apply applicable tax rate (115BAA at ~25.17% or old regime at ~30%+)
- Deduct TDS credits already received (Form 26AS)
- Calculate 15% of annual estimated tax for Q1
- Pay via Challan 280 on incometax.gov.in with correct AY
- Save BSR code and serial number from the challan as payment proof
Common mistakes to avoid
- Selecting the wrong Assessment Year on Challan 280 (AY is FY+1)
- Not accounting for TDS credits already deducted — over-paying advance tax reduces working capital unnecessarily
- Underestimating profit in Q1 and then facing large catch-up payments with interest in later quarters
- Missing the payment deadline because June is a busy operating month with no automatic reminder
Never miss a India deadline
AccountsOS tracks every Income Tax Department (CBDT) and Ministry of Corporate Affairs (MCA) / Registrar of Companies deadline and reminds you weeks ahead.
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