taxable income more than advance tax

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ankit (Querist)
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21 April 2011 if at the end of the year taxable income calculated is more tahn the advance tax paid than uotill when the rest amount can be paid and how..

thnx in advance
plz reply soon...

CA. Krishna K Neeraj

CA. Krishna K Neeraj (Expert)
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22 April 2011 If tax on taxable income is more than advance tax, it can be paid anytime before filing of ITR alongwith interest U/s 234B & 234C.

If it is paid after due date of filing ITR, in terest U/s 234A will also be required to be paid.

ankit

ankit (Querist)
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22 April 2011 if the remaining tax is paid before 31st march..then also is it required to charge interest as per sec 234??

Asha Kanta Sharma

Asha Kanta Sharma (Expert)
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26 July 2025 Great question! Here’s how it works:

* If your **total tax liability at year-end is more than the advance tax paid**, you **must pay the balance tax before filing your Income Tax Return (ITR)**.

* Now, about **interest under Sections 234A, 234B, and 234C**:

* **Section 234A (Late filing fee):** Charged if you file your ITR **after the due date** (usually 31st July for individuals).

* **Section 234B (Interest for short payment of advance tax):** Applies if you have paid **less than 90% of the tax due as advance tax** by 31st March.

* **Section 234C (Interest for deferment of advance tax):** Applies if advance tax installments are not paid as per schedule.

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**If you pay the balance tax by 31st March**, then:

* **No interest under 234B or 234C** will be charged because advance tax payment is considered complete.

* **No interest under 234A** because you are paying before filing the return.

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**But if you pay after 31st March or file return late, interest will apply.**

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### Summary:

| Scenario | Interest Applicable? |
| --------------------------------- | ------------------------------------- |
| Pay balance tax **before 31 Mar** | No interest under 234A, 234B, 234C |
| Pay balance tax **after 31 Mar** | Interest under 234B & 234C applicable |
| File ITR **after due date** | Interest under 234A also applicable |

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If you want, I can help you calculate approximate interest if payment is delayed. Let me know!

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