taxable income more than advance tax
This query is : Resolved
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...
thnx in advance
plz reply soon...
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.
If it is paid after due date of filing ITR, in terest U/s 234A will also be required to be paid.
22 April 2011
if the remaining tax is paid before 31st march..then also is it required to charge interest as per sec 234??
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.
---
**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.
---
**But if you pay after 31st March or file return late, interest will apply.**
---
### 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 |
---
If you want, I can help you calculate approximate interest if payment is delayed. Let me know!
* 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.
---
**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.
---
**But if you pay after 31st March or file return late, interest will apply.**
---
### 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 |
---
If you want, I can help you calculate approximate interest if payment is delayed. Let me know!
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- Tax Audit Applicability – Newly Formed Partnership Firm with Profit Below 6%/8%
- Difference between Date of Payment and Date of Deduction?
- TDS CREDIT MISMATCHING
- Buy back of shares u/s69
- Unregistered suppliers utility
- EMI ISSUE IN HOUSING LOAN OLD REGIME
- URGENT-Eligible leaves being shown as 24 days for 3 years Articleship instead of 156 days in 108
- Need Professional Opinion - AY 2012-13 Old Demand & AY 2026-27 Refund Adjustment
- ITR 4 and Bank transactions
- Journal entry of busniess expenses
- The TDS balance for March 26 shows a mismatch between the books and the portal; what should be done
- CALCULATION OF DEFFERED TAX - OP BL IS DTL & CURRET IT DTA
- LLP audit under companies act
- Experienced CA recommendation from Kolkata for FNO return filing
- Interest Reporting in Form 168
- Sales of goods of amount Rs77 lakhs to a party
- Tax Demand of ₹4,650 for AY 2026-27
- Concept of Vendor and customner reconciliation
- Mistake in e-invoice identified after 24 hours
- EXPORT PAYMENT
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
Subscribe to Pro
Join an elite circle of professionals
CAclubindia
