Advance tax

Advance Tax liability arises to those individuals whose Tax Liability exceeds Rs. 10000.

Prepare a Projected Income Statement for the year 2013-14 and check whether your Income Tax Liability exceeds Rs. 10000, if it exceeds then the same should be paid. It should be paid in installments, which is given below :-

Due Date of Installment                                               Amt. Payable

On or before 15th September                                       Not Less than 30% of the Advance Tax

On or before 15th December                                        Not Less than 60% of the Advance Tax, as reduced  

                                                                                 by any amount paid in the earlier installment

The whole amount of Advance Tax                                The whole amount as reduced by the earlier 

                                                                                  installments paid.

Regards,

Devendra Kulkarni

If your income tax liability for the year is likely to exceed Rs. 10,000/-, you should pay advance tax, or else there shall be interest payable on it.

Agreed with Mihir,

Advance Tax only to be paid when your Taxaxble Liability exceeds 10,000 rupeesfor a year.

As mihir and singhania said,it is correct that if ur liability to pay tax for current previous year exceed rs 10000 u r iable to pay advance tax.but u still have one choice,as u said such business is small the turnover would be less than rs 60 lakhs, u can opt for presumptive taxation under section 44AD i.e u can show 8% or above of total turnover as income .Advance tax provisions will not apply if u opt for presumptive taxation under section 44AD

You can also refer

/articles/short-note-on-concept-of-advance-tax-15859.asp#.UmeQrVOONGM