Tax Consultant
1948 Points
Posted on 15 September 2026
Advance tax due dates for FY 2026-27 under the Income Tax Act, 2025 (same schedule as before, new section references):
Installment 1: 15 June 2026 - at least 15% of estimated annual tax
Installment 2: 15 September 2026 - cumulative 45% of estimated annual tax
Installment 3: 15 December 2026 - cumulative 75% of estimated annual tax
Installment 4: 15 March 2027 - 100% of estimated annual tax
Who must pay: Any taxpayer whose estimated net tax liability for the year (after TDS) exceeds Rs 10,000.
Who is exempt: Resident senior citizens (age 60 or above) with no income from business or profession are fully exempt.
Section references under new Act: Old Section 207 is now Section 209 in Income Tax Act, 2025. Old Sections 234B and 234C (interest for non-payment) are now Sections 424 and 425.
Interest implication for September 15: Under Section 425, if cumulative advance tax paid by September 15 is less than 36% of the final tax liability, interest at 1% per month applies for three months on the shortfall from 45%. So paying at least 36% avoids any Section 425 interest for the September quarter.
How to pay: Use Challan 280 on the income tax portal under Major Head 0021, Minor Head 100 (Advance Tax). Select the correct assessment year (AY 2027-28 for FY 2026-27).
For a full breakdown of how to calculate each installment with worked examples, this [advance tax installment guide for FY 2026-27](https://taxgarden.in/blog/advance-tax-installment-due-dates-2026-27) covers computation step by step.