This discussion clarifies the rules around advance tax payments. If your total tax liability is expected to exceed £10,000, you're generally required to pay advance tax. This is calculated based on your estimated total income for the entire financial year, not just a single quarter. For salary earners, your employer typically deducts tax via PAYE, so advance tax usually only applies if you have other sources of income. Payments are made in four quarterly instalments throughout the financial year.