Before you start
- Know how much to pay. Work out your expected tax for the year, minus TDS, and the instalment due. Our advance tax guide walks through the calculation.
- Keep your PAN and the mobile number for OTP handy.
- Pay a day or two before the due date (15 June, 15 September, 15 December, 15 March). Portals and banks slow down on the last day.
Step-by-step: paying advance tax with e-Pay Tax
- Go to the income tax e-filing portal. Either log in and choose e-File → e-Pay Tax, or use e-Pay Tax from the home page without logging in (PAN plus OTP).
- Click New Payment and choose the Income Tax tile.
- Select the year. For advance tax paid between April 2026 and March 2027, that is the 2026-27 tax year, shown as assessment year 2027-28 on screens that still use the older term. Picking the wrong year is the most common mistake.
- Select the type of payment: "Advance Tax". Don't choose self-assessment tax. That is for tax paid after the year ends.
- Enter the amount in the tax field. Leave surcharge, cess, interest and penalty at zero unless you have worked them out separately.
- Choose how to pay: net banking, debit card, UPI, a payment gateway (for credit cards), RTGS/NEFT, or over the counter at an authorised bank.
- Complete the payment. The portal generates a challan receipt.
Details to save from the challan
- BSR code of the bank
- Challan serial number
- Date of payment
- Challan Identification Number (CIN) and amount
You'll enter these in the tax-paid schedule of your ITR. The payment also shows up in your Form 26AS / AIS within a few days. Check it there. Download the receipt from e-Pay Tax → Payment History any time.
Paid under the wrong year or wrong type?
It happens often, and it can be fixed. The e-filing portal has a challan correction facility for e-Pay Tax challans where the assessment year or payment type was chosen wrongly, available for a limited period after payment. Outside that window, ask your jurisdictional Assessing Officer to correct the challan.
Don't pay the same tax again to "fix" it. You'd have to claim the extra back as a refund.
Mistakes that cost people money
| Mistake | What happens | How to avoid it |
|---|---|---|
Paying as "Self-Assessment Tax" in June | The payment isn't treated as an advance tax instalment, so interest can still apply | Choose "Advance Tax" for any payment made during the year |
Choosing the current year instead of the next assessment year | The tax is credited to the wrong year | Remember: tax for 2026-27 is assessment year 2027-28 |
Paying on 15 March after bank cut-off | The payment may be dated the next day | Pay a day or two early |
Using a family member's PAN | The credit goes to the wrong person | Always check the name the portal shows after you enter the PAN |
Not keeping the challan | Hard to prove payment if it doesn't show in 26AS | Download it from Payment History and file it |
Paying for a company, LLP or firm
The steps are the same, using the entity's PAN. The instalment percentages and due dates are the same as for individuals. Companies can't use the presumptive single-instalment option available to small businesses and professionals. If several people pay on behalf of a business, agree who pays which instalment, so nothing is missed or paid twice.
After paying: what else to keep in mind
- Keep paying each instalment. Interest is charged instalment by instalment if a payment falls short: section 425 of the new Act (formerly 234C), and section 424 (formerly 234B) if less than 90% is paid by 31 March.
- Re-estimate mid-year. If your income changes, adjust the next instalment rather than waiting for March.
- Claim it in your ITR. Advance tax paid is credited against your final tax, and any excess is refunded.
If you're not sure whether you need to pay at all, use our income tax calculator to estimate the year's tax first.
Freelancers, consultants and business owners who would rather not track instalments can hand it to TaxQue. Our income tax filing team estimates each instalment and files the return at year end.
