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Calculation of advance tax

Bhavesh (Accounts) (899 Points)

07 December 2011

How to calculate the Advance tax of company/firms/individual. can anybody give me the format for the same.

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satish kumar voleti (A.C.A., (ICWAI)) (1686 Points)
Replied 08 December 2011

Every person in India need to file the income tax return, whereas his income exempted from income tax or not. Income tax in India is exempted up to a limit after which different slabs for incomes. Income tax is payable after the end of the previous year. However, if the tax amount of the individual is higher than Rs. 10000, then he needs to pay advance tax as per income tax law

ADVANCE TAX DATES

	Deficiency in case of non company assessee
1st instalment payable on before 15 Sept.	30% of tax due on returned income. If any amount paid on or before 15 sept. will be less
2nd instalment payable on or before 15 Dec.	60% of tax due on returned income. If any amount paid on or before 15 Dec. will be less
	100% of tax due on returned income. If any amount paid on or before 15 March will be less

ADVANCE TAX DATES IN CASE OF COMPANY

	Deficiency in case of company assessee
1st instalment payable on before 15 June	15% of tax due on returned income. If any amount paid on or before 15 June will be less. If the company has paid advance tax upto 12% of assessed tax, it is not liable to pay any interest
2nd instalment payable on or before 15 Sep	45% of tax due on returned income. If any amount paid on or before 15 Sep. will be less. If the company has paid advance tax upto 36% of assessed tax, it is not liable to pay any interest
3rd instalment payable on or before 15 Dec	75% of tax due on returned income. If any amount paid on or before 15 Dec. will be less.
	Overall deficiency:- 100% of tax due on returned income. If any amount paid on or before 15 Mar. will be less.

computation will b case specific.
generally should comprise:
Profit (estimated) as per books
Add Depn under cos act
less Depn under IT Act
less deductions under
Various chapters.

Taxable profit
Tax rate
Income Tax Payable
Less:TDS receivable
Tax payable all inclusive
Less Adv tax already paid
Current installment due.

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Rahul Gupta (Chartered Accountant) (644 Points)
Replied 08 December 2011

Originally posted by : satish kumar
	Every person in India need to file the income tax return, whereas his income exempted from income tax or not. Income tax in India is exempted up to a limit after which different slabs for incomes. Income tax is payable after the end of the previous year. However, if the tax amount of the individual is higher than10000, then he needs to pay advance tax as per income tax law ADVANCE TAX DATES Deficiency in case of non company assessee 1st instalment payable on before 15 Sept. 30% of tax due on returned income. If any amount paid on or before 15 sept. will be less 2nd instalment payable on or before 15 Dec. 60% of tax due on returned income. If any amount paid on or before 15 Dec. will be less 100% of tax due on returned income. If any amount paid on or before 15 March will be less ADVANCE TAX DATES IN CASE OF COMPANY Deficiency in case of company assessee 1st instalment payable on before 15 June 15% of tax due on returned income. If any amount paid on or before 15 June will be less. If the company has paid advance tax upto 12% of assessed tax, it is not liable to pay any interest 2nd instalment payable on or before 15 Sep 45% of tax due on returned income. If any amount paid on or before 15 Sep. will be less. If the company has paid advance tax upto 36% of assessed tax, it is not liable to pay any interest 3rd instalment payable on or before 15 Dec 75% of tax due on returned income. If any amount paid on or before 15 Dec. will be less. Overall deficiency:- 100% of tax due on returned income. If any amount paid on or before 15 Mar. will be less. computation will b case specific. generally should comprise: Profit (estimated) as per books Add Depn under cos act less Depn under IT Act less deductions under Various chapters. Taxable profit Tax rate Income Tax Payable Less:TDS receivable Tax payable all inclusive Less Adv tax already paid Current installment due.