Advance Tax Rules for Capital Gains Investors
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Advance Tax on Capital Gains: What Investors Need to Know
If you've made capital gains during the year, you may need to
pay advance tax. This guide explains the rules, deadlines, and
calculations.
What is Advance Tax?
Advance tax is income tax paid in installments during the
financial year instead of a lump sum at year-end.
Who Must Pay Advance Tax?
- Individuals with tax liability over ₹10,000
- Includes salary, business, and capital gains
- Senior citizens (60+) without business income exempted
Payment Schedule
Four installments:
- 15% by June 15
- 45% by September 15
- 75% by December 15
- 100% by March 15