Section 211 of the Income-tax Act, 1961: Advance Tax Instalments and Due Dates
Section 211 prescribed when advance tax was payable and how much had to be deposited at each instalment. From 1 April 2026, the corresponding instalment rules are contained in Section 408 of the Income-tax Act, 2025.
What is advance tax?
Advance tax is income tax paid during the financial year on estimated taxable income, rather than paying the entire amount after the year ends. Under the 1961 Act, Section 207 dealt with liability to pay advance tax, Section 208 set the general liability threshold, Section 209 governed computation and Section 210 addressed payment on the taxpayer's own initiative or following an Assessing Officer's order.
Section 211(1)(a): Instalment dates and percentages
For taxpayers liable to advance tax other than those covered by the specified presumptive taxation exception, the law required the following cumulative percentages of estimated advance tax:
| Due date | Cumulative advance tax required | Amount to pay at this stage |
|---|---|---|
| 15 June | At least 15% | 15% of estimated liability |
| 15 September | At least 45% | Bring total payments to 45%, after deducting earlier payments |
| 15 December | At least 75% | Bring total payments to 75%, after deducting earlier payments |
| 15 March | 100% | Pay the balance of estimated liability |
The same dates and cumulative percentages are retained under Section 408(1) of the Income-tax Act, 2025.
Section 211(1)(b): Presumptive taxation under Sections 44AD and 44ADA
Taxpayers declaring eligible business income under Section 44AD(1), or eligible professional income under Section 44ADA(1), could pay the whole of their advance tax by 15 March of the financial year, instead of paying four instalments. Under the 2025 Act, the corresponding rule appears in Section 408(2), which refers to the specified entries in Section 58(2).
Payment up to 31 March
Advance tax paid on or before 31 March is treated as advance tax paid during that financial year. However, payment after a prescribed instalment due date may still attract interest for deferment or shortfall, where applicable. The 2025 Act expressly sets out the 31 March rule in Section 408(3).
Section 211(2): Demand notice served after an instalment date
Where an Assessing Officer issued an order under Section 210(3) or 210(4), and the resulting notice of demand under Section 156 was served after one or more scheduled instalment dates, the appropriate part or entire amount became payable on the remaining instalment dates falling after service of that notice. This provision must be read with the terms of the notice and the applicable assessment year.
Example: Advance tax of Rs. 1,00,000
| Due date | Minimum cumulative payment | Additional payment if previous instalments paid exactly |
|---|---|---|
| 15 June | Rs. 15,000 | Rs. 15,000 |
| 15 September | Rs. 45,000 | Rs. 30,000 |
| 15 December | Rs. 75,000 | Rs. 30,000 |
| 15 March | Rs. 1,00,000 | Rs. 25,000 |
Illustration only. Actual liability must reflect applicable rates, reliefs, credits and changes in estimated income.
Interest for late or insufficient advance tax
Under the 1961 Act, Section 234B addressed interest for default in payment of advance tax and Section 234C addressed interest for deferment of instalments. The conditions and exceptions must be checked separately; payment by 31 March does not automatically remove earlier instalment interest. For current tax years, consult the corresponding provisions of the Income-tax Act, 2025.
Legislative background
Section 211 was substituted by the Direct Tax Laws (Amendment) Act, 1987 (Act 4 of 1988), with effect from 1 April 1988. Sub-section (1) was subsequently substituted by the Finance Act, 2016 (Act 28 of 2016), effective 1 June 2016. The Finance Act, 2017 (Act 7 of 2017) extended the relevant presumptive-tax instalment treatment to Section 44ADA, effective 1 April 2017.
Official legal references
- Income-tax Act, 1961, as amended by the Finance Act, 2025 (official PDF)
- Income-tax Act, 2025, as amended by the Finance Act, 2026 (official PDF)
- Section 408: Instalments of advance tax and due dates
- Income Tax Department: Statutory time limits and advance-tax instalments
- Income Tax e-Filing Portal
Updated 27 October 2026. This article is general legal information; the applicable law depends on the tax year and facts.