How to Use the Advance Tax Calculator on the Income Tax Portal?
- Asharam Swain
- Apr 2
- 8 min read
Advance tax is a crucial part of the tax-paying process for individuals and businesses earning income that is not subject to tax deduction at source (TDS). To calculate the correct amount of advance tax, the Income Tax Department offers a calculator on their official portal, and TaxBuddy provides an alternative with additional features and ease of use.
Read on to understand how to use the Income Tax Portal's Advance Tax Calculator and TaxBuddy’s calculator to ensure accurate and timely tax payments. These tools simplify the tax calculation process, making it easier for taxpayers to manage their financial obligations.
Table of Content
Using the Income Tax Portal’s Calculator
The Income Tax Portal provides a simple and reliable tool for calculating advance tax liability. This official calculator is a great resource for taxpayers who need to calculate their advance tax based on accurate and up-to-date tax slabs and applicable deductions.
Here’s a step-by-step guide to help you use the Income Tax Portal’s calculator and calculate your advance tax liability efficiently.
Step-by-Step Guide to Use the Advance Tax Calculator on the Income Tax Portal
Access the Portal:
Visit the official Income Tax Portal at www.incometax.gov.in.
If you are already a registered user, log in using your credentials. If you’re new to the portal, you’ll need to register to create an account.
Navigate to the Calculator:
After logging in, go to the Quick Links section.
Select Income and Tax Calculator from the available options.
You’ll be directed to a page where you can choose between the Basic Calculator or the Advanced Calculator.
Enter Details:
In the Advanced tab, input the following information:
Financial Year (Assessment Year): Choose the year for which you are filing taxes.
Preferred Tax Regime: Select either the old tax regime or the new tax regime based on your choice.
Income Details: Include your income from various sources like Salaries, House Property, Capital Gains, Business/Profession, and Other Sources.
Deductions: Enter applicable deductions under sections like 80C, 80D, etc.
TDS/TCS Details: Input any tax deducted at source (TDS) or tax collected at source (TCS) information.
Calculate Your Tax Liability:
Once all your details are entered, click on the Calculate button.
The calculator will generate your total tax liability, and it will show if you need to pay advance tax.
If your liability exceeds ₹10,000 after TDS deductions, you are required to pay advance tax.
Pay Advance Tax:
After the calculation, use the e-Pay Tax feature on the portal to pay your advance tax online.
You’ll be prompted to follow the payment process based on the tax amount calculated.
By following these steps, you can easily calculate your advance tax liability and make the required payments via the portal.
Using TaxBuddy’s Advance Tax Calculator
For a more intuitive and user-friendly experience, TaxBuddy offers an Advance Tax Calculator that not only simplifies the calculation process but also provides additional features to give you a comprehensive view of your tax liability.
With TaxBuddy’s tool, you can access real-time updates based on changes in tax laws, such as updates in Budget 2025. The comparative analysis between the old and new tax regimes helps you choose the most beneficial option.
Benefits of Using TaxBuddy’s Calculator
TaxBuddy’s Advanced Tax Calculator offers several advantages, making it a great option for calculating advance tax.
Updated with Latest Tax Slabs: The tool is regularly updated to reflect the latest tax slabs and deductions, ensuring you always have the most accurate data.
Old vs New Regime Comparison: It allows users to compare tax liabilities under both the old and new tax regimes, helping you make an informed decision on which regime to choose.
Quick and Accurate Estimates: The calculator provides quick, accurate estimations, saving you time in figuring out your tax obligations.
User-Friendly Interface: TaxBuddy’s platform is designed to be intuitive, making the tax calculation process simple, even for those without technical knowledge.
Step-by-Step Guide to Use the Advance Tax Calculator of TaxBuddy
Access the Calculator:
Visit the TaxBuddy Advance Tax Calculator page at TaxBuddy’s Advance Tax Calculator.
No login required to use the tool, making it a quick option for immediate calculations.
Input Details:
Provide necessary information such as financial year, age group, income details (whether salaried or non-salaried), deductions, and exemptions.
The tool will ask for specific information like gross income, eligible deductions, and other applicable details.
Calculate Advance Tax:
Once the data is entered, the calculator will instantly compute your advance tax liability.
It will display an estimate of the taxes payable based on the tax regime and deductions.
Plan Payments:
The calculator will help you plan your quarterly payments based on due dates: 15th June, 15th September, 15th December, and 15th March.
This allows you to stay ahead of your tax payments and avoid penalties for late submission.
By following this straightforward process, TaxBuddy helps you calculate your advance tax easily and plan your payments efficiently.
Why Recommend Both Tools?
Using both the Income Tax Portal’s calculator and TaxBuddy’s calculator offers a comprehensive approach to managing advance tax calculations.
Income Tax Portal: This tool is ideal for compliance as it is directly linked to the official Income Tax system. It ensures that your calculations are aligned with government regulations and provides a detailed, official calculation of your advance tax liability. This is especially useful when you need to adhere to government procedures and file accurate returns.
TaxBuddy’s Calculator: While the Income Tax Portal’s calculator is functional, TaxBuddy’s calculator offers added value through its user-friendly features and real-time updates reflecting the latest changes in tax laws, including Budget 2025. It provides quick, accurate estimations and allows for comparative analysis between the old and new tax regimes, helping you choose the most tax-efficient option. Furthermore, TaxBuddy offers tax-saving insights, allowing you to plan ahead and maximize your savings by identifying potential deductions and exemptions you might have missed otherwise.
By combining both tools, you can ensure accuracy and efficiency, making your tax filing process smoother and more strategic.
Addressing Specific Questions on How to Use the Advance Tax Calculator on the Income Tax Portal?
What are the benefits of using multiple calculators?
Using multiple calculators, such as the Income Tax Portal’s calculator and TaxBuddy’s calculator, provides the advantage of cross-verification. This helps ensure that your tax calculations are accurate and comprehensive. The Income Tax Portal provides official compliance tools, while TaxBuddy adds value with its user-friendly design, real-time updates, and tax-saving recommendations. By using both, you can compare calculations and ensure that you are not missing any crucial deductions or updates.
Can I use these calculators for both old and new regimes?
Yes, both the Income Tax Portal’s calculator and TaxBuddy’s calculator allow users to compare the old and new tax regimes. You can input your details in both calculators to analyze which regime results in lower taxes based on your income, deductions, and exemptions. This comparative analysis is particularly useful when deciding which tax regime to opt for, especially with the changes introduced in Budget 2025.
How does Budget 2025 impact advance tax calculations?
Budget 2025 introduces several changes in tax slabs, rebate limits, and deductions that affect how advance tax is calculated. Tools like TaxBuddy’s calculator are updated to reflect these changes, ensuring that users can easily calculate their advance tax liability based on the new tax laws. The calculators automatically incorporate these updates, so you don’t have to manually adjust for any new rules or rates.
Conclusion
In conclusion, managing your advance tax calculations can be a complex process, but with the right tools, it becomes much more manageable. The Income Tax Portal’s calculator is perfect for official compliance and detailed calculations, ensuring you meet all government requirements. On the other hand, TaxBuddy’s calculator offers the convenience of user-friendly features, real-time updates, and comparative analysis of tax regimes, making it a great resource for tax-saving strategies.
By utilizing both tools, you can ensure your calculations are both accurate and optimized for maximum savings. Take advantage of these tools to simplify your tax planning and avoid any surprises during tax season.
FAQs
1. Can I switch between tax regimes while using the calculators?
Yes, both the Income Tax Portal’s calculator and TaxBuddy’s calculator allow you to compare and calculate your tax liability under both the old and new tax regimes. You can switch between the two to see how each regime impacts your tax liability and make an informed decision based on your preferences.
2. How do I update my income details on the portal?
To update your income details on the Income Tax Portal, simply log in to your account and navigate to the Income and Tax Calculator section. From there, enter the required details such as salary, house property income, capital gains, business income, and any other relevant sources of income. Make sure all fields are updated before calculating your tax liability.
3. What is the significance of entering deductions accurately?
Entering deductions accurately is essential as they directly reduce your taxable income, lowering your overall tax liability. Deductions under Section 80C, 80D, and others can significantly impact your final tax amount. Inaccurate data may lead to either overpaying or underpaying your taxes.
4. Can I use these tools if I have income from multiple sources?
Yes, both calculators allow you to enter income from multiple sources such as salary, business income, capital gains, and other sources. Ensure you correctly categorize each income stream for an accurate tax calculation.
5. How do the calculators handle TDS?
Both the Income Tax Portal and TaxBuddy’s calculators allow you to enter your TDS (Tax Deducted at Source) details. This helps in adjusting your advance tax liability based on the tax already deducted by your employer or other sources. If the TDS exceeds your total liability, you may be eligible for a refund.
6. Do I need to manually enter tax slabs or is it auto-calculated?
You do not need to manually enter tax slabs in either calculator. Both tools auto-calculate tax slabs based on the latest tax laws and updates, including the Budget 2025 changes. All you need to do is input your income and deductions, and the tool will apply the appropriate tax rate.
7. Can I track my payments after using the calculators?
While both calculators help you calculate your advance tax liability, they do not have a direct feature for tracking payments. However, once you make your payments through the Income Tax Portal’s e-Pay feature, you can view your payment history and status on your Income Tax Portal account.
8. How do I handle advance tax payments if I receive a refund?
If your advance tax payments exceed your total tax liability, you are eligible for a refund. The Income Tax Portal will process this refund after filing your tax return, and it will be credited directly to your bank account. If you have overpaid, ensure your advance tax payments are accurately reflected during your return filing.
9. Is TaxBuddy's calculator updated for the latest tax laws?
Yes, TaxBuddy’s calculator is regularly updated to reflect the latest tax laws and budget updates, including changes in income slabs, rebates, and deduction limits from the most recent budget (e.g., Budget 2025). This ensures you are always working with the most current tax information.
10. Can I access the Income Tax Portal’s calculator on my phone?
Yes, the Income Tax Portal’s calculator is accessible on mobile devices. The portal is mobile-friendly, so you can calculate your taxes using your phone or tablet, as long as you have an internet connection.
11. How do I know if my advance tax is sufficient?
To ensure your advance tax is sufficient, compare the calculated liability from the calculators against your total tax obligation. If your total tax after TDS deductions exceeds ₹10,000, advance tax is applicable. You can also check the payment schedules to ensure timely and accurate tax payments.
12. Are these calculators free to use?
Yes, both the Income Tax Portal’s calculator and TaxBuddy’s Advance Tax Calculator are free to use. The Income Tax Portal provides this tool for all registered users, while TaxBuddy offers its calculator at no cost as part of its suite of tax tools.
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