Advance Tax June 2025: No Penalty If Paid on June 16, Says CBDT Circular

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Advance Tax Deadline June 15, 2025 Falls on Sunday — Will June 16 Payment Attract Penalty?

bypari rathore
31 July, 2025

✅ Key Facts: Advance Tax June 15, 2025 Deadline Falls on a Sunday

Advance tax alert: June 15 is a Sunday — does paying advance tax on June 16 attract penalty, interest? — Under Section 244A of the Income Tax Act, taxpayers are entitled to simple interest at 0.5% per month (6% annually) on refunds due to them. Normally, returns filed by the standard July 31 deadline start accruing interest until the refund is issued.

Advance Tax Deadline: June 15, 2025 (for Q1 of FY 2025–26)

Day: Sunday (a non-working day for banks)

⚖️ CBDT Circular Clarification (1994)

As per CBDT Circular No. 676 dated January 14, 1994, if the due date for advance tax or TDS payment falls on a bank holiday, the payment made on the next working day is considered timely, and no interest under Sections 234B or 234C will be levied.

📅 What it means for FY 2025–26:

If you pay your advance tax on Monday, June 16, 2025, it will not attract any penalty or interest.

This applies only if the delay is due to the due date falling on a holiday and the payment is made on the immediate next working day.

🛡️ Summary:

Item	Status
Due date	Sunday, June 15, 2025
Bank holiday?	Yes
Can you pay on June 16?	✅ Yes
Will interest/penalty apply?	❌ No, if paid on June 16

📌 Recommendation:

Still try to pay by June 14, 2025 (Saturday) if possible, especially via online modes. But if you miss that, paying on June 16 is safe and penalty-free.

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