Section 207 of Income Tax Act for AY 2023-24

Section 207 of Income Tax Act 1961 as amended by the Finance Act 2022 and Income-tax Rules, 1962. Liability for payment of advance tax.

Amended and updated notes on section 207 of Income Tax Act 1961 as amended by the Finance Act 2022 and Income-tax Rules, 1962. Detail discussion on provisions and rules related to Liability for payment of advance tax.

Chapter XVII (Sections 190 to 234G) of the Income Tax Act 1961 deals with the provisions related to collection and recovery of tax. Section 207 of IT Act 1961 provides for Liability for payment of advance tax.

Recently, we have discussed in detail section 206CC (Requirement to furnish Permanent Account number by collectee) of IT Act 1961. Today, we learn the provisions of section 207 of Income-tax Act 1961. The amended provision of section 207 is effective for financial year 2022-23 relevant to the assessment year 2023-24.

In this article, you will learn detail of the provisions of section 207 of the Income Tax Act, 1961 Bare Act read with the Income-tax Rules, 1962 as provided by Ministry of Law and Justice, Government of India.

Section-207: Liability for payment of advance tax

Section 207(1) of Income Tax Act

Tax shall be payable in advance during any financial year, in accordance with the provisions of sections 208 to 219 (both inclusive), in respect of the total income of the assessee which would be chargeable to tax for the assessment year immediately following that financial year, such income being hereafter in this Chapter referred to as “current income”.

Section 207(2) of Income Tax Act

The provisions of sub-section (1) shall not apply to an individual resident in India, who—

  • (a) does not have any income chargeable under the head “Profits and gains of business or profession”; and
  • (b) is of the age of sixty years or more at any time during the previous year.


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