Specify the persons who are not required to pay advance tax as per the provisions of the Income-tax Act, 1961. Is advance tax payable on capital gains and lottery income? Give your answer with reference to the relevant p

An assessee is not liable to pay advance tax if the advance tax payable, in his case, is less than ₹10,000 during the financial year. Further, resident individual, who is of the age of 60 years or more at any time during the previous year and does not have any income chargeable under the head "Profits and gains of business or profession" is also not required to pay advance tax. However, capital gains and lottery income are generally uncertain and unpredictable in nature. Such income may arise suddenly during the year and may not be capable of estimation at the time when advance tax instalments become due. Therefore, the act provides relief in respect of interest for deferment of advance tax. As per the provisions relating to interest under section 234C, where capital gains or lottery income arise after the due dates of advance tax instalments and the assessee could not have anticipated such income, the assessee is not liable to pay interest for shortfall in earlier instalments. In such cases, the assessee is required to pay the advance tax on such income in the remaining instalment(s) or by 31st March of the relevant financial year. Thus, while advance tax is payable on capital gains and lottery income, non-payment of advance tax on such income in earlier instalments does not attract interest, provided the income was unforeseen and the tax is paid at the earliest possible opportunity.