Provisional Tax Payment

A profit-seeking enterprise shall within one month from Sept. 1 to Sept. 30 of each year, take one-half of the amount of tax payable as declared in its profit-seeking enterprise income tax return filed in the preceding year as the amount of provisional payment of tax and pay to the public treasury and file with the local collection authority-in-charge a declaration for provisional payment of tax on a prescribed form along with the receipt of the provisional payment.

If a profit-seeking enterprise fails to make the provisional tax payment within specified period but has since filed the return and paid the amount of provisional tax payment, which is computed in accordance with the said provision, of his own accord to the collection authority before 31 October, an interest accruable thereon as calculated on a daily basis at the banking rate for deposits from Oct. 1 until the date of the payment shall be collected together with the aforesaid amount of provisional tax payment.

If a profit-seeking enterprise fails to make the provisional payment before Oct. 31, the collection authority shall compute the amount of provisional tax payable by it in accordance with the provisions of Income Tax Act and issue to the said profit-seeking enterprise a tax demand notice covering the provisional payment plus one month's interest to be calculated at the banking interest rate for deposits, requiring the said profit-seeking enterprise to make the payment to the public treasury in 15 days.