Do NRIs have to pay advance tax: Expert answers your taxation questions

Only senior citizens (resident individuals of age 60 years or more) are not required to pay advance tax.

I took voluntary retirement from service and have received some money. How will it be taxed?  

The amount received under Voluntary Retirement Scheme (VRS) is taxable in your hands as salary income under the head 'income from salary'. It is taxed at the normal slab rate applicable to you. However, while computing the tax liability on VRS amount, you may claim an exemption under Section 10(10C) of the Income-tax Act, 1961 ("Act") up to Rs 5 lakh against the lump sum received. However, the VRS scheme needs to comply with the norms as prescribed under Rule 2BA of the Income Tax