Advance tax is paid in between financial year on the basis
of income and expenses on companies turnover that arrive (
i.e. before march ). It is just for safer side company makes
the advance tax payment and at the time of return file
balance tax have to made.

TDS have to pay as an when deducted.

Advance tax attract usually before the closing of a 
financial year, i.e., before 31.03.03. Company usually pay 
tax ( direct/ indirect ) on monthly/quaterly basis after 
ending of month or quarter. But before closing of financial 
year Govt. needs revenue in way of tax well in advnace . It 
is called Advnace Tax.

TDS , the full form is tax deduct at source, means against 
rendering a service it attracts. such as contractor, 
professional, agent etc , whenever Cos'make payment to this 
venders , it deducts tax from these parties / venders and 
deposited with Income Tax Authority and issue a certificate 
to the concerned deductee as a proof of paying income tax.

Thank You all for the answers

the tax which we paid before in financial means before 
31.03.2008 its called advance tax


tds in short form tax deducted at sources it is collected 
in source of income

1)Advance tax in tax liability of company, Advance tax pays
on companies profit. The company who laible to pay tax has
to pay this tax in advance in the beginning of the financial
year. 

2) Every Companies paying Tds on behalf of other company,
after completion of financial year company issue form 16A to
parties.

advance Tax is assese pay the he value the his income and 
expenses he will pay the tax.
tds will be deducted by other parties. like employer to 
employee. lessor to lesse. here the other party will deduct 
the incometax. he will the tax to government.

Advance Tax paid on tax own estimated income for the next 
AY in four qtr as % specified on estimated income where tax 
liability is more than Rs 5000.00 however tds is deduted on 
certain nature pmt to other as rate specifed.

TDS is a form of Advance tax only.
Difference is TDS is deducted by payer and deposited in 
Govt. exchequer. Advance tax is paid by peson after self 
assessment of tax.

Advance Tax is Paid by Assessee itself after estimating
his/her income He /she is liable to pay advance tax only
when his/her liability to pay Income tax is more than Rs.
5,000/- in Financial year and ofcorse, advance tax is to be
paid for cutrrent financial year in periodic installment and
percentage as described by the income tax act 1961

or

TDS is tax deduction at source which is to be deducted by
third party/payee while making payment for job/services
rendered at prescribed rate

Advance Tax is the Tax which Company makes the payment on 
the basic of Estimated profit this is compulsory to made 
the payment September, December and March 08.

But TDS - Tax Deducted at Source, this is deducted from 
service render to the company i.e, Labour Bill, 
Professional Bills and Salary of Employees this payment has 
to made on as and when deducted e.g, if we deducted from 
Rs. 1050/- TDS from XYZ on September 2008 this payment as 
to made on or before 05th October 2008