Form 16 for Income Tax Return filing: Key things to check, difference between Part A and B
An income tax return form is used to file information about income and tax to the Income Tax Department. Here we talk all about what Form 16 is, what are Part A and Part B of Form 16, and what things need to be checked before filing Income Tax Return.
Form 16 contains two parts — Part A and Part B, which are used to prepare and file income Tax returns (ITR). The form shows the breakup of the salary and the amount of TDS (Tax Deducted at Source) which is deducted by the employer.
Form 16 is issued latest by 15 June of every year by most organisations and is also known as a salary TDS certificate. If an employee’s salary exceeds Rs 2,50,000 then their employer is required to deduct TDS and deposit it to the government. The form is not issued if an employee’s income does not exceed Rs. 2,50,000.
Form 16: Understanding Part A and Part B of Form 16
- Form A contains both employer and employee’s name, address, PAN (Permanent Account Number), and TAN (Tax Deduction Amount Number), the payment details, TDS payment number, period of employment, date of deposit, and the deposited tax amount.
- Form B consists of a detailed breakup of the salary paid to the employee, details of other income given to the employee apart from the salary, deductions allowed, and tax payable.
- Form 16 Part A is issued quarterly on income other than the salary, whereas Part B depends on the number of transactions.
Key things to check-
1. Employees must make sure the details mentioned like PAN, TAN, name, address, and TDS payment number are correct. And they must recheck all the details twice.
2. The amount of tax deducted must be the same as the amount mentioned in Form 16. If there is any issue, they must consult with their employer so that changes can be made.
3. If they changed jobs in a financial year, then they must make sure to get the form 16 from both employers.
4. In case of any discrepancy in the form, they need to immediately consult with the Finance Department, HR of the organisation, or Payroll, and get the same corrected.
Employees must revise all the details mentioned in Form 16 before filing their Income Tax Return.
Get Latest Business News, Stock Market Updates and Videos; Check your tax outgo through Income Tax Calculator and save money through our Personal Finance coverage. Check Business Breaking News Live on Zee Business Twitter and Facebook. Subscribe on YouTube.
RECOMMENDED STORIES
Retirement Planning: SIP+SWP combination; Rs 15,000 monthly SIP for 25 years and then Rs 1,52,000 monthly income for 30 years
Top Gold ETF vs Top Large Cap Mutual Fund 10-year Return Calculator: Which has given higher return on Rs 11 lakh investment; see calculations
Retirement Calculator: 40 years of age, Rs 50,000 monthly expenses; what should be retirement corpus and monthly investment
SBI 444-day FD vs Union Bank of India 333-day FD: Know maturity amount on Rs 4 lakh and Rs 8 lakh investments for general and senior citizens
EPF vs SIP vs PPF Calculator: Rs 12,000 monthly investment for 30 years; which can create highest retirement corpus
Home loan EMI vs Mutual Fund SIP Calculator: Rs 70 lakh home loan EMI for 20 years or SIP equal to EMI for 10 years; which can be easier route to buy home; know maths
11:33 AM IST