Form 16 is an important document that is required when you file your Income Tax Returns every year. If you are a salaried individual, you will require Form 16 for this purpose. It is provided to employees by employers and contains all the information that employees need at the time when they file their tax returns with the Income Tax Department of India.
What is Form 16?
Form 16 can be described as a document that has all the details of an employee, such as salary, and other details of salary components. Every financial year, employees must submit this form to the Income Tax Department of India. There are two parts that constitute Form 16. These are Form 16 A and Form 16 B. Here are details of both:
- Form 16 Part A – This is a summary of the tax that is collected by the employer (from an employee’s salary) and given to the Income Tax Department. This form acts on behalf of the employee.
- Form 16 Part B – This part serves as a comprehensive statement that includes details of salary that is paid to an employee, any deductions, and any other income that is disclosed by the employer or employee.
However, when we speak of Form 16, we mean it to imply Form 16 or Form 16 A.
An individual who deducts tax (an employer or organization) is responsible for filling in Form 16. To fill Form 16 online, you need to visit the portal of the Income Tax Department of India. You have to log in to ‘TRACES’ and go to the tab that mentions ‘Downloads’. Select Form 16 and enter details. Lastly, you can press ‘Go’ to submit the form.
How to Download Form 16 Online
You can download Form 16 from the website of the Income tax Department of India at TDS certificate form 16/16A (incometaxindia.gov.in). Here are the steps to download Form 16:
- Go to the official website of the Income Tax Department.
- You will see a section called ‘Forms/Download’. Under this section, you can find the ‘Income Tax Forms’ options. You should click on this.
- After this, you will be able to see ‘PDF’ and ‘Fillable Form’ options. These are provided under the heading ‘Form 16’.
- Click on the option that is relevant.
- Once you click, you can download the phone which will appear next.
Filing Your Income Tax Return
While filing your tax return, you will need information that the Income Tax Department requires from you. These details are included in Form 16, and are the following:
- Exempted allowances under Section 10 of the Income Tax Act.
- Salary that is taxable.
- House and property related income.
- Due refunds or payable net taxes.
Ending Lines on Form 16
There are some additional details needed from Form 16 to file your tax returns. This includes the tax that is deducted at source by your employer, your employer’s TAN, your employer’s TAN, your employer’s name and address and the current assessment year, the name of the person who is the taxpayer and the PAN number of the taxpayer. Certain fields in the form mentions certain aspects of income that are deductions as far as tax is concerned, such as PPF, pension, etc. You can find insights about how to file returns and other information about filing tax at Finserv MARKETS.
