Form 16 is a form that contains the details of TDS deducted from your salary. Whenever any company or organization gives a certificate to the employees whose TDS is deducted by the company. That TDS certificate is issued in the same form as Form 16
Form 16: If you are an employee then by now you must have received Form 16 for the financial year 2022-23. Now it will be further processed under Income Tax Return Form 16.
You have given Form No. many times. Must have heard about 16 but do you know, what is Form 16 and why is it given?
What is Form 16?
This is a form that contains the details of TDS deducted from your salary. Whenever any company or organization gives a certificate to the employees whose TDS is deducted by the company. That TDS certificate is issued in the same form as Form 16. In this, the details of your name, PAN card number, income and tax deduction etc. are recorded. Apart from this, the PAN number and TAN number of the TDS deductor is also recorded in it. Along with this, the name, designation, signature etc. are also recorded in it.
Why is Form 16 given?
Form 16 is very important for filing ITR, plays an important role in filing Income Tax Return (ITR) as it contains details of salary paid to the employee, tax deduction claimed by the employee and tax deducted at source (TDS) from the employer. ) has full details.
In simple words, you may need Form 16 while filing income tax return. From the details entered in Form 16 , you can find out that how much tax you have paid so far and how much tax is yet to be paid. You can deposit the remaining tax as Self Assessment Tax.
It is also proof that your employer has deducted that much amount as TDS and deposited it with the government. It is also accepted as proof of income proof and tax payment in loan and visa related cases.
For information, let us tell you that the company issues Form 16 to only those employees whose salary is eligible for tax deduction. Those whose salary is not capable of deducting tax are generally not given this form.
Take care of these things
First of all, check whether your PAN number matches with the PAN given in the form or not. Because if the PAN is incorrect, the tax deducted from your salary will not reflect in Form 26AS and you will not be able to claim credit for the same while filing your ITR.
2. Cross-check your name, address and employer’s TAN (Tax Deduction and Collection Account Number).
3. It is very important to cross-check the actual tax deducted from your salary income by comparing it with the tax reflected in Form 16, Form 26AS and AIS (Annual Information Statement).
4. If you find any mistake in it, immediately inform the employer about the mistake and request to correct the information in Form 16.
5. If you have opted for the old tax regime and have claimed tax exemption, ensure that it is properly reflected in Form 16.
6. If you have changed your job during FY 2022-23, you will need Form 16 from both the employers.
Before filing your ITR, cross-check and verify the information in your Salary Slip, AIS (Annual Information Statement) and Form 26AS in Form 16.
It is very important to cross-check all the income declared in AIS with TDS Certificate, Interest Income Certificate and Form 26AS (TDS Certificate, Interest Income Certificate and Form 26AS).
