Form 16

Form 16 TDS Certificate

Certificate under section 203 of the Income-tax Act, 1961 for tax deducted at source from income chargeable under the head “Salaries”. Form 16 is certificates or possibly a document that is issued to salaried personnel in India by their respective employers. The certificate carries necessary details that support the whole process of filing Tax Returns using the Income Tax Department of India.

Form 16 is usually a document which can be used by salaried personnel as part of the process of filing Income Tax Returns in India. The Income Tax Act of 1961 as well as Income Tax Rules of 1962 are the governing laws of your Income Tax Department of India. The Form 16 is a vital document that is prior to the rules and regulations laid down through Income Tax Department weight reduction Government of India.

Form 16A:

Form 16A would be the TDS Certificate, which every person deducting tax has to produce for the deducted for every month or for a year.

Form 16A emerged by the employer to every permanent employee. This Form  states the salary and other perquisites earned by you on the year. This type is issued whether or not no tax is deducted from your employer. While submitting your return, this form is intended to be attached with the return copy. So if you are filing a nil return of income, Form 16A is essential being a proof of salary.

Features of Form 16

Below features make Form 16 an important part of the total approach to filing Income Tax Returns in India. The Form is especially important to Employees employed in a provider or firm.

  • It is pertinent to Salaried personnel.
  • It is the Tax Deduction at Source (TDS) Certificate from the Employer.
  • It acts as proof that your Employer has deducted TDS while paying of the Employee.
  • Its proof the Salary that your Employee receives.
  • It reflects the amount of Income Tax paid by its Employer for the Employee.
  • It can use it by its Employee as proof his Income should the Income Tax Department wishes to scrutinize the Income Tax Returns intimately.
  • Only an Employer with a TAN (Tax Deduction Account Number) is permitted deduct TDS, and as a consequence issue a Form 16.
  • If TDS seriously isn’t deducted the Employer seriously isn’t under obligation to issue a Form 16 towards Employee.
  • If TDS is deducted, the responsibility to issue the Form 16 towards Employee lies using the Employer.
  • Information given on a Form 16 may be corrected.

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