At this point of the year when tax filing season is around, there have been quite a few discussions buzzing around the coffee tables about Form 16, when it will be received, and how you can make the most of it when filing your Income Tax Return.
Some of us might be getting it for the first time, while others may be awaiting to receive it once again.
For those who are unfamiliar with the concept, let’s break it down.
If your annual salary exceeds the limit of ₹5 lakhs, the employer is required to deduct TDS and deposit the same to the government.
As a salaried individual, Form 16 is one of the most important documents you need while filing your income tax return.
What is Form 16? Well, Form 16 is a TDS certificate issued by your employer as proof of the TDS deducted on your behalf by the employer during the financial year.
Why it is important? It is important because it summarizes your salary income that includes details of your exemptions, allowances such as HRA, LTA, etc., and deductions under section 80C, 80D, etc. making it easy for you to file your return yourself.
Tip: You can also compare your Form 16 with your Form 26AS in order to verify the TDS deducted by your employer to accurately file your return.
Thinking when will you receive your Form 16 for this filing season?
Employers are required to file their TDS return for the last quarter in Form 24Q by the 31st of May of the AY. Once the TDS return is filed, it usually takes a few days to be processed, and then you can expect your Form 16 to be updated with the relevant TDS details and are set to begin filing your ITR.
Note: You can get your Form 16 only from your employer.
Keep an eye on any communication from your employer regarding the availability of Form 16 as 15th June 2023 is the due date for the employers to release Form 16.
So, what’s next when you have your Form 16?
Once you have Form 16 in your hand, you’re all set to embark on your tax-filing journey!
Having Form 16 simplifies the tax filing process for you as it provides all the necessary information to calculate your taxable income accurately, claim deductions, and assess your tax liability or refund.
But you know what? Quicko lets you upload Form 16 which automatically consolidates all the income details and calculates the tax liability for you.
FAQs
1. What is the password to open Form 16 PDF?
The password to open Form 16 pdf is usually the combination of your PAN and Date of Birth, the first 5 characters are of PAN in upper case and DOB in DDMMYYYY format.
2. Will I get Form 16 even if my employer has not deducted TDS?
Usually, the employer issues Form 16 when TDS is deducted from your salary. However, an employer can still issue Form 16 Part B to you with a detailed breakdown of your salary.
3. I have changed jobs during the year, how can I file ITR?
You’ll receive multiple Form 16 if you have switched jobs or had multiple jobs during the financial year. You can simply upload multiple Form 16 on Quicko and file your ITR for free.
Hope this clears the concept, and if you have any further queries or insights about Form 16, you may ask here!
