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Form-16 is a document detailing an individual’s salary, taxable income, and tax deducted. It can be downloaded conveniently from the TRACES portal
Employers are required to submit Form-16 by June 15 each year, with a fine of Rs 500 per day for non-compliance. (Representative/Shutterstock)
The deadline for filing Income Tax Returns (ITR) is nearing, and salaried employees preparing their ITR for the financial year 2024-25 must ensure they have Form-16. The Income Tax Department has extended this year’s filing deadline to September 15, 2025.
Form-16 is a document containing detailed information about an individual’s salary, taxable income, and tax deducted. It can be downloaded from the TRACES portal. The following is a guide on how to obtain Form-16 and key points to consider during the process
Two Parts Of Form-16
Form-16 consists of two parts. Part-A includes information about an individual’s salary and the tax deducted from it. Part-B details various components of the salary such as allowances, facilities, exemptions, and tax. This form is prepared based on the tax return (Form 24Q) filed quarterly by your employer on the TRACES portal.
Where To Get Form-16?
Downloading Form-16 is a straightforward process. Users must visit the TRACES website and log in using their user ID, password, and TAN number. After logging in, the download tab allows selection of the Form-16 option, which can be obtained for one or multiple PANs. The details of the authorised person and the receipt or token number of the TDS return for the fourth quarter must be entered, along with PAN and tax information for three employees. Once the download request is submitted, Form-16 is typically ready within 24 to 48 hours. The form is provided in .txt format and must be converted to PDF using TRACES’s PDF converter tool before being signed digitally or manually.
Important Points To Remember
Employers are required to submit Form-16 by June 15 each year, with a fine of Rs 500 per day for non-compliance. Employees receiving benefits such as car or house allowances must be provided Form 12BA along with Form-16, detailing these perks.
Individuals who have worked at multiple organizations within a year must obtain separate Form-16 from each employer and include them in their ITR. Form-16 serves as proof of income and is useful for financial processes like loan applications. It should be cross-checked with Form 26AS or the Annual Information Statement, and any discrepancies must be corrected promptly.
Why Is Form-16 Necessary For Non-Tax Payers?
Form-16 is essential even for individuals who do not pay tax, as it records their income and facilitates ITR filing. The document includes the certificate number, TRACES watermark, details of tax deducted and deposited each quarter, as well as the employee’s PAN and the employer’s TAN. It also outlines the salary provided by the company and any deductions claimed under sections 80C, 80D, or other applicable provisions.
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