Download and generate Form 16 Part B and Form 16 Part A and Part B for the fiscal year 2021-22
Form 16 components
Form 16 is one of the most
important forms for employees; it contains all the information on wages paid
and withholding taxes.
Form 16 is divided into 2 parts,
both equally important, which are listed below:
Part A Form 16
Part A of Form 16 provides a
summary of the taxes collected by an employer on the pay of an employee on his
behalf and paid to the government. This is a guarantee certificate signed by
the employer, certifying that he has already filed the TDS deducted from the
employee's salary.
Details to be completed on Form 16,
Part A
Part A of Form 16 contains the
following data, which must be completed:
Personal Information: The personal
information of the employee and employer, including the employer's name,
address, permanent account number (PAN) and TAN (TAN is the number assigned to
the account responsible for deducting and collecting taxes). This data helps
the IT department track money movements from employee and employer accounts.
Year of assessment: Indicates the
year of assessment, or more simply the year in which the taxpayer is required
to submit the tax return. For example, for the income generated between April
2020 and March 2021, the valuation year would be 2021-2022.
Time Period: The length of time the
employee worked for the employer in a given fiscal year.
Summary of wages paid
Tax filing date with the government
Summary of the tax that has been
deducted and also filed with the Income Tax Department
This part of Form 16 is generated
through the Department's Income Tax Track Portal. In addition to the above, it
also provides the BSR code of the bank from which payments are made, challan
numbers and other specific data for further use.
Part A must be signed manually or
digitally by the detractor.
Part B of Form16
Part B of Form 16 covers
declarations of wages paid, any other income disclosed by the employee to the
employer, and things like the amount of tax paid and tax payable. In this part
of Form16, the above information is presented in a comprehensive and
streamlined manner, showing the income earned by the worker, with various
benefits and allowances applicable in a specific format as indicated.
Details to be completed in part B
Part B of Form 16 contains the
following information, which must be completed:
Total salary: The salary structure
is further broken down into various components such as house rent, travel
allowance, vacation receipts, tips, etc.
Exceptions: All applicable
exceptions allowed under section 10 of the Income Tax Act of 1961 are listed in
this part of the form.
Gross Income: This is the sum of
the regular salary plus any other income generated or received by the worker
through various means such as housing and rent.
Details of other sources of income
must be provided by the employee to their employer when submitting the
investment confirmation.
Miscellaneous Paycheck Deductions:
Miscellaneous paycheck deductions under section 80C / 80CCC / 80CCD, including
contributions to instruments or schemes such as Public Provident Fund (PPF), life
insurance, mutual funds, pensions, college tuition, deductions tax for
children. for a total amount up to Rs 1,5 lakh.
Net Taxable Wage: Various tax
deductions are added together in Chapter IV-A and then subtracted from gross
income to calculate net taxable income.
Tuition and additional fees, if
applicable
Section 87 Discount if and when
applicable
Section 89 discount, if any
The total income tax payable on an
employee
Tax deduction and tax balance payable or refundable, as applicable
