Download Automatic Form 16 Part A&B and Form 16 Part B for the F.Y.2021-22 in Excel |
Meaning of Form 16, Form 16A, downloads Form 16 Part B: Form 16 is a key document for
an employee, especially if the employer has withheld income tax. Form 16 is essentially a
certificate provided by the employer to the employee, which indicates the amount of tax
withheld from wages.
When an employee files a tax return, Form 16 helps you see how much taxes have already been paid and what still needs to be paid. Employers must issue Form 16 to their employees by June 15 of the fiscal year following the fiscal year in which wages were paid and taxes were deducted.
What
is Form 16?
Form
16 records tax withheld (TDS) during the year. The employer-deductible TDS is
filed with the Department of Income Tax. In addition, Form 16 also shows any
additional income claimed by the employee and various deductions that the
employee used to reduce the tax burden.
Who
is eligible for Form 16?
Any
employee who has taxable income and tax has been deducted at source by the
employer is eligible to receive a Form 16. If the employee's annual income is
below the base tax exemption limit, the employer is not required to issue a
Form 16. However, if the employer withheld TDS from the employee's monthly
income, the employee must provide form 16.
Is
Form 16 mandatory for employees?
Form
16 must be mandatorily provided by the employer to the employee if the former
deducted TDS from the latter's income, since Form 16 is a tax statement that
shows all the details of income received and TDS deducted during the year. Form
16 helps an employee file an ITR, especially if the employee has no income from
other sources.
How
to get from 16 Part A? Can I get Form 16 Part A online?
Download
Form 16 Part A for employees: Form 16 Part A can be downloaded by the employer
from the TRACES portal before it is given to the employee. A detailed breakdown
of the benefits and benefits received by the employee, along with the standard
deduction, must be shown on Form 16. Form 16 consists of two parts, one is Form
16 Part A and the other is Form 16 Part B.
What
is Form 16 Part A for Employees? Form 16 Part A components:
Part
A of Form 16 provides a summary of tax collected on behalf of an employee on
wage income and remitted to the public account. The components of the 16 Part A
module are listed below:
•
Employee and employer personal information: eg employer and person name,
address data, PAN data of both (person and employer) together with employer TAN
data. The TAN is the number assigned to the account responsible for deducting
and collecting tax.
•
Assessment Year or A.Y: refers to the year in which income is assessed, which
means that this is the year in which the taxpayer must work on tax return
procedures. For example, for income accrued between April 1, 2019, and March
31, 2020, the Assessment year would be 2020-21
•
Period of time: the period during which the taxpayer worked for the
employer/organization in the fiscal year in question.
•
Summary of wages paid to the employee
•
Date on which tax was deducted from wages
•
Date the tax was paid into the public account
•
Summary of deducted taxes and submitted quarterly to the Internal Revenue
Service.
•
TDS payment confirmation number
What
is Form 16 Part B?
Form
16, Part B, is a consolidated statement containing information about any other
income disclosed by an employee of the organization, about wages paid, the
amount of tax paid and any tax payable. The components of the 16 Part B module
are listed below:
•
Salary Received: This section shows the employee's overall salary structure.
The salary is further divided into various components such as travel allowance
(LTA), vacation pay, rental housing allowance (HRA), tips and others.
•
Allowed Benefits: These benefits are available to employees under section 10 of
the Income Tax Act of 1961 for transportation, HRA, and children's education.
Even the cost of the hostel, treatment, etc. is mentioned in Form 16 Part B.
•
Wage deductions: the maximum limit is Rs 1.5 lakh. Under section
80C/80CCC/80CCD, this includes contributions paid for investments such as
government pension funds, pension plans, life insurance policies, tax savings
mutual funds, Sukanya Samriddhi scheme, and others. Also included are
deductions in other sections such as section 80D and section 80E.
•
Gross income: Gross income is the sum of the total wages received from the
employer and any other income claimed by the employee, including income from
home or property, etc. At the investment submission stage, the employee must
inform the employer of information about other income.
•
Net taxable wages: total deductions are deducted from gross income to calculate
taxable income. The tax burden of the taxpayer is calculated on this amount.
•
Also included Cess Education and add-ons, Section 87A discount, Section 89
exemption.
• Also
shown is the total amount of income tax payable, tax withheld, and the balance
of applicable tax or refund.
