Download Automatic Income Tax Form 16 Part
B and Part A&B in Excel for Financial Year 2022-23
What is Income Tax Form 16?
Form 16 is a document or certificate
issued under Section 203 – Income-Tax Act 1961 to salaried employees in India
Under the Income Tax Act, at the time of
payment of salary, every employer is required to withhold tax (or TDS - income
tax), which is calculated based on the income tax rates in force for that
financial year. Companies usually calculate an employee’s tax liability based
on the employee’s expected income and the amount invested at the beginning or
during the year.
Download and Prepare at a time 100 Employees Form 16 Part B for the F.Y.2022-23
The TDS so withheld by the organization or
employer is filed with the Income Tax Department and Form 16 in turn is the
proof thereof. Employers must submit Form 16 to their employees on or before
May 31 of the financial year immediately following the financial year in which
the tax was paid and tax withheld.
Parts of the 16 form
Form 16 It contains all the information
about the wages received by the employee, including the tax deducted from the
wages.
Form 16 is divided into the following two-part, inter alia:
Form 16 Part A
Part A actually lists the tax collected by
the organization or employer on wage income, on behalf of the employee and
deposited into the government account. It is a document duly signed by the
employer that TDS has been withheld from the salary of the employee and
remitted to the Income Tax Department.
It contains the following data:
• Employer and employee personal data.
Details like name of person and employer, address details, and PAN details of
both the TAN details of the employer. (TAN refers to the amount allocated to
the account liable to deduction and tax). This data helps the IT department
track the flow of money from employee and employer accounts. (It should be
noted that if an organization does not have a TAN, it is not entitled to a TDS
exemption. So in this situation Form 16 will not be issued)
• Assessment Year (A.Y) – As the name
suggests, this refers to the year in which the income is received or in other
words, the year in which the taxpayer is required to deal with tax filing
transactions. For example, for income earned between April 1, 2015, and March
31, 2016, the assessment year is 2016-17.
• The period during which the person was
employed by the employer in the relevant Financial Year
• Summary of wages paid
• Date of withdrawal from pay
• Tax payment date on government account
• Quarterly tax summary attached and filed
with the Income Tax Department
• TDS payment confirmation number
Download and Prepare at a time 50 Employees Form 16 Part B for the F.Y.2022-23
This component is created and downloaded
through the TRACES portal of the Income Tax Department. It also provides
details like the BSR code of the bank through which payments are made, challan
numbers, etc. for future reference. All Part A pages must be digitally or
hand-signed by a cancellation.
Form 16 Part B
Part B is a combined statement detailing wages paid, other income as reported by the employee to his or her organization, the amount of taxes paid, and any taxes due. Displays information in a neat and orderly manner stating the income earned by the employee with applicable exemptions and deductions, in a prescribed format. Employee details like name and PAN are even available in section B.
It contains the following:
• Total salary received: The salary structure is further divided into various categories, such as rent allowance, travel allowance, leave redemption, tip, and others.
• Permissible exemptions: Under sec (10) of the Income-tax Act, 1961, such as allowances granted to employees for transport, house rent (HRA), children’s education and hostel expenses, expenses of medicine, etc., are also listed on the formulary.
• Gross income: This is the sum of wage income as determined by the employer and any income declared by the employee, such as house/property income, etc. Details regarding other income should be clarified by the employer. shad during the submission of the proof of investment part.
• Deductions from Salary: Section 80 C / 80 CCC / 80 CCD includes contributions to instruments or schemes like Public Provident Fund, Life Insurance, Tax Saving Mutual Fund, Pensions, and Sukanya Samriddhi. The upper limit for this is Rs. 1,50,000/-
• Deductions under other sections such as 80D (premium paid for health insurance or Mediclaim), 80E (payment of interest on a student loan), 80G (gifts), disability deductions, and other applicable sections are provided. Details of all these deductions must be submitted to the employee by the employer along with the required supporting documentation.
• Net tax payment: All deductions are added under “Chapter IV-A” and subtracted from gross income to calculate taxable income. Your taxable income is included in this amount.
• Tuition tax and any fees
• Section 87 reductions, if applicable
• Dismissal under Section 89, if applicable
• Total amount of income tax payable
• Taxes withheld and balance taxes due or refunds due
Download
and Prepare at a time 100 Employees Form 16 Part A&B for the F.Y.2022-23
How does Form 16 matter to a salaried employee?
For a salaried employee, Form 16 is important from an income tax point of view. The information stated on this form is required to file an income tax return.
With this document, a taxpayer can
easily prepare his own income tax return in
Form 16 can be used to ascertain whether the correct tax has been deposited with the government. account by comparing the amounts against Form 26AS.
It is also not only a proof of TDS but is also considered an important document for tax compliance. It is the only document an employee has to provide to prove that he or she has paid tax and can be shown as evidence during any income tax assessment. Banks, other lenders, and financial institutions also accept it as valid proof of income. For credit applications, many financial institutions require this document as part of their verification process.
Download
and Prepare at a time 50 Employees Form 16 Part A&B for the F.Y.2022-23
Most organizations require a Form 16 from a previous employer (during the same financial year) to be presented to them as part of their induction process. This helps them streamline the tax calculation since income tax brackets change based on an individual’s total income for the year.
Also, if one is planning to emigrate, many visa lists, such as the one for a Scheme visa, call for Form 16 as one of the documents to be submitted.
Multiple employers in a fiscal year
Individuals who have changed employment and therefore worked for more than one employer in a given financial year obtain a Form 16 from all employers individually.
Employer's liability w.r.t. Form 16
The Employer or Collector should ensure that all the details mentioned in Form 16, such as salary, deductions, PAN, TAN, etc., are duly recorded and that each page is signed by a competent person with the responsibility of the Company. The certificate must also be submitted on or before the 31st deadline
It can be provided by the employee so that individuals can submit their tax returns well on time.
