Steps to follow after getting Form 16 from your employer: Check details

Any salaried person whose tax has been deducted by the employer at the source is eligible to get Form 16

June is when employers issue Form 16, a document detailing your salary income and tax deducted at source (TDS) for the previous financial year. With Form 16 in hand, you can now take important steps to prepare for filing your income tax return (ITR). Here are list of steps to take after getting your Form 16:

 

Check your PAN details

 

The first thing you must check is the PAN mentioned in the form. In case PAN mentioned is wrong, then the tax deducted from your salary will not be reflected in your Form 26AS and you will not be able to claim credit for it while filing ITR.

 

 

Review and verify other details

 

Review your Form 16 to ensure all information is accurate. Check your details, employer information, income breakdown, claimed deductions, and TDS details. Confirm that the salary income aligns with your records and that the TDS amount is correct.

 

There are two parts of the Form 16:

 

Part A of Form 16 consists of the summary of taxes deducted by your employer. It also has your name, address, PAN and your employer's PAN and quarterly summary of taxes deducted and deposited with the government against your PAN in each quarter.

 

Part B of Form 16 consists of the details of income paid to you by your employer.

 

Compare Form 16 with Form 26AS

 

Form 26AS provides a consolidated view of your tax deducted at source by all deductors, including your employer. You can download Form 26AS from the Income Tax Department's website. Compare the TDS information in Form 16 and Form 26AS to identify any mismatch.

 

Address discrepancies

 

If there are mismatches between your Form 16 and Form 26AS, reach out to your employer's human resource or finance department. They can submit a revised TDS return to correct the information, leading to an updated Form 16. Make sure the TDS details are accurate before filing your ITR.

 

Gather additional documents

 

With a verified Form 16, start preparing to file your income tax return by gathering all necessary documents like bank statements, investment proofs for tax deductions, and any other relevant financial records. Having these documents ready will make the ITR filing process smoother.

 

File your ITR

 

Use the details from your Form 16 to complete the relevant ITR form on the Income Tax Department's e-filing portal. The form will automatically fill in income information from your Form 16, making the process quicker and easier for you.