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    Home › HR Glossary › Form 16
    HR Glossary

    Form 16

    Form 16 is a certificate issued by an employer under Section 203 of the Income Tax Act, 1961, confirming the tax deducted at source (TDS) on an employee's salary during a financial year and deposited with the government. It serves as proof of TDS and summarises the employee's salary, exemptions, deductions, and tax computation.

    Form 16 has two parts: Part A contains TDS summary, PAN/TAN details, and quarterly deposit acknowledgements (generated via TRACES), while Part B is an annexure detailing gross salary, allowances, deductions under Chapter VI-A, and total taxable income. Employers must issue Form 16 by 15 June following the end of the financial year.

    Key points

    • ✓ Issued only when TDS has been deducted from an employee's salary
    • ✓ Part A is generated from the TRACES portal; Part B is prepared by the employer
    • ✓ Mandatory to be issued by 15 June of the assessment year
    • ✓ Used as the primary reference document for filing income tax returns
    • ✓ Must match figures reported in Form 24Q and reflected in Form 26AS/AIS

    Example

    If an employee earned ₹9,00,000 in FY 2026-27 and the employer deducted a total of ₹45,000 as TDS across the year, Form 16 will show this ₹45,000 split quarter-wise in Part A, and the full salary breakup with exemptions like HRA and the standard deduction in Part B.

    FAQ

    Frequently asked questions

    Is Form 16 mandatory if no TDS was deducted?
    No. If an employer has not deducted any TDS because the employee's income was below the taxable threshold, the employer is not legally required to issue Form 16, though many still provide a salary statement.
    Can I file my ITR without Form 16?
    Yes, you can file your ITR using salary slips, Form 26AS, and the Annual Information Statement (AIS) even without Form 16, though Form 16 makes the process much easier.
    What should I do if my employer delays issuing Form 16?
    You can request it in writing citing the 15 June deadline; payroll software like Kredily helps employers auto-generate and issue Form 16 on time to avoid such delays.

    Related terms

    Form 24QForm 26ASTDS on SalaryForm 12BB

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