What is Form 16?

Income Tax Form 16 is a certificate from your employer. It certifies that TDS has been deducted from your salary by the employer. If an employer deducts TDS on salary, he must issue income tax Form 16 as per tax rules of India. Form no 16 is issued once in a year, on or before 31st May of the next year immediately following the financial year in which tax is deducted.

Download Master of Form 16 Part B for Financial Year 2015-16 & Ass Year 2016-17 ( This Excel-based Software can prepare at a time 50 employees Form 16 Part B for F.Y.2015-16)


Understanding Form 16

One of the most important income tax forms is Form 16. It contains most of the information you need to prepare your income tax return in India. Form 16 has two parts Part A and Part B.
Form 16 Part A has
  • Name and address of the employer
  • TAN & PAN of employer
  • PAN of the employee
  • Summary of tax deducted & deposited quarterly, which is certified by the employer
  • Assessment Year
  • Period of employment with the employer
  • Form 16 Part A must be generated and downloaded through Traces portal
  • Part A of Form 16 also has a unique TDS Certificate Number.
Form 16 Part B has
  • Detailed breakup of salary paid
  • Deductions allowed under the income tax act (under chapter VIA)
  • Relief under section 89
  • If you have held more than one job during the year, you’ll have more than one Form 16.
  • Part B is prepared by the employer manually and issued along with Part A. 

Form-16 Part B / Annexure / Salary Statement

When you fill your I-T Return, you need to enter the following details.

1 Taxable Salary

3 Aggregate of Section 80C Deductions

(Gross & Deductible Amount)

5 Tax Payable or Refund Due

2 Breakup of Section 80C Deductions

4 TDS (Tax Deducted at Source)

Form-16 Part A / Traces Form-16

When you fill your I-T Return, you need to enter the following details.

1 TDS Deducted by Employer

3 PAN of Employer

5 Current Assessment Year

7 Your PAN

2 TAN of Employer

4 Name and Address of Employer