Form 16 is a TDS certificate issued by your employer every year. It is both a proof of taxes deducted and the primary document needed to file your Income Tax Return. Understanding what it contains saves time and prevents filing errors.

What Are Part A and Part B?

  • Part A: Issued by employer, auto-generated from TRACES portal. Contains: Employer\u2019s TAN and PAN, Employee\u2019s PAN, quarterly TDS details for the financial year, and total tax deducted and deposited with the government.
  • Part B: Prepared by employer (not auto-generated). Contains: Gross salary, all exemptions claimed (HRA, LTA, etc.), deductions under Chapter VI-A (80C, 80D, etc.), net taxable income, and tax computation showing total tax and TDS.

How to Verify Form 16

  • Verify the TDS amount in Part A against Form 26AS and AIS (Annual Information Statement) on the income tax portal
  • Cross-check net taxable income in Part B against your own calculations
  • Ensure all deductions you declared to your employer are reflected in Part B

Filing ITR Using Form 16

If you have salary income only (no other income), Form 16 contains everything you need to pre-fill ITR-1 on the income tax portal. The portal auto-imports data from your employer\u2019s TDS filing, which should match Form 16 Part A.

Multiple Form 16s

If you changed employers during the year, you will receive Form 16 from each employer. When filing, add up the gross salaries from both and ensure all TDS amounts are reflected. Failing to include income from the first employer is a common error.

When Is Form 16 Issued?

Employers are required to issue Form 16 by June 15 of the assessment year (i.e., by June 15, 2025 for FY 2024-25).

Use the SaveTaxNow Calculator to verify your tax computation before filing.