Form 16

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Ravi Kapur

Consultant

23 Points Posted on 01 July 2014

Form 16 issued by employer includes (a) payments made having TDS and (b) some payments on which there is no TDS. The employer has not uploaded to TRACES the payments with no TDS. Therefore, the Form 16 issued by employer shows more income than that in the Form generated from TRACES. Following clarifications are sought:

a) Which Form 16, issued by employer or that generated from TRACES, should be used for the IT Return?

b) Is it the responsibility of the employer to upload all the payments made, irrespective of the TDS, to the TRACES?

c) Or, it is the responsibility of the Assessee to use Form 16 issued by employer and pay the tax due on the portion on which employer has not made TDS?

Replies (3)

Tribhuvan Aditya Singh

Student as well as Self-employed

3853 Points Posted on 01 July 2014

use part-b of form 16 given by employer to file your income tax return. part-a of from 16 which is generated from traces can be used for matching of tds deducted and reported by employer to the dept.

Ravi Kapur

Consultant

23 Points Posted on 01 July 2014

Thanks for the clarification Sir. But is the employer not at fault by making a payment and not deducting tax at source? And this payment, arrears, was made in the 4th month of the FY. I will be penalised with interest for shortfall of tax paid upto March 31, because of wrong done by employer. Appears to be a sad affair. Thanx again for the clarication. Regards

Tribhuvan Aditya Singh

Student as well as Self-employed

3853 Points Posted on 01 July 2014

yes it is the duty of employer to deduct tax at avg. rate. but it is often seen that employers do not always follow this and mostly deduct tds in last few months. however if whole of tds is deducted upto 31st march then normally no interest is payable except in some cases where 234c interest is charged. the employee suffers for this mistake of late deduction and nothing can be done.