Form 16 for those whose TDS not Deducted

TDS 9501 views 14 replies

Hi All,

Suppose there are few employees whose TDS is not Deducted due to the investment shown by them.So will they be issues the form 16.and if not then what should they be given to show them

Please let me know in case of any concerns

 

thanks

 

Rekha Roy

Replies (14)

then also you should issue Form 16 to your employees, but the columns under TDS provisions will be blank.

Hi, form 16 should be issued giving the details of salary however form 16A need not to be issued as no deduction has been made

Yes, You have to issue Form 16,,,, whether u deducted the TDS or not

 

Thanxx..........

Raj

https://freeworking.hubpages.com/hub/All-About-Form-16-and-Form-16A

According to this link it specifies that  "No Form 16 is required to be issued if TDS is not deducted from the salary. "

 

Can u just let me know how much this statement is true

Form No 16 is a TDS Certificate and not a Salary certificate so It is not necessary to issue Form 16 to employees whose tax has not been deducted...

 

 

 

Many employers issue Form 16 even if Tax has not been deducted,this is completely wrong as Form 16 without information of TDS is not at all valid,

For such employees,employer can issue Salary certificate in any other format,

seems as if scenario is different as the salaries of employes were taxable but due to the investmenst shown the TDS was not dedeucted so in this case do we need to issues form 16 or any other documnet is required to be given

whats the salary certificate format in which it has to be given

See,you can give salary certificate in any format just take care it must be authorised,

However as I said earlier most of employers issues Form no 16 to all the employees whether Tax has been deducted or not..You can also follow it

And again it is not matter of concern why Tax has not been deducted matter is that Form No 16 is TDS certificate should be issued only if Tax has been deducted moreover Form 16 issued before filing of TDS return without mentioning TDS Quarterly return code is also not Valid..

As per Income Tax Department, companies need not require to issue TDS Certificate (Form 16) where no Income Tax (TDS) is deducted. Please find the relevant provisions for your reference.

 

All Project Heads should intimate the same to their teams.

 

2.7 Issue of T.D.S. Certificate

 

2.7.1 Every person deducting tax at source is required as per Section

203 to furnish a certificate to the payee to the effect that tax has

been deducted along with certain other particulars. This certificate

is usually called the TDS certificate. Even the banks deducting tax

at the time of payment of pension are required to issue such

certificates. In case of employees receiving salary income including

pension, the certificate has to be issued in form No.16. The certificate

is to be issued in the deductor’s own stationery. However, there is

no obligation to issue TDS certificate in case of tax at source is not

deducted /deductible by virtue of claims of exemptions/ deductions

HI ,

Thanks for the info which is has been very informative ,but  i have doubt to be cleared which is the person is eligible for Tax Deductions but due to his investments proof there is no tax deducted ...but still he needs for 16 ...wat to be done in that case .or wat is the best way to get the form 16

 

 

 

 

 

Dear all

May financial institutions and banks ask for Form 16 from their clients who apply for loan. In this case if his salary is marginally short for becoming eligible for TDS deduction and hence Form 16 is not issued by the employer, what will be remedy?

Dear Suhas,

Even in that case, the same individual could furnish his ITR to the bank if he has filed return as nil.

Regards.

if no TDS then no need to issue, but when i was a article then our senior says that its mandatory to issue form 16, but now i am in industry and find that no certificate issued if no TDS.


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