FORM NO 16AA

Dear All,

 

What is the basic condition to issue the form no 16AA to the employees. Can employer required declaration from the employee  regarding that he has no any source of income? .  also clarify that if the employers not issue the form no 16AA to the employees, then what will be the penal provision or not under the Income Tax act,1961.

 

Please urgent reply.

Thanks

Parmod

Replies (1)

Basic conditions:

For an individual, resident in India, where—

(a) his total income includes income chargeable to income-tax under the head “Salaries”;

(b) the income from salaries before allowing deductions under section 16 of the Income tax Act, 1961 does not exceed rupees one lakh fifty thousand;

(c) his total income does not include income chargeable to income-tax under the head “Profits and gains of business or profession” or “Capital gains” or “Agricultural income”; and

(d) he is not in receipt of any other income from which tax has been deducted at source by any person other than the employer

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