Though Form 16 remains a vital document issued by employers to employees, to validate that the Tax Deducted at Source (TDS) was made from employees' salary, there are ways to file ITR without Form 16. Apart from the Tax Deducted at Source (TDS) details, Form 16 contains, a breakdown of employees' salary components.
There may be several situations such as administrative reasons, employer negligence or even a sudden change in employment that may result in you not getting Form 16. In such cases, taxpayers can still file their income tax returns (ITR) using alternative documents including salary slips and Form 26AS. The details of these documents are further mentioned as we go along the steps.
Steps to file ITR without Form-16
Step 1: Filing ITR without Form 16 starts as usual taxpayers navigate to the official Income Tax Department website, and they should log in to their account. Then select the appropriate ITR form for filing, typically ITR-1 or ITR2 for salaried individuals. ITR 2 is used when you have additional sources of income apart from the salary.
Step 2: Gather all salary slips or payslips which will provide necessary details of the salary structure, including taxable income, allowances, applicable deductions, and other components. Subsequently, using such information you can estimate your taxable income. Relevant deductions, such as House Rent Allowance (HRA) and standard deduction, should be accounted as applicable to the tax regime you choose.
Step 3: The next step is to review your bank statements to identify any additional sources of income beyond your salary, such as interest income or dividends. These additional income streams must be incorporated into the taxable income calculation.
Here is when Form 26 AS initially comes to help it notifies you about all taxes deducted and deposited against the individual's PAN and thus helps you to remember all such items.
Step 4: Using Form 26AS, available at the ‘TRACES’ website of the Income Tax Department website here, get additional details to compute taxable income and deductions. Form 26AS is a consolidated statement of all taxes deducted and deposited against an individual's PAN. It's important to ensure that the TDS details in Form 26AS match the calculated income details. In case of any differences, contact the deductor to rectify any discrepancies.
Step 5: Once your income details are compiled, claim relevant deductions by providing the necessary supporting documents. For this, you must have kept records of all tax-saving investments such as PPF, NSC, life insurance, ELSS, etc. Such deductions under Section 80C and Section 80D, up to Rs 1.5 lakh per annum apply in the old tax regime.
Step 6: Submit the ITR in the Income Tax Department portal and make sure to e-verify the return within 30 days.
