Form 16
The annual TDS certificate an employer issues to a salaried employee, summarizing salary paid and tax deducted through the year, used as the primary basis for filing a return.
Form 16 is a certificate every employer is required to issue to employees from whose salary TDS was deducted during the financial year, typically by 15 June following the year-end. It has two parts: Part A, which summarizes TDS deducted and deposited quarter by quarter and is generated through the TRACES portal, and Part B, which breaks down the actual salary structure, exemptions claimed, and deductions under Chapter VI-A.
For most salaried taxpayers, Form 16 is the single most useful document when filing a return, since it already consolidates salary, exemptions, and TDS in one place. It's worth cross-checking Form 16 figures against Form 26AS and AIS before filing, since discrepancies between what an employer reports and what's actually reflected against your PAN are a common source of return-processing delays.
This glossary entry is for general informational purposes only and does not constitute professional tax, legal, or financial advice. Rules and rates change, so consult a qualified Chartered Accountant for advice specific to your situation.