After the financial year ended in March, taxpayers are preparing to submit their annual income tax return for 2016-17 to the Income Tax Department.
The last date to submit your ITR is July 31. And here is a simple step to guide to help you file your ITRs even if you dont have form 16.
What is Form 16? Why is it required?
Form 16 is TDS (tax deducted at source) certificate that lists all your taxable income. This Form will show the mployer the details of TDS deposited so that it is helpful to estimate the tax liability.
If you don't have Form 16?
Due to some circumstances, if employer doesn't get Form 16 he has file the taxes even without Form 16. An employer have to collect all his payslips to figure out the taxable income.
Documents required instead of Form 16
Form 26-AS will give your tax credit statement which will help you in finding the tax received by the Government through TDS deducted on your incomes from all sources.
Claim your other deductions:
Besides your salary, you might have income from other sources as well. These are non-taxable items which lower your taxable income and include House Rent Allowance, Leave Travel Allowance, reimbursements, Section 80C deductions on investments, etc.
Compute net taxable income:
Now calculate all the income and subtract the deductions so that you can get the exact figures of your taxable income. After this calculate your income tax as per the IT slab.
File your ITR:
Once the employer finds that the differential amount has been paid and everything matches according to the Form 26AS you can then e-file your tax returns without Form 16.