Are you organizing to file your revenue-tax returns early but are not equipped to in the absence of Kind sixteen? This time you may possibly have to wait significantly extended than before yrs, as the Centre has extended the day for issuance of Kind sixteen by employers until finally August fifteen in perspective of the ongoing coronavirus pandemic. The conclusion came on the heels of the deadline for filing of tax deducted at source (TDS) returns being extended to July 31.
Nevertheless, in the absence of Kind sixteen, people searching to file their tax returns early could do so utilizing their salary slips and Kind 26AS. But that is a comparatively sophisticated and lengthy system and the chances of problems are increased.
Earlier, Finance Minster Nirmala Sitharaman experienced introduced a slew of steps for taxpayers in perspective of the pandemic. Several tax-similar deadlines, together with that for TDS, were peaceful.
Workers want Kind sixteen issued get their employers to file revenue tax returns as this type incorporates the aspects of salary gained by them, tax deducted by the employer on that salary, and the deduction availed of by the worker.
It incorporates two sections. Part A of Kind sixteen has standard aspects of the worker, this sort of as name and address, PAN and TAN aspects, the period of time of employment, aspects of TDS deducted and deposited with the federal government. Part B of Kind sixteen mentions the salary compensated, any other revenue of the worker, deductions availed of, etcetera. Companies deduct TDS from salaries compensated to their workforce under Area 192 of the Profits Tax Act, 1961.
Less than standard situation, the TDS return is necessary to be submitted by May perhaps 31 of the financial yr. Ordinarily, in fifteen times after filing of the TDS return — that is, by fifteen June — employers have to concern Kind sixteen to workforce, except if there is an extension of deadline.
For FY20, the deadline was to begin with extended to June thirty and later on to July 31.