Form 16 is a TDS certificate issued by your employer under Section 203 of the Income Tax Act. It contains details of salary paid and TDS deducted during the financial year. It has two parts — Part A (TDS details from TRACES) and Part B (salary and deductions breakdown).

Is Form 16 mandatory for ITR filing?

Form 16 is not legally mandatory for ITR filing, but it is highly recommended. It contains all salary and TDS details needed to fill ITR-1 or ITR-2. Your Form 26AS and AIS also contain the same TDS information which can be used alternatively.

When does the employer issue Form 16?

Employers must issue Form 16 by June 15 of the assessment year. For FY 2025-26, Form 16 must be issued by June 15, 2026. If your employer has not issued it by then, you can file a complaint with the Income Tax Department.

Form 16 Decoder FY 2025-26 | TDS & Deductions Breakdown

📄 Form 16 Part A — TDS Details

Gross Salary (as per Part A) —

₹

Total salary credited to you in FY 2025-26 (before any deductions)

Total TDS Deducted —

₹

Sum of TDS deducted in all 4 quarters. Cross-check with Form 26AS.

Employer Details (Optional)

Employer Name

Assessment Year

📋

Fill in Part A (TDS) and Part B (salary details) then click Decode Form 16 to see your complete breakdown.

Understanding Form 16

What's Inside Form 16?

📄

Part A — TDS Certificate

Generated from TRACES portal

Employer's TAN & PAN details

Employee PAN & Aadhaar

Assessment Year (AY 2026-27)

Quarterly TDS deducted & deposited

Challan & BSR code details

Total TDS deposited to government

📋

Part B — Salary Breakdown

Prepared by employer

Gross salary (basic + HRA + allowances)

Perquisites & profits in lieu of salary

HRA exemption, LTA exemption

Standard deduction (₹75,000)

Chapter VI-A deductions (80C, 80D etc.)

Net taxable income & tax computation

Step by Step

How to Use Form 16 for ITR Filing

1️⃣

Get Form 16 from your employerEmployers must issue Form 16 by June 15, 2026 for FY 2025-26. Ask HR if not received.

2️⃣

Cross-check with Form 26AS & AISLogin to incometax.gov.in → AIS/TIS → Verify TDS matches Form 16 Part A. Mismatch must be resolved with employer first.

3️⃣

Decode Part B detailsUse our tool above to understand gross salary, exemptions, deductions and final taxable income.

4️⃣

File ITR using Form 16Most data from Form 16 is pre-filled in ITR-1 on the income tax portal. Verify and submit by July 31, 2026.

5️⃣

Claim refund if TDS > tax payableIf TDS deducted exceeds your actual tax liability, the excess is refunded by the IT Dept after ITR processing.

Complete Guide

Form 16 — Everything Explained

What is Form 16 and Why is it Important?

Form 16 is a TDS certificate issued by your employer under Section 203 of the Income Tax Act. It is the most important document for salaried individuals for filing ITR as it contains the complete picture of salary income and tax deducted during the financial year.

Standard Deduction in FY 2025-26

For FY 2025-26, the standard deduction is ₹75,000 under the New Tax Regime and ₹50,000 under the Old Tax Regime. This is automatically reflected in Form 16 Part B and reduces your taxable salary.

What if My Employer Did Not Give Form 16?

You can still file ITR without Form 16 using: salary slips, bank statements, Form 26AS, and AIS from the income tax portal. Employers are legally obligated to issue Form 16 by June 15 — if they don't, you can report them to the IT Department.

Form 16 vs Form 16A vs Form 16B

Form 16: TDS on salary — issued by employer to employee
Form 16A: TDS on non-salary income (FD interest, professional fees) — issued by bank or client
Form 16B: TDS on property purchase — issued by buyer to seller

ITR Filing Due Date for FY 2025-26

The due date for filing ITR for FY 2025-26 (AY 2026-27) is July 31, 2026 for salaried individuals. Belated returns can be filed until December 31, 2026 with a late fee of up to ₹5,000.

FAQs

Frequently Asked Questions

What is Form 16?+

Form 16 is a TDS certificate issued by your employer under Section 203 of the Income Tax Act. It contains salary paid and TDS deducted details. Part A has TDS from TRACES; Part B has detailed salary and deduction breakup.

What is the difference between Form 16 Part A and Part B?+

Part A: Official TDS certificate from TRACES portal — includes employer TAN, PAN, quarterly TDS amounts deposited to government. Part B: Salary computation sheet prepared by employer — includes gross salary, exemptions (HRA, LTA), deductions (80C, 80D) and net taxable income.

Is Form 16 mandatory for filing ITR?+

Not legally mandatory, but highly recommended. All the data you need (salary, TDS, deductions) is in Form 16. Without it, you'd need to use salary slips, Form 26AS and AIS. Your employer must issue Form 16 if TDS was deducted.

When will I receive Form 16 for FY 2025-26?+

Employers must issue Form 16 for FY 2025-26 by June 15, 2026. If not received by then, you can contact your HR department or file a grievance on the income tax portal.

What if TDS in Form 16 does not match Form 26AS?+

Always cross-verify. If there's a mismatch, contact your employer immediately to rectify — they may need to file a correction TDS return. Claim only the TDS amount shown in Form 26AS in your ITR, as that is what the government has actually received.

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