ITR Filing Form 16 Deadline Extended: Check Details

The Government of India on June 25 declared the extension of the deadline for a number of the income tax compliances.

The taxpayer can make payment till October 31; however, they have to pay the interest along with the tax. The last date for employers to furnish the TDS certificate in the Form 16 to the employees has been extended from July 15, 2021, to July 31, 2021. Form 16/16 A is the certificate of tax deducted at source and it is mandatory for employees to issue these certificates to taxpayers. And the amount of tax has to be deposited in a government account.

However, in certain cases, It is compulsory to file TDS statements electronically for the following category of deductors:

Offices of the Government
Persons are required to get their accounts audited as per section 44 AB of the Income Tax Act 1961
Companies
Deductors that have reported greater than 20 deductee records for a quarter in the financial year.

Form 16 Has Two Components and They Are Part A and Part B.

The Form 16 A includes

Name and address of the employer
Permanent Account Number (PAN) card of employee
PAN of the employer
The Tax Deduction Account Number (TAN) of the employer
The Period of employment with the current employer
Summary of the tax that is deducted & deposited quarterly, which is certified by the employer.

Part B(Annexure) of the certificate contained in Form Number 16 will be issued by the employer. It can be bifurcated into 2 categories.

If the assessee is employed/working under only one employer during the year. It contains the details of the tax deducted and also deposited for all four quarters of the financial year.
However, if the assessee is employed/working under more than one employer in a single year, both the employers need to issue Part A of the certificate that is contained in Form 16. Part B (Annexure) of the certificate contained in Form 16 might be issued by both the employers or by the last employer which is dependent on the choice of the assessee. However, to update PAN details in the database of the income tax department, one needs to opt for ‘PAN change request’ through NSDL or UTITSL

Form 16B Includes

Gross salary
Allowances to the extent exempt under Section 10
The total amount of salary received from the current employer
Deduction under Section 16

Comments

Why Small Firms Should Consider Gen Payroll Software?

Businesses in this competitive era would be required to manage the payroll. Payroll software has multiple operations such as paying employees, following tax laws, managing employee benefits, filing important documents, and keeping accurate records. Businesses that manage tasks manually or with spreadsheets can result in inappropriate compliance and issues, wasting time in doing operations. Gen Payroll software arrives to manage payroll with accuracy and resolve the issues that come therein. The merits and demerits of Gen Payroll software are mentioned below. Gen Payroll Software Gen Payroll is a payroll management software made by SAG Infotech . It eases and automates the process of payroll. The software’s features are tracking employee attendance, calculating salaries, ensuring compliance with laws like PF (Provident Fund), ESI (Employee State Insurance), and TDS (Tax Deducted at Source), as well as generating payslips. Businesses, whether small or large, can use this software. ...

How ITR Software Assists Individuals in Filing Tax Returns

Every assessee's process of income tax return (ITR) filing is significant, as it contributes to Indian's economy. The Income Tax Department has made efforts to facilitate this approach in recent years, but numerous people still see themselves steering a difficult financial system, multiple tax deductions, miscellaneous exemptions, and changing tax laws. This complexity can turn what must be an easy task into a significant challenge. In this context, income tax software evolves into an important partner, presenting a useful variety of accuracy, efficiency, and reassurance. The software enables return filing that permits taxpayers to handle their financial responsibilities when complying with the law. 1. Accurate Tax Calculations An incorrect income tax calculation of taxes could result in messages from the Income Tax Department or missed refunds. The tax software helps in finding taxable income and tax deductions that you may be allowed, like insurance or home loans. The co...

Major Income Tax Rule Changes to Simplify Return Filing

Income Tax Return Filing- The normal Income tax return filing due date for AY 2024-25 ended on July 31, 2024. On December 31, 2024, the due date to file a belated ITR with a penalty amount of Rs 5000 will end. The Income Tax Department after the July 31 deadline will provide different categories of taxpayers with specific deadlines to furnish income tax return filing (ITR) . For instance, the tax department has extended the ITR filing date for those who require the audit of their accounts from 31st October 2024 to 15th November 2024. Below we talk 5 amendments in the rules of the income tax concerning tax returns filing via the taxpayers. With New Form 26AS Improved Tax Transparency The introduction of the new Form 26AS furnishes the complete data to the taxpayer along with the details of tax deductions or collections at source, demands, payment of taxes, specified financial transactions (SFTs) and refunds. Also, the inclusion of SFT data assures that the taxpayers know about their tra...

SAG Infotech: Need Tax Software (Call 0141-4072000)

Search This Blog