The governing administration in its 24 June notification experienced declared relaxations in several tax-connected deadlines, which includes the extension of the date of filing of the TDS (tax deducted at source) return by the employer and subsequent issuance of Sort 16.
The authorities had also prolonged the last date of filing of the income tax return for FY20 until 30 November 2020.
The deadline for filing of TDS returns by the employers has been prolonged till 31 July and the date for issuance of Form 16 by the companies has been extended till August 15 because of to the ongoing covid-19 crisis. Hence, some of the companies who have not filed the TDS return but may delay the issuance of Variety 16, which is wanted by the staff members to file their cash flow tax returns.
“As for every the notification issued by the Central Board of Direct Taxes (CBDT) due date for filing TDS returns for the quarter ending 31 March 2020 has been extended till 15 July, for government workplaces and 31 July for other deductors. Staff might have to wait until 15 August 2020 for their Form 16 for the economical calendar year 2019-20,” reported Kapil Rana, founder and chairman, HostBooks Ltd, a cloud-centered accounting and finance options supplying firm.
Kind 16 is needed by the staff members to file income tax return, as it is made up of aspects of the salary received by the employee, the tax deducted by the employer and deduction availed by the staff.
Variety 16 has two parts—part A and aspect B. Part A comprises basic particulars of the staff these kinds of as name and address, PAN and TAN facts, time period of employment, particulars of TDS deducted and deposited with the authorities. Component B contains specifics of salary paid out, any other income of the employee, deductions availed less than chapter VI-A such as section 80C information and tax payable by the personnel, between many others.
Businesses minimize TDS less than part 192 of the Profits Tax Act 1961 from employees’ salary, and they have to file the TDS return supplying aspects of the income compensated and the TDS deducted.
Usually, employers are needed to file the TDS return by the stop of 31 May perhaps of the economic 12 months immediately adhering to the financial 12 months in which the TDS has been deducted. For FY20, the deadline was to begin with extended to 30 June and now to 31 July.
Normally, in just 15 days following filing the TDS return—that is by 15 June—employers have to issue Variety 16 to the workers until finally and unless there is an extension of the deadline. This yr the deadline was initially prolonged to 15 July and then to 15 August.
Even so, individuals who want to file their tax return early can do so applying their income slips and Form 26AS (it contains aspects of TDS deposited from a person’s PAN), even so, the approach could be a minimal monotonous.
“It is achievable for an employee to file income tax return without the need of getting the Variety 16. Utilizing the regular salary slips, the worker can compute complete salary, allowance, perquisites, the deductions permitted needed at the time of filing ITR. Even more, he can obtain his tax deduction details from Kind 26AS, which is available on e-filing portal and can complete the return filing,” explained Rana.
However, without the need of Kind 16, the procedure will become intricate, lengthy and also there are possibilities of mistakes.
Hence, it will be better for you to hold out for your Kind 16 and file the money tax return in order to avoid any error.
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