The new income tax portal was launched to provide a better look and feel and wide features to the taxpayers. The portal offers a wide range of services under one umbrella making it easier for the taxpayers to navigate as per their needs. Filing Income Tax Returns (ITR) has become an easy task because of the new income tax portal. Read on to know more about some of the features introduced in the new portal.
The income tax login in the new portal is now Aadhaar and TAN enabled in addition to the PAN.
Passwords can now be easily reset with the use of OTP that will be generated through the Aadhaar-linked mobile number. The OTP facility on email has now been discontinued.
Static passwords have been introduced to enhance the ease of operating when taxpayers are in a low mobile network.
Another facility that has been introduced allows the taxpayers to add a personalised message under the ‘Your Profile’ section. This feature was added to help taxpayers avoid logging into any phishing website.
Besides the various other features and services, Form 16 download from the portal is also an easy process.
Form 16 is a crucial document for a salaried individual, provided by the employer to the employee. It becomes even more important when the employer has deducted tax on income. Form 16 is a certificate that shows the amount of tax deducted from the salary. Here is a look at how to get Form 16 online from the new income tax portal.
Form 16 provides a validation that TDS has been deducted and deposited to the government authorities on behalf of the employee. It also gives a detailed summary of the salary paid and TDS deducted. If you are wondering how to download Form 16 online using the TRACES portal, follow the below given steps:
Go to the official website of the Income Tax Department’s TRACES portal for income tax login at https://www.tdscpc.gov.in/app/login.xhtml
Enter the required credentials like user ID, password and other required details.
Cross-check all the details once and click on login.
After logging in, go to the ‘Downloads’ tab.
Click on the ‘Form 16’ option available under the ‘Downloads’ section.
Select the financial year for which you want to download Form 16 and click on ‘Go’.
Form 16 has two parts, Part A and Part B. On the TRACES portal, you can select any one download option between ‘Search PAN download’ or ‘Bulk PAN downloads’ and click ‘Go’. The ‘Search PAN download’ option is to download Form 16 Part A of selected and valid PAN’s. The ‘Bulk PAN download’ option is for downloading the Form 16 Part A of all valid PAN’s for that financial year.
If you need any changes in your details, click on ‘Cancel’. You can then go to the profile section to update the details. To get Form 16, you should fill in the KYC details by selecting an option between digital signature supported KYC or normal KYC validation. Digital signature supported KYC needs the digital signature to be registered in TRACES login. The deductor can register or re-register their digital signature in the profile. Normal KYC validation can be selected when the signature is not registered in the TRACES login.
After filling in the KYC details, an authorization code will be generated. It is valid for the same calendar day for the same financial year, form type and quarter. Once the unique ‘Request Number’ is generated after successful submission, it can be used to track the status of the request. Form 16 Part A can only be downloaded if the status is ‘Available’. You will have to wait for around 24-48 hours in case the status is ‘Submitted’. You can then download Form 16 from the new income tax portal.
As mentioned above, any salaried person whose tax has been deducted by the employer is eligible to get Form 16. Even if your income falls under the tax exemption limit, the employer must issue Form 16 if the tax is deducted. If you have lost your Form 16, you can always ask for a duplicate copy from your employer. Form 16 is required to make it easier while filing your income tax return (ITR). Here is a look at the details about Part A and Part B of Form 16.
Form 16 Part A has basic details about the employee and employer. They are:
Name of the employee
Address of the employee
PAN of the employee
Name of the employer (tax deductor)
Address of the employer (tax
deductor)
PAN of the employer
Address of the employer
Form 16 Part A also has details about the amount of tax deducted and the dates when the amount was deposited to the Central Government Account. Details about the Challan issued by the government are also mentioned here.
Form 16 Part B has the breakup on how the tax was calculated. Investment declaration made at the beginning of the financial year and proof of investment submitted are taken into consideration. Details about other allowances that the employer provides to you, which might be necessary for tax computation purposes, are mentioned too. For example, house rent, medical bills, home loans, and donations that are exempt from taxation that you may have furnished to the employer.
Given below are some of these details in Form 16 Part B:
Your gross salary
Allowances exempt u/s 10
Tax on employment
Deductions under section 80C, which include (the list is not comprehensive) details like Provident Fund (EPF/PPF) Housing Loan, National Saving Certificate, Life Insurance Plans, tax saving mutual funds (ELSS) and any other investments in tax saving schemes
Deductions under other sections (like 80E, 80G, 80TTA), which include (not limited to) National Pension Scheme, mediclaims, donations exempt u/s 80-G and others
Tax on total income
Any cess levied. For instance, education cess, Swachh Bharat cess, levied by the government from time to time
Any rebate on tax
Any surcharges
There are several advantages of Form 16. Here is a look at some of them:
It helps in filing Income Tax Return (ITR)
It also acts as proof of income
The document states how your tax was calculated and you can also check for any anomalies
It is a one place document where you can check all your tax-saving investments
It helps in loan assessment and approval
It helps in visa issuance
While switching jobs, it helps the next employer to compute the tax liabilities on the basis of what your previous employer has already deducted
You can also check for any overpaid taxes since it is a document of the tax credit which will help you in claiming refunds
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