Almost, all of us would agree to the fact that we have to know the basics about how to do filing of income tax returns. If you are employee, to file tax returns, you need form-16. However, there are several cases where Form-16 would not be available. In such case, one would face a big challenge in doing efiling of income tax returns. How to efile Income Tax Return without Form 16? How to compute net taxable income before efiling income tax returns in the absence of Form-16?
Also Read: Which ITR form to be used for filing income tax return for 2015-16?
What is Form-16?
Form 16 is a certificate, in which the employer certifies the details regarding the salary you have earned during the year and the TDS that has been deducted. In other words, Form 16 is your salary TDS certificate. If your salary income is more than the exemption limit of Rs.250,000 for the financial year, under the income tax act, your employer is required to deduct TDS on your salary and deposit it to the government month on month. If you have also disclosed your income from other heads, the company will take into consideration your total income for TDS deduction. If your income is below the exemption limit, your TDS will not be deducted and he may not issue you the form 16.
In order to file income tax for a salaried individual, he/she has to obtain a form named Form 16. It is the form that is provided by each employer to his employee. It is the obligation of the employer to provide this form to all his employees. But, in a few circumstances, the employer may not be able to provide you with form 16. That does not mean that you will not be able to file your income tax return. You can calculate these things by yourself.
How to efile Income Tax Return without Form 16
Here are some steps which you need to consider on how to File Income Tax Return without Form 16.
Collect all your pay slips to compute gross income
Collect all the payslips provided by the employers during the financial year and calculate your total net salary. If you have worked for more than one employer in a financial year, don’t forget to put together all the payments received which are indicated in payslips.
Know how much tax deducted is deducted
You need to download Form 26AS from income tax website. Visit Income Tax Website and Login Check for Form 26AS link, provide login details and download the form.
Check the tax that has been deducted at source from your payslips and match it with the form 26AS. If you find any discrepancy, contact your employer immediately and get the error rectified.
Claim House Rent Allowance (HRA)
HRA constitutes one of the important components of many of the employees. To claim the HRA deduction, you need to submit your rent slips to the payroll department, well in advance. But, if you haven’t submitted the rent receipts, you can claim it while filing. You should know how much HRA you are eligible as it depends on a few parameters.
Claim your deductions
- If you have made any investments / insurance / education loan which are eligible u/s 80C, 80D and 80E during the financial year, you can claim their deductions.
- Keep all your investment documents in hand and compute the amount eligible for deductions like life insurance, public provident fund, employee provident fund (80C), medical insurance premium (80D) etc. While calculating your claim for provident fund, be careful that you add only your contribution to the PF and not the employer’s contribution. The maximum eligible u/s 80C is Rs 1,50,000.
- Medical insurance premium for your family (Max Rs 15,000) and for parents of < 60 years (Max 15,000) totaling to Rs 35,000 can be claimed through 80D. If parents are crossed 60 years, one can claim upto Rs 20,000 as a medical insurance premium benefit. One need to retain all bills pertaining to the premium payments made.
- If you have housing loan, you can consider housing loan interest benefit for a financial year for a maximum of Rs 2 Lakhs (Self occupied).
Also Read: Last minute deductions that can be claimed while filing income tax returns
Income from other sources
If you have income from other sources also other from salary, include it under taxable income. The examples of such income may be savings bank interest (excess of Rs 10,000 per annum), fixed deposit interest, rent from let out property, etc.
Compute your net taxable income
Net taxable income = Gross income (Salary + other income) – Basic deduction – all deductions (80C, 80D etc.,). There are several ways where you can claim maximum deductions from your income to pay less tax before computing net taxable income.
Pay an additional tax if necessary
Calculate your total tax liability (based on income tax bracket) and if the tax liability is higher than what you have already paid according to form 26AS, pay the variance online. Visit https://onlineservices.tin.egov-nsdl.com/etaxnew/tdsnontds.jsp and use Challan no.280 to pay balance income tax due. Ensure you select income tax other than companies option and enter accurate PAN no while making payment.
Finally, file your income tax return
Once you are assured that the taxes paid by you matches the tax payable, proceed to file your return online.
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How to efile Income Tax Return without Form 16
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My company is not providing form 16 since they have not deducted any TDS. My total gross salary was Rs.257903 icluding Rs.1600 as conveyance permonth and net salary credited to the bank was Rs.244643.
The deduction per month was Rs.1105 PF and Rs.200 as professional tax.During that financial year I received Rs.24029 from EPF when I quit the previous companies.There is no other income. I can claim more than Rs.100000 deduction as per 80C for which nothing is submitted.
Please advise me whether I have to file IT and if required what should be the income shown and other details.
my CTC is RS. 2,48,000. but as pan no was not updated with my employer,hence they deducted 20% of ctc
as income tax on 31.march.2016, now i am very much upset and plz tell me the procedure asap how to get full amount refund.
I have checked form 26as also the amount is still not updated,its showing no transactions.
plz help me
I am an Nri ( contract worker in gulf) since 2010. I never filed income tax returns before as I was earning under limit zone. I opened a NRE account in India and my family used to withdraw money for expences from this account. I also bought some mutual funds from the savings in Nre non repatriable mode from this account.
I came back for good to india in mid 2014 as my company lost a big project and lots of staffs were laid off.
I got some lump sum payment, and transfered this to my NRE account.
I opened a 3-1 local demat account and transferred some money to this account from NRE account. I also bought some shares.
Fortunately I got a call back the same company within 2 months of coming back. I left again to work abroad and still working . I then continued buying shares with funds transferred to demat acc from Nre account. I recently received notice from it depart at my local address to file my returns for 2014-2015. I have made some short term loss in my demat account . How do I have to file my returns. I have no other income in India other than my salary remittance to my Nre account. Please guide me.
I think you missed the second part in my second reply.
Do I need to start filing the Returns (zero ITR if nothing is taxable)?
Considering I have never paid taxes and never had the ITR filed, how can start filing the ITR?
a general procedure for the first ITR.
Thank you for sharing your views on various important topics.
Can you please address my following situation?
I am an NRI and left India for Employment in Nov-2008. Before that, I never filed the ITR but I had received the form 16 for year 2007-2008. After I left India, I had some taxable income like some income from Shares (mostly Long Term Capital Gains as I sold the shares after one year), and some income in the form of house rent from my flat. Also, until now I had only one flat which I had rented out, now I have just rented the second flat as well.
In order to avoid any future problem, I would like to streamline my Income Tax activities. However, I have not received any notice or so from IT.
Can you please advise me, considering my above situation, on what actions do I need to take in order to start declaring the taxable income and filing the ITR? A detailed help would be highly appreciated.
Hi Bhushan, Here are my comments 1) Since you sold most of your shares after 1year, all these are long term capital gains, hence no tax is applicable 2) Since you never had any taxable income, you have not filed return, here too you do not have any problem 3) You have rented your first property, how much return you were getting? Is this amount below good tax saving schemes and get 80c exemption. With this you can save tax upto Rs 4 Lakhs of total income. Beyond that there are several other ways to save tax, but first check this. Beyong basic exemption of Rs 2.5 Lakhs if you have any income, though you get exemption, pls file income tax returns indicating total income minus exemptions and any further tax payable.
Thanks for the reply.
I have rented both the properties: Flat 1 – 25300 per month & Flat 2 – 8000 per month.
But, my tenants did not deduct TDS.
How will you asses my condition based on this inputs?
Do I need to pay the tax by myself first and then apply for the ITR?
One more thing, do I need to start filing for the zero ITR?
Bhushan, Since it has several points, pls read this article from my blogger colleague. Based on the facts, your tax would change. http://www.bemoneyaware.com/blog/tax-and-income-from-let-out-house-property/