Form 16 Explained: Part A, Part B, Download and How to File ITR With It (AY 2026-27)
Form 16 is the TDS certificate an employer issues to every employee whose salary tax was deducted, due by 15 June 2026 for FY 2025-26. Part A is generated on TRACES and shows quarter-wise TDS deposited against your PAN; Part B is the employer's breakup of salary, exemptions, deductions and tax. You use it to fill the salary and TDS schedules of ITR-1 or ITR-2 by 31 July 2026.
Key facts, FY 2025-26
- Issued by
- Employer (deductor) under section 203 and Rule 31
- Due date
- 15 June 2026 for FY 2025-26 (AY 2026-27)
- Part A
- Downloaded by the employer from TRACES after the Q4 24Q return is processed
- Part B
- Employer's annexure: salary breakup, section 10 exemptions, chapter VI-A deductions, tax computed
- Used for
- Salary schedule and TDS credit in ITR-1 or ITR-2, due 31 July 2026
- Income-tax Act 2025
- Reported as Form 130 from tax year 2026-27; verify against the notified Rules
What it is
Form 16 is the certificate of tax deducted at source on salary under section 192. If your employer deducted TDS from your salary at any point in FY 2025-26, they must give you Form 16 by 15 June 2026. If no tax was deducted because your income stayed below the taxable limit, the employer is not obliged to issue it, although most payroll systems still generate one.
It has two parts. Part A is pulled from TRACES, the TDS reconciliation portal, once the employer files the fourth-quarter 24Q return. It carries the employer TAN, your PAN, the period of employment and a quarter-wise table of tax deducted and deposited. Part B is prepared by the employer and shows gross salary, exempt allowances, the standard deduction, chapter VI-A deductions, taxable income and the tax computed under the regime you chose in your investment declaration.
Form 16 is not the same as Form 16A, which covers TDS on non-salary payments such as bank interest or professional fees, or Form 16B, which a property buyer issues to the seller after filing Form 26QB.
Part A and Part B: what each contains
| Part | Generated by | What it shows | Check it against |
|---|---|---|---|
| Part A | TRACES, after the Q4 24Q return | TAN, PAN, period of employment, quarter-wise TDS deducted and deposited, challan and receipt numbers | Form 26AS and the TDS tab of AIS |
| Part B | Employer payroll | Gross salary, section 10 exemptions (HRA, LTA), standard deduction, 80C to 80CCD(1B), 80D, taxable income, tax, rebate, cess | Your payslips and investment proofs |
| Form 12BA | Employer, when perquisites exist | Value of perquisites such as company car, ESOPs, rent-free accommodation | Offer letter and RSU or ESOP statements |
What to check before you file
- PAN and name match your PAN card. A wrong PAN means the TDS will not appear in your Form 26AS and you cannot claim it.
- The TDS total in Part A equals the TDS shown in Form 26AS for AY 2026-27. If not, the employer needs to file a correction statement.
- The regime in Part B is the one you want to file under. The employer's choice is not binding; salaried taxpayers can pick either regime in the ITR every year.
- Standard deduction is ₹75,000 under the new regime and ₹50,000 under the old regime for FY 2025-26.
- HRA exemption, LTA and professional tax appear if you claimed them. If you missed submitting proofs, you can still claim HRA and 80C in the ITR under the old regime.
- Any other income you declared to the employer (interest, rent) is shown separately, so you do not report it twice when you add AIS figures.
How to download Form 16
- Employees do not download Form 16 from TRACES themselves. Ask HR or payroll; most employers email it or post it on the payroll portal by mid June.
- Employers: log in to TRACES with the TAN, go to Downloads, choose Form 16, pick the financial year and the PANs, and place the request after the Q4 24Q statement shows as processed.
- Employers then download the zip file, generate PDFs with the TRACES PDF Converter Utility, sign them digitally and attach Part B from the payroll software.
- Open the PDF with the password the employer specifies, usually your PAN followed by your date of birth as DDMMYYYY.
- Save both parts. Part A gives you the TDS schedule figures; Part B gives you the salary schedule figures for the ITR.
Filing ITR without Form 16
You can file without it. Download Form 26AS and AIS from the e-filing portal, take the salary paid and TDS from there, and rebuild the breakup from your payslips. The ITR asks for gross salary, exempt allowances and deductions; payslips give you basic pay, HRA and the rest. If the employer deducted tax but never deposited it, you can claim credit only for what 26AS shows, and you should write to the employer and to the TDS assessing officer.
Worked example: Two Form 16s after a job change in FY 2025-26
- Employer A (April to September 2025): gross salary
- ₹6,00,000, TDS ₹22,000
- Employer B (October 2025 to March 2026): gross salary
- ₹7,50,000, TDS ₹18,000
- Total gross salary to report
- ₹13,50,000
- Standard deduction (new regime), allowed once
- ₹75,000
- Combined TDS credit from both Part As
- ₹40,000
- Likely result
- Both employers applied the nil slab and 87A rebate separately, so TDS is short. Self-assessment tax is due before filing.
Common mistake: claiming the standard deduction twice
Each employer gives you the full ₹75,000 standard deduction and the full slab benefit in its own Form 16. When you add two Form 16s, the deduction is allowed only once and the slabs apply to the combined salary. Report both salaries in one salary schedule, claim the deduction once, and pay the balance as self-assessment tax before 31 July 2026 to avoid interest under sections 234A and 234B.
What to do next
Match Form 16 with Form 26AS and AIS as soon as you receive it in June. Choose the regime by comparing both in the calculator, not by what the employer applied. File ITR-1 if salary, one house property and interest are all you have, and ITR-2 if you sold shares or property. File by 31 July 2026; a belated return by 31 December 2026 attracts a fee of ₹5,000 under section 234F, or ₹1,000 if total income is up to ₹5 lakh.
Form 16: questions
When is Form 16 issued for FY 2025-26?
By 15 June 2026. Rule 31 requires the employer to issue it within 15 days of the due date for the fourth-quarter TDS return, which is 31 May. If your employer is late, ask in writing; the employer faces a per-day penalty under section 272A, and you can still file using Form 26AS and AIS.
Can I file ITR without Form 16?
Yes. Form 16 is a convenience, not a requirement. Use the salary and TDS figures in Form 26AS and AIS, and your payslips for the breakup of basic pay, HRA and allowances. The return is valid as long as the income and TDS you report match the department's records.
What is the difference between Form 16 and Form 26AS?
Form 16 is issued by your employer and covers salary TDS only. Form 26AS is generated by the Income Tax Department and shows all TDS, TCS, advance tax and self-assessment tax credited to your PAN from every source. The TDS in Form 16 Part A should appear in Form 26AS; credit is given on the basis of 26AS.
What is the password for Form 16?
There is no single standard. Most employers set the password as your PAN followed by your date of birth in DDMMYYYY format, in the case (upper or lower) their email specifies. If it does not open, check the covering email or ask payroll.
My employer deducted TDS but it is not in Form 26AS. What do I do?
The employer has either quoted a wrong PAN, filed the 24Q return late, or not deposited the tax. Ask for the 24Q acknowledgement and a correction statement on TRACES. If the tax was deducted but not deposited, section 205 bars the department from recovering it from you again, but you will need the certificate and a written complaint to the TDS assessing officer to get credit.
Do pensioners get Form 16?
Yes, when the bank or pension disbursing authority deducts TDS on pension under section 192. Pension is taxed as salary, so the standard deduction of ₹75,000 (new regime) or ₹50,000 (old regime) applies. Family pension is taxed under other sources and gets a separate deduction.
I have two Form 16s from a job change. How do I file?
Add the gross salary from both Part Bs in one salary schedule, claim the standard deduction once, and claim TDS from both Part As. Because each employer applied the slabs and rebate from zero, there is usually a shortfall to pay as self-assessment tax before filing.
Is Form 16 mandatory if no TDS was deducted?
No. Section 203 requires a certificate only when tax is deducted. If your salary was below the taxable limit and nothing was deducted, the employer may still issue a salary certificate on request, and you can file the return from payslips and AIS.
Related forms and sections
- Form 26ASForm 26AS is your annual tax statement: every rupee of TDS and TCS credited to your PAN, the advance tax and self-assessment tax you paid, and the refunds issued, for one financial year. You open it from the e-filing portal, which hands you over to TRACES. Before filing ITR for AY 2026-27, the TDS you claim must match what 26AS shows, or the credit is cut in the 143(1) intimation.
- AIS and TISThe Annual Information Statement (AIS) is the department's record of your financial transactions for a year, reported by banks, employers, registrars, depositories and the GST network. The Taxpayer Information Summary (TIS) condenses it into category totals that prefill your ITR. For AY 2026-27, every income line in AIS should either appear in your return or carry your feedback explaining why not.
- Section 10(13A)Section 10(13A) exempts House Rent Allowance to the extent of the least of three amounts: actual HRA received, rent paid minus 10% of basic plus DA, and 50% of basic plus DA in Delhi, Mumbai, Kolkata or Chennai (40% elsewhere). The exemption is available only under the old regime and only if you actually pay rent. Landlord PAN is mandatory when annual rent exceeds ₹1,00,000.
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General information for FY 2025-26, not professional advice. Limits and dates change with each Budget; the updated date above is when this page was last checked. Disclaimer