ITR filing: Know how to file income tax returns without Form 16 in simple steps

Tax experts say filing the ITR for the Assessment Year 2023-24 (Financial Year 2022-23) without Form 16 is possible.

For salaried employees, Form 16 is the most vital document for filing their income tax returns (ITRs). It is provided by the employer to employees with details of tax deducted at source (TDS) and break-up of salary component.

According to the income tax department guidelines, every employer must issue Form 16 to employees with income subject to TDS. However, in case a salaried individual is not provided with Form 16, he/ she can still file an income tax return (ITR).

Tax experts say filing the ITR for the Assessment Year 2023-24 (Financial Year 2022-23) without Form 16 is possible. They say even if you don’t have Form 16, there are many documents such as payslips and Form 26AS, along with investment proof for claiming deductions, you can use as a reference to file your tax returns.

Here’s an easy step-by-step guide on how salaried individuals who don't have Form 16 can file their ITR:

1) You should collect all the monthly salary slips or payslips from the relevant financial year, and these documents should contain comprehensive details of the salary, allowances, deductions, and other income components. If you have changed one or more jobs in a financial year, make sure you include payslips from all employers you have worked for in the year.

2) Always make use of allowances that help you to cut your tax liability such as house rent allowance (HRA) and so on. However, while computing allowances exemption, be cautious as some allowances are partially exempt and some are fully exempt.

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3) Relevant deductions such as HRA, standard deduction, and professional tax should be deducted to arrive at the taxable income.

4) Check the TDS deducted with your Form 26AS. Form 26AS should contain the details of TDS deducted not only on your salary income but also on other incomes. It is necessary to cross-check your TDS with the figures shown in your Form 26AS as there could be some discrepancies. Form 26AS is a consolidated statement of all the taxes deducated and deposited against the individual's permanent account number (PAN).

5) Salaried employees must check their bank statements to detect any additional sources of income beyond salary, such as interest income, dividends, or any other form of income. These amounts must be included in the taxable income calculation.

Also Read: ITR filing mistakes: Common errors to avoid while filing income tax return for FY 2022-23

6) If you have got any rental income from letting out the house property owned by you, then you need to mention it. Also, if you have availed any housing loan either on the let-out property or on self-occupied property and are paying interest on the loan, then you will get a tax deduction.

7) Income from other sources such as proprietary businesses that do not need an audit, interest earned on bank deposits, mutual funds and so on should be reported in your ITR filing.

8) In case of gain from the sale of shares or equity-oriented mutual funds, you need to obtain a capital gain summary statement from your broker or mutual fund house.

Also Read: ITR filing documents: 10 important documents you need to file your income tax return

9) Check Form 26AS which can easily be accessed through the I-T department website. It has a consolidated statement of all the taxes deducated and deposited against the individual's permanent account number (PAN).

10) Several sections of the Income-tax Act under which a salaried individual can claim tax deductions which are section 80C (life insurance premium, PF, equity-linked savings schemes, Public Provident Fund, principal repayment of home loan and so on), 80D (medical insurance premium) and so on.

11) Know your tax liability on the total taxable income based on the tax regime opted by you.

12) If your total tax liability exceeds the amount of tax paid as per your Form 26AS, then you have to pay the excess amount to the tax department.