When does an employer issue Form 16?
An employer issues Form 16 by 15 June where tax was deducted from salary under section 192. The form is the annual certificate of that salary and of the tax deposited. It is not the employee’s income-tax return.
When is it issued?
Rule 31 requires the certificate by 15 June of the financial year that follows the year in which the salary was paid and the tax was deducted. A due date of 31 July is the return date for many individuals, not the Form 16 date. The return dates are on the return due-date page.
What do the two parts show?
Part A is the tax-deduction certificate generated from TRACES. It carries the employer’s PAN and TAN, the employee’s PAN, the tax deducted in each quarter, and the challans through which that tax was deposited. Part B is the computation of salary: gross salary, exemptions, and the deductions the employer has given effect to. How this certificate differs from Form 16A is on the Form 16 and Form 16A page.
Is it issued when no tax was deducted?
The duty to issue Form 16 arises where tax was deducted under section 192. An employer who deducted no tax is not required to issue the certificate, though the employer may still give a salary statement. Gross income above ₹2.5 lakh is not the test. That figure is an old exemption limit, and it does not decide assessment year 2026-27.
Does it replace the return?
No. The employee uses Form 16 to prepare the return. The tax deposited by the employer should also appear in Form 26AS. Income that Form 16 does not contain is still offered in the return if it is taxable. The return itself is filed on the income-tax return page.
Frequently asked questions
Four questions cover 31 July, the old exemption, Form 16A, and the return.
Is Form 16 due on 31 July?
No. The employer issues it by 15 June of the financial year after the year in which the salary was paid and the tax was deducted.
Does income above ₹2.5 lakh decide the form?
No. The form follows deduction of tax under section 192. The old ₹2.5 lakh figure is not the test for assessment year 2026-27.
Is Form 16 the same as Form 16A?
No. Form 16 is the annual salary certificate. Form 16A is the quarterly certificate for tax deducted from a payment other than salary.
Can the employee file the return without it?
The return is still the employee’s filing. Form 16 is the employer’s certificate of salary and of the tax deposited. The credit also appears in Form 26AS.
Sources
Form 16 is the certificate under section 203 for tax deducted under section 192. Rule 31 of the Income-tax Rules requires the employer to issue it by 15 June. Part A is generated from TRACES.