Form 16 is a certificate issued by an employer to all his employees for a particular financial year at the end of the said year reflecting the total salary paid and amount of tax deducted ('TDS') during the year. It also contains the details of your Salary, Other Incomes and Tax benefits available and availed by you in last financial year. It has detailed information about the manner of calculating income as per the income tax laws and tax payable on it.
Form 16 as a document has two parts
Part A: contains details of employee and employer
Part B: Has a statement which shows total salary income, deductions, and tax deposit
This video will help you to understand how to generate Form 16 on greytHR.
On greytHR generating form, 16 is super easy. All you need to do:
1) Upload your part A to the greytHR application 2) Verify and generate Form 16 Document using greytHR 3) Sing it digitally and publish it to your employees
Prerequisite to generate Form 16 on greytHR
- Ensure all your employee salary details and income tax details are updated correctly.
- Ensure there is no mismatch in the employee PAN numbers to avoid error while uploading the form 16 part A to the greytHR application, you will also an alert message on top of the screen if any employee PAN is not updated. Click on the alert to know the employee details.
- Ensure the perquisite components are mapped for Form 12 BA, if not click here and map the perquisite item and click on Save.
- Most important, make sure you have downloaded the Form 16 Part A files of your employees from TRACES and the same is saved in your system in a PDF format without renaming the original file name.
- And click on settings and choose the appropriate options as per requirement for Form 16.
Form 16 FAQ
Note: Part A should be downloaded without the digital signature from the TRACES website & Ensure you download the greytHR digital signer latest version (4.0).