Form 16 is a document provided by your employer. It contains details like your taxable income, deductions (like under Section 80C), and the amount of tax already paid.
As per the Income Tax Act, employers must issue Form 16 by 15th June after the financial year ends.
However, if your taxable income is below the exemption limit (Rs. 2.5 lakhs under the old regime or Rs 3 lakhs under the new regime), employers may not provide Form 16 because no TDS is deducted.
Even in the absence of Form 16, you can still easily file your Income Tax Return (ITR) by relying on some other documents. In this article, let’s check out those documents and learn how you can use them to file your return.
Documents to gather in the absence of Form 16
Undoubtedly, filing an ITR is a lot easier using Form 16 as it contains all the necessary details in one place. However, if you have not received it from your employer, you can rely on these alternative documents:
- Salary Slips
Collect all your monthly salary slips. They will help you to determine your total gross salary for the financial year.
- Form 26AS
This consolidated tax statement shows details of tax deducted, collected, and paid during the year. You can download it from the Income Tax Department’s e-filing portal at no additional charge.
- Bank statements
Gather statements from all your bank accounts. This will help you to identify interest, dividends, and income from miscellaneous sources.
- Investment proofs
Collect proofs for investments made under Section 80C (e.g., PPF, NSC, ELSS), Section 80D (medical insurance), and other eligible deductions. Also, pick invoices for all the high-value purchases made from online marketplaces or offline stores.
- Loan statements
If you have a home loan or education loan, obtain the interest certificate from your lender. This will help you to claim deductions under Sections 24 and 80E of the Income Tax Act respectively.
Steps to file ITR without Form 16
After gathering the required documents, you must follow these steps to use them accurately:
Step 1: Calculate your total income
- Add all sources of income for the financial year.
- Use your salary slips to add up the total income from your employer(s).
- If you switched jobs, don’t forget to include all payslips.
- Include income from all your other sources, such as:
- Rental income
- Capital gains (if you sold property or shares)
- Interest earned on fixed deposits with banks or NBFCs.
Step 2: Check TDS details
- Use Form 26AS to check how much TDS (Tax Deducted at Source) was deducted from your income.
- Cross-check with Form AIS (Annual Information Statement) to ensure no income is missed.
Step 3: Check for deductions and exemptions
- Claim deductions for rent paid. If you didn’t submit rent receipts to your employer, you can still claim it while filing.
- If you are filing your return in the old regime, claim deductions under:
- Section 80C (Provident Fund contributions, medical insurance, ELSS)
- Section 80D (health insurance premiums)
- Section 80G (donations)
- Section 80E (interest on education loan), and more.
Step 4: Calculate net taxable income
- Taxable income = Total income (from Step 1) – Deductions (from Step 3).
- This is the income on which tax is calculated.
Step 5: Compute tax liability
- Apply the correct income tax slab rates to your taxable income.
- Calculate your total tax liability.
- Now, compare it with the TDS identified in Step 2:
- If TDS is less, pay the remaining tax.
- If TDS is more, claim a refund.
Step 6: File your ITR
- Use the Income Tax Department’s e-filing portal to file your ITR.
- Enter accurate details and submit proof of deductions.
- After submission, e-verify your return within 30 days of filing.
Conclusion
To file an ITR without Form 16, firstly you must gather the right documents, such as Form 26AS, salary slips, and bank statements. Next, use these documents to calculate your gross total income. Refer to Form 26AS and note down your TDS details.
Claim eligible deductions and reduce them from your gross total income to determine your net taxable income. Apply slab rates and compute your tax liability. Compare it with the TDS details. If the TDS deducted is less than your tax liability, pay the difference. If TDS exceeds your liability, claim a refund.
Finally, file your ITR using the Income Tax Department’s e-filing portal and e-verify it within 30 days.
