TRACES - TDS Reconciliation Analysis and Correction Enabling System
Harit Aaykar
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What are the guidelines for an employer to deduct TDS and issue Form16?

    Following are the guidelines for an employer to deduct TDS and issue Form 16:
  • Make mandatory for all the employees to declare previous salary, investment proofs and TDS details, if any
  • Employer has to consider the declaration before deducting TDS from salary
  • Fill Annexure II for all employees who work or worked for any period of time during the current financial ye
  • Issue Form 16 to all the employees
  • It is the duty of an employee to provide valid PAN. If employee has worked with more than one employer in a financial year, employee should declare previous salary and TDS detail, if any, with the current employer