Income Tax Ready Reckoner

Income Tax Ready Reckoner
Income Tax Ready Reckoner
Income Tax Ready Reckoner
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Quick FAQs: What is Form 26 AS?

It is an annual consolidated credit statement issued under Section 203AA of the Income-tax Act, 1961. It contains details of various taxes deducted on your income by deductions: be it your employer, bank, or even a tenant. It also contains details of any advance tax or self-assessment tax that you may have paid during the year. Apart from that, details of tax collected at source (TCS) are also mentioned in this statement. It will also state details of any income tax refund received from the tax department during the relevant financial year.

Apart from this, it also reflects details of Annual Information Return (AIR), which is filed by different entities based on what an individual has invested or spent, mostly high-value transactions. So, if the total amount deposited in a savings account exceeds Rs 10 lakh, the bank will send an AIR. The same goes if more than Rs 2 lakh is invested in a mutual fund, or more than Rs 2 lakh is spent on a credit card.

What is Form 16?

Income Tax Form 16 is a certificate from your employer, which certifies that TDS has been deducted on your salary by the employer. If an employer deducts TDS on salary, he must issue income tax Form 16 as per tax rules of India. Form no 16 is issued once in a year, on or before 31st May of the next year immediately following the financial year in which tax is deducted.

What is Form 16A?

Form 16A is also a TDS Certificate and is applicable in case where income is from sources other than salary. For instance, Form 16A is issued when a bank deducts TDS on your interest income from fixed deposits or for TDS deducted on insurance commission and other such sources of income. All details that are there in Form 16A are available on Form 26AS. This can be used to file your return.

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