Form 16 VS Form 16 A VS Form 16B VS Form 16C: Key Differences

Several times people get confused with Form 16 Part A with Form 16 A, form 16, Part B with Form 16 B. But, all forms are different and serve different purposes. Form 16 is a crucial document for salaried employees and employers. Form 16 consists of two parts Part A and Part B. Form 16 A, Form 16 B, and Form 16C are the certificates of tax deduction depending on specified non-salary transactions.  

In this article, you will get a comprehensive guide and learn the differences among Form 16, 16A, 16B, and 16C.

What is Form 16?

Form 16 is a certificate of Tax deducted at Source (TDS) issued by the employer according to the provisions of the Income Tax Act, of 1961. It acts as a proof of tax deduction from the salary incomes of employees. It is related to the income certificate and TDS certificate issued to individuals with a salary.

There are two types of Form 16:

Part A: Part A contains the details of the employer and employee such as name, address, PAN and TAN details of the employer, duration of employment, and TDS deposited to the government. Form 16 Part A should be downloaded and generated through the TRACES portal.

Part B: It is an annexure of Form 16 Part A which contains the details of salary paid, deductions under the Income Tax Act, the payable or refundable income, and other incomes. Thus, it outlines the details of salary break-up and deductions approved.

• Relief under section 89
• A detailed breakdown of your income
• Information about the deductions available under Chapter VIA of the Income Tax Act
• The net income tax that is payable or refund amount
• Any other income declared by you to your employer
• TDS

What is Form 16A?

Form 16 A is a certificate of tax deduction at source, issued on deduction of tax. This certificate is issued by the tax (TDS) deductor to the recipient for the payment received other than salary income. It gives the summary of the payments of TDS for the quarter.

What is Form 16B?

Form 16 B is a TDS certificate for the sale of an immovable property issued by a purchaser or a deductor to a seller. It is useful for the buyer of an immovable property. This certificate is issued to the seller, under section 194IA of the Income Tax Act of 1961. The buyer of the property deducts TDS at the rate of 1% to make a payment to the seller. The taxpayer will be able to verify the total amount of tax deduction for purchasing a property.

What is Form 16C?

Form 16C is a TDS certificate for the rent of property under section 203 of the Income-tax Act of 1961. This certificate is issued by the Individual or HUF of payment. When the earning from the rent crosses Rs. 50,000/- or more, this TDS deduction is mandatory. The person must issue this form within 15 days from the due date of filing the challan.  The individual or HUF pays the rent amount of 5% on the TDS deduction.

The Key differences among Form 16, 16A, 16B and 16C?

Here are the key differences among Form 16, 16A, 16B and 16C:        

Conclusion

Throughout this article, you have learned the meaning and the differences among Form 16, 16A, 16B and 16C. If you want to file any of these forms, Contact Online Legal India. They have experts to guide you.

Frequently Asked Questions (FAQs)

Q1) I am unable to download Form 16 /16A as the number of PANs for which Form 16/16A were submitted was higher, however, the PDFs generated were fewer. What should I do?

Ans: You should verify your PAN number.

Q2) How to verify the authenticity of Form 16/16A/16B/16C online?

Ans: You must verify the authenticity of Form 26A, and Form 26S contains all the paid taxes.

Q3) How Can I Get My Form 16A/16B/16C?

You cannot get the form directly from the Income Tax department. You need to request a copy of your form from the Income Tax department of India.