Form 16 to ITR Parser

⚡ In shortUpload your Form 16 and let AI pull out your salary, TDS and deductions so you can file your ITR faster — free, with nothing stored.

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How it is calculated

The tool reads your Form 16 (Parts A and B), extracts gross salary, exemptions, deductions under Chapter VI-A and the TDS deducted, and lays it out for your ITR. Always reconcile the figures against your AIS and Form 26AS before filing, since those reflect what the department already has on record.

What the two parts of Form 16 actually tell you

Form 16 comes in two parts drawn from different sources, and knowing which is which explains what can and cannot be corrected. Part A shows the tax deducted and deposited against your PAN, quarter by quarter. It is not typed up by your employer — it is generated from the TDS return they filed, through the TRACES system, which is why the figures in Part A are the same figures that appear in your Form 26AS. Part B is the salary statement: gross salary, exempt allowances, the standard deduction, the deductions claimed, and the resulting taxable income and tax. Part B is what populates most of your return. The practical consequence of the split is that an error in Part A cannot be fixed by your employer simply reissuing the certificate; they have to revise the underlying TDS return before the corrected figure appears anywhere.

Two Form 16s in a year need combining, not stacking

Changing jobs during the year produces two certificates, and the most expensive mistake is treating them as independent. Each employer computes tax on the salary it paid, and each will typically have allowed the full standard deduction and the deductions you declared to them, because neither knows what the other paid. Added together, that means more relief has been given than you were entitled to and less tax deducted than was due. In the return the two salaries are combined and the deductions applied once, which is why a job change so often produces a balance payable — sometimes a substantial one. The way to avoid the surprise is to declare your previous salary to the new employer when you join, so that they deduct on the combined figure. Failing that, estimate the shortfall and pay advance tax before 15 March rather than discovering it in July.

Form 16 is not the whole return

Form 16 tells you about salary and the tax your employer deducted, and nothing else. It does not know about savings bank and fixed deposit interest, dividends, capital gains on shares or mutual funds, rental income, or income from freelance work — yet all of those are taxable and most are visible to the department through the Annual Information Statement. Filing straight from Form 16 without opening the AIS is the single most common reason an otherwise honest return attracts an intimation under section 143(1). Interest on a savings account is a particular blind spot: it must be added to income first, and only then is the deduction under section 80TTA available. Treat Form 16 as the starting point for the salary schedule, and the AIS as the checklist for everything the salary schedule does not cover.

Reconcile against 26AS and AIS before you file

The order that avoids most problems is simple. Take salary and deductions from Part B of Form 16. Take the TDS credit you will claim from Form 26AS rather than from Part A, because 26AS is what the department's systems match against — where the two differ, 26AS governs and a claim above it will be disallowed. Then open the AIS and check for income the certificate does not cover. If TDS shown in Part A is missing from 26AS, the employer has deducted but not deposited or has reported a wrong PAN; only they can correct that, by revising their TDS return, so raise it in writing and keep the correspondence. Where time is short, file with the figure that appears in 26AS and file a revised return once the correction flows through, rather than letting the deadline pass while you wait.

When you do not have Form 16

An employer who has deducted tax is obliged to issue Form 16, but companies close, payroll teams lapse, and people leave on poor terms. None of that prevents you from filing. The TDS already appears in your Form 26AS, which is generated from the employer's own return, and salary can be reconstructed from payslips and bank credits. Ask in writing first, by email, so that a record exists — most cases resolve at that point, and the obligation does not end when the employment does. What does not work is waiting: the absence of a document is not treated as a reason for filing late, and the fee under section 234F applies regardless. If the deduction appears in 26AS you can claim it whether or not you hold the certificate, since the credit follows the department's record rather than the paper in your hand.

Form 16 and Form 16A are not the same thing

The names are close enough to cause regular confusion. Form 16 is issued only for tax deducted from salary, by an employer. Form 16A covers tax deducted from everything else — bank and deposit interest, rent, professional or technical fees, commission and contract payments — and is issued quarterly by whoever made the deduction. Someone with a salary and a consulting engagement on the side will receive both, and the two incomes belong in different schedules of the return. A freelancer will generally receive only Form 16A, and often only if they ask, since many payers do not send it unprompted. Both are generated from TRACES, so both reconcile to 26AS. Whether you have received a 16A also tends to indicate whether you can use the simplest return form, since professional or business receipts usually take you beyond ITR-1.

What the new regime changes in Part B

Because the new regime is the default, an employee who made no declaration will find Part B computed under it — and that means 80C, 80D and HRA simply do not appear, which looks like an omission but is not. What does appear is the ₹75,000 standard deduction and, where applicable, the employer's contribution to the National Pension System under section 80CCD(2), which survives in the new regime. The important point is that Part B records the basis on which your employer deducted tax; it does not bind you. You may file under the other regime and claim the deductions you are entitled to, and the difference resolves as a refund or an additional payment. For salaried taxpayers the choice is available afresh each year. Run both computations on your own figures before accepting the regime your Form 16 happens to reflect.

Frequently asked questions

Why do I owe tax after changing jobs mid-year?

Because each employer allowed the standard deduction and your declared deductions on the salary it paid, neither knowing about the other. In the return the salaries combine and the deductions apply once, so relief already given is reversed. Declare your previous salary to the new employer to avoid it.

Can my employer correct an error in Part A?

Not by reissuing the certificate. Part A is generated from their TDS return through TRACES, so they must revise that return before the corrected figure appears in Part A or in your 26AS. Claim what 26AS shows and file a revised return once the correction flows through.

What is Form 16?

Form 16 is the TDS certificate your employer issues — Part A shows the TDS deducted and deposited, and Part B shows your salary breakup and deductions. It is the starting point for filing a salaried ITR.

Do I need Form 16 to file my ITR?

It helps but is not strictly mandatory — you can file using salary slips, your AIS and Form 26AS. Form 16 just makes it faster and more accurate.

Is my Form 16 stored?

No — it is processed in real time to extract the figures and is not stored. Verify the extracted numbers before filing.