What is the difference between Part A and Part B of Form 16?

Part A shows the total tax deducted (TDS) and deposited with the government. Part B provides the detailed breakdown of your salary, allowances, and deductions.

Why does my Form 16 show zero tax deducted?

If your total income was below the taxable limit (e.g., under ₹12 lakhs in the new regime for AY 2026-27), your employer is not required to deduct TDS. You should still file your ITR.

How to Read Form 16 Part A and Part B Like a Pro

Decode your Form 16 easily. Understand what Part A and Part B contain, how to check your TDS details, and where to find your salary breakdown for ITR.

Demystifying Your Tax Certificate

Your employer just emailed you a PDF with a lot of numbers and tables. This is your Form 16, the most important document for filing your Income Tax Return (ITR).

While it looks intimidating, reading a Form 16 is simple once you know where to look. It is divided into two main sections: Part A and Part B.

Part A: The TDS Summary

Part A is generated by the government's TRACES portal, not your employer's payroll software. It is proof that the tax deducted from your salary actually reached the government.

Key things to check in Part A: 1. PAN and TAN: Ensure your PAN is correct. Also, note your employer's TAN (Tax Deduction and Collection Account Number), which you'll need for your ITR. 2. Assessment Year: Make sure it's for the correct year (e.g., AY 2026-27 for income earned between April 2025 and March 2026). 3. Summary of Tax Deducted: This table shows how much TDS was deducted each quarter. The "Total Tax Deposited" amount should match the TDS credit shown in your Form 26AS.

Part B: The Salary Breakdown

Part B is prepared by your employer. It details how they arrived at the TDS amount in Part A. This is the section you'll use to fill out your ITR.

Key things to check in Part B: 1. Gross Salary: This is your total earnings before any exemptions. 2. Exempt Allowances (Section 10): This lists allowances that are not taxed, such as HRA (House Rent Allowance) or LTA (Leave Travel Allowance). 3. Standard Deduction: A flat deduction (₹75,000 in the new regime or ₹50,000 in the old regime) subtracted from your salary. 4. Deductions under Chapter VI-A: If you opted for the old regime, this section lists your 80C (EPF, LIC), 80D (Health Insurance), and other investments. 5. Net Tax Payable: The final tax calculated on your income, which should match the total TDS deducted in Part A.

What If You Find a Mistake?

If your PAN is wrong, or the TDS amount in Part A doesn't match your payslips, contact your HR or payroll department immediately. They will need to file a revised TDS return to correct the error.

Part A vs Part B at a glance

Section	Who prepares it	What it proves
Part A	TRACES (government)	TDS deducted and deposited each quarter
Part B	Your employer	Salary, exemptions and deduction breakdown

Employers must issue Form 16 by 15 June following the financial year, and the standard deduction baked into Part B is Rs 75,000 in the new regime. Source: Rule 31 of the Income Tax Rules; Finance Act 2024.

What you should do

Confirm your PAN, the employer TAN and the Assessment Year on Part A
Match the Part A "Total Tax Deposited" against your Form 26AS
Use Part B figures (gross salary, Section 10 exemptions, deductions) to fill your ITR
Flag any mismatch to payroll before you file

Common mistake

Assuming zero TDS means you need not file. Form 16 can show nil tax when income is below the limit, but you still file to claim refunds or report other income such as FD interest.

Skip the Manual Data Entry

Typing numbers from Part B into the income tax portal is tedious and prone to errors.

With LastMinute ITR, you don't have to read Form 16 at all. Just upload your Form 16 PDF, and our system will extract your gross salary, exemptions, deductions, and employer details perfectly in seconds.