Deduction 80D Mediclaim, With Automated 50 employees Master of Form 16 Part B for F.Y.2015-16

The person who paid medical insurance premium himself or spouse or parents or depended children can claim the deduction from total income of the person as per the instructions given below. We will discuss here the complete detail about deduction under section 80D for the A.Y. 2016-17 and A.Y. 2015-16

Download 50 employees Master of Form 16 Part B for Financial Year 2015-16 [This Excel Utility can prepare at a time 50 employees Form 16 Part B for F.Y.2015-16]

Who can claim deduction under section 80D?

Individual and HUF assesee can claim the deduction under section 80D for any medical insurance premium known as MEDICLAIM.


How much deduction is allowed under section 80D?

1) In case of an individual, the maximum deduction is allowed is Rs.15000 (Rs.20,000 in case any person insured is a resident senior citizen 60 years or above.) and Rs. 15000 for any parent or parents  (Rs.20,000 in case of resident senior citizen 60 years or above).


2)  In case of HUF, the maximum deduction is Rs. 25,000 (Rs. 30,000 in case any person insured is a resident senior citizen 60 years or above).

Conditions Related to Deduction under section 80D

1)   You must note here that the deduction is allowed only if the payment is made from your own income during the pervious year.

2)   Any premium for health insurance or CGHS shall be made by any mode except cash. However, cash payment shall be accepted if paid during preventive health check-up.

Table Showing Total Deduction Allowed under section 80D

Persons Assessee, Spouse and Dependent Children Parents (Whether Dependent or Not) Total Deduction
Person less than age of 60 years 25000 25000 50000
Person Less than age of 60 years and parents above age of 60 years 25000 30000 55000
Person above age of 60 years and parents above 60 years 30000 30000 60000

The main and important point of Deduction for Medical Insurance Premium (MEDICLAIM) under section 80D is that, it does not included in deduction under section 80C (Rs.1,50,000 in total).

In simple words, you can get deduction under section 80D extra over section 80C.

Tax Planning Through MEDICLAIM (Medical Insurance Premium) Under Section 80D

So it is good strategy to pay your medical insurance premium yearly for you, wife/husband, children and parents. The premium is deductible u/s 80D up to a maximum of Rs. 25,000 (Rs, 30,000 if person insured is 60 years or more).

The other thing you must note that medical insurance premium paid for parents having more benefits. The benefits to get health insurance policy for the parents are care of your parents and getting extra Rs.25,000 deduction under section 80D (Rs.30,000 if any parent is 60 years or more). It is immaterial that parents are depended or not.


Joint Home Loan can Tax benefits in Income Tax U/s 80C and 24B, with Automated Master of Form 16 Part B with 12 BA for F.Y.2015-16

Download Automated Master of Form 16 Part B with 12 BA [ This excel based utility can prepare at a time 50 employees Form 16 Part B with 12 BA for A.Y.2016-17]


What is a joint home loan?

A joint home loan is a loan which is taken by more than one person.

Terms associated with Joint home loan?

Coowner: means a person who has a share in the property.

CoBorrower: A co-borrower is a person with whom you take the home loan jointly. In India, a home loan can have upto 6 co-borrowers. Usually a joint home loan is taken by spouses, or parent and child. You cannot take a home loan jointly with your friend or colleague or an unmarried partner. Usually banks insist co-owners to be co-borrowers of the loan. However, the reverse is not necessary.

Tenure of the loan: Period for which loan is taken

Documentation: A joint home loan requires both the applicants to furnish the necessary Know Your Customer documents. This includes address proof, ID proof, income proof and the bank statements of both the applicants, as well as the proof of co-ownership of the property.

Repayment: Although the loan is taken by more than one person, the EMI payment can be made fromonly one bank account which can be single or joint account of one of the borrowers. The borrowers can choose to share the number of EMIs between them in the whole year.

Who can be the co-borrower?

The rules says any six persons can take home loan jointly, but the banks and institutions have more restrictions co-applicants. The restrictions are as follows:

  • A Joint Home Loan can be taken by Husband and Wife or Parent and Child.
  • Friends cannot take Joint Home Loans.
  • In some case brothers are allowed to take the Joint Home Loans.

Tenure of loan depends on the co-borrowers.

  • If the co-applicants of the joint home loan are spouses, then the maximum loan tenure can be upto 20 years or 25 years, depending on the housing finance institution.
  • However, in case the co-applicants share a parent-child relationship or are siblings, then the maximum term is restricted to 10 years in most cases. In case of a joint loan taken by a parent and child, if the repayment is linked to the parent’s income, then the maximum loan tenure is restricted to the retirement age of the parent.

Banks insist that, co-owners must be co-borrowers for the Home Loans. It is not necessary that all the co-borrowers must be the co-owners of the house.

What are the liabilities of taking joint home loan?

All co-borrowers are jointly and severally liable to repay the loan.  It does not matter whether the payment is made in the normal course by only one of the joint borrowers as long as the full EMI is paid as per schedule. So if one of the borrowers refuses to pay the loan, has to file for insolvency or passes away, it becomes the co-applicant’s responsibility to settle the loan in full.

And do note that the repayment record on joint loans counts for your CIBIL score. The Credit Information Bureau (India) Ltd maintains information of all individuals’ payments relating to loans. It gives scores to individuals based on their credit history. Irregularity in payment by a partner or co-applicant can impact your eligibility in the future for a loan.

The co borrowers taking the loan should ideally take separate term life covers to reduce the financial burden on the other person(s) in case of their demise.

Also, if you are a co-borrower, you could perhaps draw up and sign an agreement with other co-borrowers (including your spouse) on splitting the liability. This will avoid any clashes in future

What does Tax benefits of Home Loan depend on?

Tax benefits on home loan can be be availed based on following :

  • For constructed house i.e house should NOT be in pre-construction stage. You can seek Tax Benefits only from the financial year in which the construction is complete.
  • Whether loan is taken for first house or house other than first house
  • Whether the house is self-occupied (means you are living in it) or not i.e. given on rent or vacant?
  • You can claim income tax exemption if you are a co applicant in a housing loan as long as you are also the owner or co owner of the property in question. A co-owner, who is not a co-borrower, is not entitled to tax benefits. Similarly, a co-borrower, who is not a co-owner, cannot claim benefits. Before you sign as a co-applicant in a home loan, make sure that you get a right to the property as well. Registering the house in joint names will get you additional tax benefits as mentioned earlier and your share in the property also becomes indisputable.
  • The tax benefit is shared by each joint owner in proportion to his share in the home loan. It’s important to establish the share for each co-borrower to claim tax benefits.
What are the Tax Benefits on taking home loan?

For claiming income tax deduction, the EMI amount is divided into the principal and interest components. The Indian Income Tax Act allows both Principal repayment as well as Interest repayment as eligible deductions from your income Principal can be claimed :

  • Up to the maximum of Rs. 150,000 under Section 80C. This is subject to the maximum limit of Rs 150,000 across all 80C investments such as EPF,PPF,Insurance Premiums etc.  Before FY 2014-15 the limit for 80C was  1.5 lakh.
  • Principal Repayment can be considered as a valid investment under section 80C only if it is made for a self occupied house or you are not living in the house  due to work
  • Interestcan be claimed:
  • As a deduction underSection 24 under the head Income from house property.
  • You can claim up to Rs 200,000 or the actual interest repaid whichever is lower. The limit before FY 2014-15 was 1.5 lakh
  • If the house is given on rent, there is no restriction on the interest amount.
  • There is no restriction ofSelf Occupied Property for claiming the tax break on interest paid under sec 24.
  • Co-owners and Co Borrowers can claim deductions in the ratio of ownership.
  • The certificate issued by the housing loan company, showing the split between principal and interest for the EMI paid, is required for claiming tax benefits.
What are other deductions available on your taking home?

While buying a house you have to pay stamp duty and registration charges. You can claim deduction on these expenses under Section 80C of income tax in the respective year

For self-occupied house you cannot claim deduction on municipal taxes, but for let-out property you can claim deduction for the municipal taxes also on your income from house property.

What are Tax benefits of Joint Home loan For One House?

The repayment of principal amount of the loan can be claimed as a deduction under section 80C up to a maximum amount of Rs 1.5 lakh individually by each co-owner. Before FY 2014-15 limit was 1 lakh.

Each co-owner shall be entitled to the deduction individually on account of interest on borrowed money up to a maximum amount of Rs. 2 lakh.  Before FY 2014-15 limit was 1.5 lakh.

If the house is given on rent, there is no restriction on the interest amount.

The tax benefits are according to the proportion of a loan.That is, if the ratio of the loan is 70:30, then a loan of, say, Rs. 50 lakh will be split into Rs. 35 lakh and Rs. 15 lakh and tax benefits on the interest/principal repaid will also be calculated based on this ratio.

Can you explain it with example?

Suppose Abhi Sharma(income of 6 lakh) and Nita Sharma (income of 4 lakh) have taken a home loan of 20 lakh with 10% interest Rate for 20 years for which EMI is Rs 19,300. For the first year Principal payment is 33,905  and interest payment is Rs 1,98,510. Tax Calculation for the three different scenarios is given below.

Tax Calculation for Abhi
Particulars With individual loan Without home loan 70% year 1 Split(Joint home loan)
Gross Income 6 lakh 6  lakh 6 lakh
Less: Housing Loan interest Sec 24 -1.5  lakh Nil -1.39 lakh
Total income 4.5L 6 lakh 4.6L
Less: Principal repayment -33, 095 Nil -23, 167
Taxable Income 4.2 lakh 6 lakh 4.4 lakh


Tax Calculation for Nita
Particulars With individual loan Without home loan 30% split(Joint home loan)
Gross Income 4 lakh 4 lakh 4 lakh
Less: Housing Loan interest Sec 24 -1.5 lakh Nil -59, 553
2.5 lakh 4 lakh 3.4 lakh
Less: Principal repayment -33, 095 Nil -9, 929
Taxable Income 2.17 lakh 4 lakh 3.3 lakh

Tax calculation for Mrs Sharma

To get the best out of the tax savings as seen with the above example, it is good to let the partner with the higher pay make a higher contribution towards the home loan resulting in a better tax benefit collectively.

Income Tax Exemptions For 2015-16 For Salaried Persons for A.Y.2016-17, with All in One TDS on Salary for Central Govt Employees for F.Y.2016-17

Download the All in One TDS on Salary for Central Govt Employees for F.Y.2015-16 [ This Excel Based Utility can prepare at a time Tax Compute Sheet + Individual Salary Structure + Individual Salary Sheet + Automatic HRA Exemption Calculation + Form 16 Part A&B and Form 16 Part B ]

Income Tax Exemptions and deductions, give you plenty of opportunities to save tax. By using wisely these exemptions and deductions, you can reduce your tax out-go. In this post, I am listing the available exemptions, and deduction under income tax act.

Allowances Exempted Under Section 10 of Income Tax Act

1. House Rent Allowance (HRA)

You get a  job and shift to another city. Because of your job, you live in a different place. You are forced to live in a rented accommodation. The rented flat is not by choice but because of the duty. Hence, the expense on rent is because of your job. You can’t avoid this, even if you wish. Therefore, government  exempt the rent from income tax. However, your employer must pay the   house rent allowance.

Click here to Download and Calculate your House Rent Exemption U/s 10(13A)

Leave Travel Allowance

LTC or LTA is exempted if the same is actually spent

Transport Allowance

You daily go to your office or workplace from you house. You also spend on the local transport. This expenditure is also forced upon you. Therefore, the government has exempted transport allowance from the income tax, provided your employer gives you the transport allowance. You don’t need to give any receipt of this local travel. However, the tax exemption is Rs 1600/month and for Phy. Disable Persons can get Rs.3200 Per Month.

Children Education Allowance

Children Education allowance in also exempted from income tax. Your employer must give this allowance for availing the tax exemptions. It is Rs. 100 per month per child up to a maximum of 2 children.

Hostel Subsidy

This is another tax exemption related to your child’s education. It is Rs. 300 per month per child up to a maximum of two children.

Other Allowance Eligible For Income Tax exemptions

Uniform Allowance, Special Compensatory Allowance, High Altitude Allowance, allowances applicable to North East, Compensatory Field Area Allowance, Counter Insurgency Allowance, High Active Field Area Allowance, island duty allowance, tribal allowance etc. These allowances are tax-free, but you need to produce the proof of the actual expense in some cases.

Income Tax Exemption on Interest Paid on Housing Loan U/s 24B

This Exemption  is also related to your accommodation because of the job. After shifting to a different place, you may opt  for your own house instead of rented accommodation. If you take  home loan for the house, the interest payment is  tax exempted. You can get maximum exemption of  Rs 2 lakh on  housing loan interest.  There are some conditions for this exemption.

The house should be self-occupied. You may get this exemption if your home is under  construction. however the  construction should complete within 3 years.

Tax Deduction Under Section 80C, Max limit Rs.1.5 Lakh

The Government wants to encourage some certain types of investments and expenses. To achieve this goal it gives the benefit of tax deductions. There are many investments and expenses under section 80C, 80CCC and 80CCD. However, the total deductions under this section are limited to Rs 1.5 lakh.

  • Employee Provident Fund
  • Pension/ Annuity Schemes
  • Life insurance premium
  • Tax Saving mutual fund (ELSS)
  • Home loan principal payment
  • Sukanya Samriddhi Account
  • Tuition fees of children
  • PPF Account Contribution
  • National Saving  Certificate
  • Tax-saving fixed Deposit
  • Post office time deposits

Section 80CCC: Deduction For Annuity Plan

You can also get a deduction for the annuity plan of insurance companies. There are some limitations on this deduction.

  • You can’t contribute more than 10% of your salary or gross income.
  • You can’t enjoy the deduction of more than Rs 1.5 lakh in a year.

Section 80CCD(1) :  Contribution For Pension Plan

Similar to annuities, contribution in pension plans is also eligible for tax deduction. For example contribution to National Pension Scheme (NPS) will get deduction benefit under this rule.

It is also limited to 10% of salary or 10% gross income (if not salaried).

Section 80CCD(2): Contribution To Pension Plan By employer

This section gives you extra tax saving opportunity. If your employer contributes into your pension plan, it would be also tax-free. This contribution does not come under the overall limit of 1.5 lakh.

You can ask your employer to contribute 10% of your salary into your pension plan. It will not affect your employer financially, but you would be able to save some more tax.

Deductions Under Chapter VIA of Income Tax Act

Section 80CCG: Rajiv Gandhi Equity Saving Scheme (RGESS)

This scheme also gives you the extra tax saving. To avail this benefit, you must be the first-time investor in the share market. Your annual income should not be more than Rs 10 lakh. You can invest up to Rs 50,000 under this scheme. However, the tax deduction would be available for the 50% of your investment. So, if you invest Rs 50,000, you will get the tax deduction of only Rs 25,000. There is some mutual fund scheme which is designed for RGESS. However, due to the complex rules,  it could not become popular.

Section 80D:  Medical Insurance Deduction

This scheme also gives you a chance to save tax over and above the 1.5 lakh. One must use this tax saving opportunity. In the budget 2015 the government does not change income tax slab, but it has increased the limit for section 80D. Section 80D can give you a tax deduction of up to Rs 65,000. Medical insurance of self, family and parents are eligible for tax deduction under section 80D.

Section 80D: Tax Deduction For Medical Insurance In FY 2015-16

Section 80DD: Deduction For Maintenance of Disable Dependent

Under this section, one can get extra tax deduction of Rs 50,000. To avail this deduction, you must fulfill some conditions.

  1. A person with a disability must be dependent upon you. The disability may be physical or mental.
  2. You must produce a certificate from the doctor.
  3. You must incur the expense of treatment, rehabilitation, nursing and training.

If you deposit any amount in any scheme for the disabled, it would be also eligible for tax deduction.

If dependent person is with severe disability, you can claim deduction up to Rs 1,00,000.

Section 80DDB: Serious Illness Deduction

This deduction is for the treatment of serious illness. An assessee can get an income tax deduction of Rs 80,000 under this section. Amended by the Finance Budget 2015

  1. The deduction is for the expense of illness of self or dependent.
  2. The illness should be within the prescribed list.
  3. There should be real expense. Any reimbursements of insurance claims should be subtracted.
  4. You must give a certificate from the government doctor.
  5. For senior citizens this deduction limit is Rs 80,000.

Section 80E: Deduction on Loan for Higher Studies

Like the home loan interest, one can also claim income tax deduction for education loan interest.

  1. You must take education loan from a financial institution.
  2. You can avail this tax deduction maximum of 7 years.
  3. You can take the benefit of this deduction only for the higher education.
  4. You can take this benefit only for the education of self, spouse or children. If you are the legal guardian of a student, you can also take this benefit.

Section 80G: Deduction for Donations

The donations specified in Section 80G are eligible for deduction. The deduction may of 100% of donation or 50%, It depends upon the type of receiver.

Section 80GG: Deduction on House Rent Paid

This deduction is for those, who don’t get the house rent allowance from their employer. Such person can avail this deduction according the specified rules.

Deduction is the least of

  1. Rent paid less 10% of total income
  2. Rs. 2000/ month, i.e. Maximum Deduction available is 24,000.
  3. 25% of total income

There are some conditions for this benefit.

  • Assessee or his spouse or minor child should not own residential accommodation at the place of employment.
  • He should not get a house rent allowance (HRA).
  • He should not have self occupied residential premises in any other place.

Section 80TTA: Saving Account Interest Deduction

Interest earned on a saving account is not added in taxable income, if it is less than Rs 10,000 in a financial year.

Section 80U: Deduction For Disabled

Under section 80U a person with disability gets extra deduction from his/her taxable income. Such person can deduct Rs 75,000 from the taxable income. In case the disability is severe, the deduction is up to Rs 1,25,000. To avail this deduction one should obtain a certificate from the government doctor.

Master of Form 16 Part A and B (Prepare at a time 100 Employees Form 16 Part A and B for F.Y.2015-16),with Income Tax Deductions under section 80 As per Budget 2015

Download Master of Form 16 Part A&B which can prepare at a time 100 employees Form 16 Part A&B for Financial Year 2015-16 and Assessment Year 2016-17 [ This Excel Utility can use both of Govt and Non-Govt Concerned and this utility have prepared as per the Budget 2015 with all amended Income Tax Section ]

Some of the Concerned can not able to download the Form 16 Part A from the Traces Portal, they can use this Form 16 Part A&B both in a single file] uunder section 80 As per New Budget 2015, with Arrears Relief Calculator with Form 10E and HRA Exemption Calculator

Section 80C (Individual & HUF)

In all, total deductions under section 80C, 80CCC and 80CCD (1) cannot exceed Rs 1.50 lakh for the current assessment year. Which means total investments, expenses and payments up to a limit of Rs 1.50 lakh are eligible for tax deductions mentioned in the above mentioned sections. These sections cover many savings schemes like National savings certificates (NSCs), Public Provident Fund (PPF) and other pension plans, life insurance premiums, government bond investments. Here’s a section-wise breakup of deductions and exemptions available under the above mentioned codes:

Section 80CCC (Individual)

This section provides tax deductions under any investments made in an annuity plan or Life Insurance Corporation (LIC) or pension received under funds mentioned in Section 10(23AAB).

Section 80CCD (1) (Individual)

The deductions under this section are aimed at encouraging people to save. These deductions are allowed to people who avail the National Pensions savings scheme (NPS). Under this an individual can avail a deduction of up to 10 percent of his/her salary or Rs 1.50 lakh whichever is lower, if the person is employed or the lower of Rs 1.50 lakhs or 10 percent of gross income, if the individual is self employed.

Section 80CCD (2) (Individual)

This is applicable in case of employer’s contribution. Maximum deduction of 10% of salary.

Section 80CCD (1B) (Individual)

For financial year 2015-16 or assessment year 2016-17, this new section provides for additional tax deduction for amount contributed to NPS of up to Rs 50,000. So for AY2016-17, total deductions under Section 80 are available up to Rs 200,000.

Section 80D (Individual & HUF)

Download Arrears Relief Calculator U/s 89(1) with Form 10E

Deduction up to Rs.25,000 for self, spouse and dependent children and separate deduction of Rs.30,000 for parents is allowed for premium paid towards medical insurance.

Section 80DD (Individual & HUF)

Deduction of expenses incurred on medical treatment of Dependent Relative is fixed at   Rs.75,000 for 40% disability and Rs.1,25,000 for severe i.e. 80% disability. Claimant is required to furnish certificate of disability from prescribed authority.

Section 80DDB (Individual & HUF)

Deduction in respect of specified disease for self or dependent relatives is allowed lower of Rs.60,000 or actual amount paid. This deduction amount increases to Rs.80,000 in case of senior citizen.

Section 80E (Individual)

Deduction is also available on interest outgo on education loan for higher studies. This loan could be taken by the assessee, spouse or children or a student for whom the assessee is a legal guardian.

Section 80G (All Assessee)

Donations given to various specified institutions and organizations are allowed to be deducted from your income. The deductions are segregated under two categories i.e. 100% or 50% but cash donations exceeding Rs.10,000 is not allowed to claim.

Section 80GG (Individual)

Download House Rent Exemption Calculator U/s 10(13A)

A deduction on house rent paid is available to those who are not paid house rent allowance (HRA) by the employer. An individual, spouse or minor children shouldn’t own a home at the place of employment of the assessee to claim this deduction.  Neither the assessee should have a self-occupied residence at any other place. The deduction available is limited to: rent minus 10% of total income or 25% of total income or Rs 2000 (whichever is lower).

Section 80TTA (Individual & HUF)

Any interest earned (up to Rs 10,000) on your deposits in a savings bank account, co-operative society or post office is tax deductible.  This excludes fixed deposit interest income.

Section 80U (Individual & HUF)

Physically Disabled persons can claim deductions under 80U of Rs.1,00,000. Assessee is required to obtain certificate from Government Doctor.

                  Tax Rebate under section 87A

While tabling Union Budget 2013, Finance Minister had introduced a new section 87A to help individual taxpayers in lowering the tax outflow from their pocket.

However, the tax rebate benefit had not been made available to all taxpayers but restricted to only Individual Taxpayers and that too for only Indian citizens irrespective of being male or female.

Further, the tax rebate could be cherished only by individual taxpayers having the Net Total Income below Rs.5 lakhs. Since there are no proposed changes to tax rebate available under section 87A in the budget 2015, it will continue giving benefit to the medium class taxpayers post budget. Thus, tax rebate under section 87A is available for Assessment Year 20161-7 i.e. Financial Year 2015-16

As per Budget 2015 Guess your Tax Liability for the Financial Year 2015-16 and Ass Year 2016-17 with TDS on Salary All in One for Govt and Non Govt employees for FY 2015-16

Download the All in One TDS on Salary for Govt & Non Govt employees for Financial Year 2015-16 and Assessment Year 2016-17 [ This Excel Based Software can prepare at a time Tax Compute Sheet + Automatic HRA Calculation + Automatic Arrears Relief Calculation with Form 10E + Automatic Form 16 Part A&B and Form 16 Part B for A.Y.2016-17]

As per the Central Finance Budget 2015, it is clear that the Tax Slab have not changed, but some of the limit of Tax Section has hike and one more deduction has include U/s 80C in the name of Sukanya Samriddhi Account.

 As the financial Year 2015-16 and Assessment Year 2016-17 is just now started and the Advance Tax will be paid for this financial year very shortly. So it is necessary to calculate your Tax Liability

for the Financial Year 2015-16.

 Most of the tax changes is given below for the Financial Year 2015-16 :-
  1. Section 80D is hike the max limit Rs. 25,000/- for below 60 years and Rs.30,000/- for Sr.Ctzn.
  2. Section 80U has raised the Max limit Rs. 25,000//-
  3. Section 80DDB hike the Max Limit Rs. 80 thousand
  4. Section 80 the Travelling Allowances has hike the Max Limit Rs. 19200/- P.A.
  5. Section 80CCC has hike the Max Limit Rs. 1.5 Lakh as the previous year’s was Rs. 1 Lakh

The has prepared a Excel Based Advance Tax Calculator for Govt and Non Govt employees for the Financial Year 2015-16 and Assessment Year 2016-17 with the Automated Arrears Calculator with Form 10E since FY 2000-01 to 2015-16 and Automated House Rent Exemption Calculation U/s 10(13A). This Excel Utility can use both are Govt and Non-Govt employees with Salary Structure.

Main Input Sheet

Salary Structure 

Tax Compute Sheet

Download the All in One TDS on Salary for Govt & Non Govt employees for Financial Year 2015-16 and Assessment Year 2016-17 [ This Excel Based Software can prepare at a time Tax Compute Sheet + Automatic HRA Calculation + Automatic Arrears Relief Calculation with Form 10E + Automatic Form 16 Part A&B and Form 16 Part B for A.Y.2016-17]

Mandatory to download Salary certificate Form 16 Part A from the Traces Portal vide CBDT Circular No.4/2013 with Automated Form 16 Part B for FY 2014-15

                                                                                                                   CIRCULAR NO. 04/2013

F.No 275/34/2011-IT(B)

Government of India

Ministry of Finance

Department of Revenue

Central Board of Direct Taxes

                                                                                                               New Delhi, the 17th April, 2013

Sub: Issuance of certificate for tax deducted at source in Form No. 16 in accordance with the provisions of section 203 of the Income-tax Act, 1961 read with the Rule 31 of the Income-tax Rules 1962 — regarding :-

1. Section 203 of the Income-tax Act 1961 (“the Act”) read with the Rule 31 of the Income-tax Rules 1962 (“the Rules”) stipulates furnishing of certificate of tax deduction at source (TDS) by the deductor to the deductee specifying therein the prescribed particulars such as amount of TDS, valid permanent account number (PAN) of the deductee, tax deduction and collection account number (TAN) of the deductor, etc. The relevant form for such TDS certificate is Form No. 16 in case of deduction under section 192 and Form No. 16A for deduction under any other provision of Chapter XVII-B of the Act. TDS certificate in Form No. 16 is to be issued annually whereas TDS certificate in Form No. 16A is to be issued quarterly. TDS Certificate in Form No 16 as notified vide Notification No. 11/2013 dated 19.02.2013 has two parts viz Part A and Part B (Annexure). Part A contains details of tax deduction and deposit and Part B (Annexure) contains details of income.

Download the Automated Salary Certificate Form 16 Preparation Excel Based Software for the Financial Year 2014-15 from below link

1)Automated One by One preparation Form 16 Part B  FY 2014-15      ( Click to Download)

2)Automated One by One preparation Form 16 Part A&B  for FY 2014-15  ( Click to Download)

3)Automated at a time 50 employees Form 16 Part B For FY 2014-15 ( Click to Download)

4)Automated at a time 50 employees Form 16 Part A&B For FY 2014-15(Click to Download)

5)Automated at a time 50 employees Form 16 Part B with Form 12 BA For FY 2014-15 ( Click to Download )

6)Automated at a time 100 employees Form 16 Part B For FY 2014-15(Click to download)

2. With a view to streamline the TDS procedures, including proper administration of the Act,

the Board had issued Circular No. 03/2011 dated 13.05.2011 and Circular No. 01/2012 dated 09.04.2012 making it mandatory for all deductors to issue TDS certificate in Form No. 16A after generating and downloading the same from “TDS Reconciliation Analysis and Correction Enabling System” or ( (hereinafter called TRACES Portal) previously called TIN website. In exercise of powers under section 119 of the Act, the Board has now decided as following:-


MADE ON OR AFTER 01.04.2012:

All deductors (including Government deductors who deposit TDS in the Central Government

Account through book entry) shall issue the Part A of Form No. 16, by generating and

subsequently downloading through TRACES Portal, in respect of all sums deducted on or after the 1st day of April, 2012 under the provisions of section 192 of Chapter XVII-B. Part A of Form No 16 shall have a unique TDS certificate number.


The Deductor, issuing the Part A of Form No. 16 by downloading it from the TRACES

Portal, shall, before issuing to the deductee authenticate the correctness of contents

mentioned therein and verify the same either by using manual signature or by using digital

signature in accordance with sub-rule (6) of Rule 31.

2.3 In other words, Part A of Form No. 16 shall be issued by all the deductors, only by generating it through TRACES Portal and after duly authenticating and verifying it.
2.4 ‘Part B (Annexure)’ of Form No. 16 shall be prepared by the deductor manually and issued to the deductee after due authentication and verification alongwith the Part A of the Form No. 16 stated above.

2.5 Sub rule (3) of rule 31of the Rules sets the time limit for issuance of Form 16 by the

deductor to the employee. Currently, Form 16 should be issued by 31st May of the financial Year immediately following the financial year in which income was paid and tax deducted.

3.1 The Director General of Income-tax (Systems) shall specify the procedure, formats and

standards for the purpose of download of Part A of Form No. 16 from the TRACES Portal and shall be responsible for the day-to-day administration in relation to the procedure, formats and standards for download of Part A of Form No. 16 in electronic form.

3.2 It is further clarified that Part A of Form No. 16 issued by the deductors in accordance with this circular and as per the procedure, formats and standards specified by the Director General of Income-tax (Systems) and containing Unique Identification Number shall only be treated as a valid compliance to the issue of Part A of Form No. 16 for the purpose of section 203 of the Act read with rule 31 of the Rules.


                                                                                                                         (Anshu Prakash)

                                                                                                                        Director (Budget)

                                                                                                             Central Board of Direct Taxes

Download Tax Compute Sheet + Salary Sheet + HRA Calculation + Form 16 Part A&B and Part B for West Bengal Govt employees for FY 2014-15

All in One Income Taxpreparation Excel Based Software for West Bengal Govt employees For Ass Yr2015-16( This Excel Utility can prepare at a time your Tax Compute Sheet + Individual Salary Structure + Individual Salary Sheet + Automated HRA Calculation + Form 16 Part A&B and Part B)

                      Snapshot of Main Data Input Sheet

  Snapshot of Salary Structure of W.B.Govt employees

                              Snapshot of Salary Sheet

                            Snapshot of Form 16 Part B

                           Snapshot of Form 16 Part A&B

The Financial Year have already started since the 1/4/2014 and which will be end of March 2015. In this Financial year have already passed the New Central Finance Bill and some Income Tax Section introduce to the Income Tax Payers ( All Salaried Persons). It is observed that the Income Tax Slab has  changed up to Rs. 2.5 Lakh and the Section 80C also Raised up to Rs. 1.5 Lakh in this Financial Year 2014-15, Tax Slab For Men and Women is Rs. 2,50,000/- = NIL and 2,00,001 to 10,00,000/- Tax @ 10% and above 10,00,000/- @ 20%.

The New Income Tax Section started from the Financial Year 2013-14 is given below:-

Section 87A Tax Rebate Rs. 2,000/- who’s Taxable Income not more than 5,00,000/-

Section 80EE, House Building Loan Interest who’s HBL interest started since 1/4/2013 Max Rs. 1,00,000/- additional amount of U/s 24 B.

Download the utility from below link.