The deadline to file your income tax for assessment year 2016-2017 nears. At such a time, knowing the amount of tax you need to pay can be helpful. It will help you to assess the financial impact on your income. Also, you will get to know if your employer deducts tax from your salary and if yes, then how much has he/she already deducted. While you can do a number of calculations and ask around for this, you can also use the Form 26AS. But what is Form 26AS? Why will I need it? There are a number of questions around Form 26AS that you can ask. Allow us to tell you everything you need to know about Form 26AS.
Form 26AS – All You Need To Know
#1: What is it?
Form 26AS is a form which tells you about your income and the tax that has been deducted from it till date. In case you do not have a Form 16 to file your taxes, this will help you in doing the same. Also, this will help you provision money from your income towards tax, if you haven’t done so already.
#2: What All Does It Have?
The Form 26 AS contains components such as details on tax deducted and collected, advance tax paid, self assessment tax payments, refunds received by the taxpayer, etc. Using this, you can determine how much tax you will have to pay by the deadline for IT return filing (July 31 is for AY 2016-2017).
Also Read: Withdrawing EPF Money Made Easy
#3: Where Can I Get It?
You can get the Form 26AS from either the TRACES website or via the net-banking facility of your bank. Alternatively, you can log on to the Income Tax Department’s website to get the Form 26AS and it will redirect you to TRACES website.
#4: Why Is It Important?
This form helps you identify any discrepancies in the Form 16 that you receive from your employer. Say, your Form 16 and Form 26AS reflect different TDS amounts. You will only get to know about this discrepancy if you view this form. Otherwise, you will account for a different tax amount that what the IT department will charge you. In essence, it may lead to increase/decrease in financial burden on you when it comes to tax filing. Additionally, you can also through this form the refund you received for previous assessment year.
Form 26AS – Conclusion
Do understand this – if you are in the Income Tax Department’s database, you will always be able to get the Form 26AS. You should always try to get this form to ensure you know how much tax you need to pay for the corresponding assessment year. Don’t rely solely on calculations by another party. Do scrutinise the form thoroughly once you get it. In conclusion, try to be a smart tax payer and if possible, always try to get your hands on Form 26AS.