Meaning & Definition

form 16

Form 16 is a certificate issued by an employer showing the salary paid and taxes deducted during the financial year. It serves as proof of income and tax payments for the employee and is used for filing income tax returns. Form 16 provides a detailed summary of earnings, deductions, and tax liability, ensuring compliance with tax regulations. It helps employees accurately report their income and claim deductions, supporting transparent and accurate tax filings.