How to File Income Tax Return Without Form-16

Income Tax Return (ITR) is a formal process where individuals, businesses and other entities report their total earnings, the taxes they've already paid (TDS), and any tax-saving investments made during a specific financial year. The obligation to file ITR depends upon the income level.

Form-16 is a TDS (Tax Deduction Service) certificate under section 203 of the Income Tax Act of 1961 that indicates income, deductions, and exemptions issued by the employer of a company. For most salaried professionals it is an essential document required to file ITRs, but what if your employer fails to provide form-16 or you’ve switched jobs mid-year?

ITR filing is still possible even if someone does not have form 16. Through this blog, know how to file tax without form 16, the necessary documents involved, and how DigiLawyer can assist you in the process.

Why is it Important to File ITR? 

Filing an ITR is mandatory for salaried individuals, even if you don't owe any extra tax, filing an ITR is incredibly useful and often mandatory: 

• Legal Compliance: If your gross income exceeds the basic exemption limit (currently ₹3 lakh under the New Tax Regime). 
• Tax Refunds: Only way to reclaim excess tax (TDS) deducted by your employer or bank. 
• Loan Approvals: Essential proof of income for Home, Car, or Personal loan applications. 
• Visa Entry: Required by many embassies (US, UK, Schengen) to verify financial stability. 
• Carry Forward Losses: Necessary to offset current stock market or business losses against future profits. 

What are the Cases in which Form-16 is Not Issued? 

An employee may not receive Form 16 if their salary is below the basic exemption limit, and no TDS (Tax Deducted at Source) was deducted. However, there are several other situations where Form 16 may not be issued. 

• If a company goes bankrupt or shuts down suddenly, the HR or payroll department may no longer function. In such cases, employees may not receive Form 16.
• Some small businesses pay workers as a stipend or professional fee instead of a regular salary. In these cases, they may not issue Form 16. 

• Many employers issue Form 16 only once a year (usually by June after the financial year ends). If you leave a company in mid of a financial year, you may need to contact the HR or payroll department and request a form 16, or a salary certificate showing your earnings and TDS details. 
• If you work as a freelancer or consultant, you will not receive Form 16 because it is issued only for salary income. Instead, you may receive Form 16A if TDS was deducted. 
• If you are working directly for a foreign company that does not have a registered entity in India and does not have a TAN (Tax Deduction and Collection Account Number), they cannot deduct TDS under Indian tax laws. In such cases, Form 16 will not be issued. You may need to calculate and pay advance tax yourself, if applicable. 

Step-by-Step Guide to File ITR Without Form16 

Any salaried employee can file their Income Tax Return (ITR) without Form 16. You just need to collect the same information your employer would have included in Form 16 and use it to file your return. 

Step 1 Gather Your Alternate Income Proof 

• Monthly Salary Slips: Total the Gross Salary, Allowances, and Deductions for a financial year. 
• AIS (Annual Information Statement): This is your most critical document. It captures interest from savings accounts, dividends, and even small stock market gains that you might have forgotten. 
• Form 26AS (likely labeled Form 168 in 2026): Download this from the Income Tax portal. It shows all tax (TDS) deposited by your employer under your PAN. 

Step 2: Calculate Your Gross Taxable Income 

1. Total Salary: Sum up Basic salary HRA (after exemption, if applicable), Special allowances, Bonus or incentives and leave encashment (if taxable) from your payslip. 
2. Add Other Income: Include bank interest (from AIS) and any rental or freelance income. 
3. Standard Deduction: Subtract the standard deduction (as applicable for the year) or professional tax (if applicable) from total gross salary. 

Step 3: Claim Tax-Saving Deductions 

After calculating your total income, the next step is to reduce your taxable income by claiming eligible deductions. Deductions help lower the amount of income on which you pay tax. 

This includes: Premiums, Health Insurance Premiums or Home loan interests 

Step 4: File and E-Verify 

1.Log in to the Income Tax e-Filing Portal. 

2. Select the correct assessment year. 

3. Choose the correct form: 

ITR-1 (Sahaj)- For salaried individuals with simple income

ITR-2 -If you have capital gains, multiple properties, etc.

4. Enter your calculated figures manually. 

5. Verify TDS from Form 26AS. 

6. E-Verify: Use Aadhaar OTP or Net Banking to verify within 30 days. Without verification, your ITR is invalid.

Documents Required to File ITR without Form 16 

If you don't have Form 16, you can file a perfectly accurate return by gathering the following alternative documents.   

1.Salary Slips 

Collect all salary slips for the financial year. These help you calculate: 

• Total salary received 
• Allowances (HRA, special allowance, etc.) 
• TDS deducted 

If you don’t have them, request a salary statement from HR. 

2. Form 26AS 

This is important to verify tax payments. This contains information such as : 

• TDS deducted by employer or bank 
• Advance tax paid 
• Tax refunds (if any) 

3. Annual Information Statement (AIS) 

AIS shows: 

• Interest income 
• Dividend income 
• High-value transactions 
• Other reported income 

4. Bank Statements 

Bank statements help you check salary credits, calculate savings account interest and track other income received 

If Form 16 isn’t available, your bank statements can help for income proof, tax filing, and loans.  

5. Interest Certificates 

Ask your bank for TDS certificates to calculate taxable income or claim deductions if you have, Fixed deposits, Recurring deposits, Home loans 

 6. Investment Proofs (For Deductions) 

These are needed to claim deductions under the old tax regime. 

• LIC premium 
• PPF contributions 
• ELSS investments 
• Health insurance premium 
• Home loan repayment 
• NPS contributions 

7. PAN and Aadhaar 

This is mandatory for filing ITR. Make sure your PAN is active and PAN is linked with Aadhaar 

Legal Remedies if Form 16 is Not Available 

If your employer fails to issue Form16, you have specific legal rights and procedural remedies to ensure you don't face penalties from the tax department. 

• If an employer deducts TDS, they must issue Form 16. Under Section 272A(2)(g) of the Income-tax Act, the employer is liable to pay a penalty of ₹100 for every day the default continues if they fail to provide Form16. 
• Write a formal letter to your Jurisdictional Assessing Officer. You can find who your JAO is on the Income Tax portal under Quick Links on the ITR website. 

• File an e-Nivaran Grievance : 

1. Log in to the e-Filing portal, go to the Grievances tab, and select Submit Grievance. 
2.  Choose CPC-TDS. 
3.  Select Form 16/16A related. 

• Form 16 is considered a part of your employment records. You can approach a Labour Commissioner or file a civil suit asking the court to order the employer to hand over your tax documents. 

Common Mistakes to Avoid while Filing ITR without Form16 

• Reporting only your current employer's income or claiming the Standard Deduction twice.  
• Claiming TDS that isn't in Form 26AS 
• Claiming deductions not allowed under the chosen tax regime 
• Not Reporting Exempt Allowances Properly like the HRA exemption. 
• Using the wrong ITR form can make your return defective. 

How DigiLawyer Can Help 

Checking months of salary slips and matching them with government records like the AIS can feel confusing and time-consuming.DigiLawyer makes it a simple process by turning your documents into an accurate and notice-free tax filing. 

• Regime Optimization: We run a side-by-side comparison of your data under both the Old and New Tax Regimes to pinpoint exactly which one saves you the most money. 
• Seamless Remote Consultation: You don't need to visit a physical office. Through our Online CA Consultation, you can upload your bank statements and payslips securely, getting your taxes filed by experts from the comfort of your home. 
• Manual HRA & Deduction Support: If you’re filing without Form 16, our experts help you accurately calculate HRA exemptions and verify your 80C/80D proofs. To ensure your HRA claims are legally valid, we assist you in drafting a formal Residential Rent Agreement Online that meets the latest tax department requirements. 
• Notice Protection: By performing a pre-filing audit, we catch discrepancies that usually trigger Section 143(1) notices before you hit submit. 
• Employer Liaison: If your employer has deducted tax but hasn’t deposited it, DigiLawyer’s legal team can help you draft formal notices to ensure your tax credits are secured. 

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