Refuse to Issue Form-16 from the Employer

send them a legal notice demanding to issue form 16..

Have you got a Permanent Account Number?  If so, you can register yourself with Tax Information Network of NSDL. Once you have registered, you can download Form: 26AS which will give information on TDS for the particular Assessment Year. It will give information regarding the salary paid to you and tax deducted at source. If it is there, you don’t have to worry about Form-16. You can print out the Form 26AS and use it for the home loan. If your employer had not credited tax deducted from you to Government Account or you had not given your PAN to your employer, then the details will not appear in form 26AS. Have you submitted Income Tax Returns for the years? If so give attested copy of the acknowledgement from income tax department as proof of income for the loan.

According to the provisions of section 203, of the Income Tax Act,1961, every person responsible for deducting tax at source is required to furnish a certificate to the payee to the effect that tax has been deducted and to specify therein the amount deducted and certain other particulars. This certificate, usually called the “TDS certificate” has to be furnished within a period of one month from the end of the relevant financial year. Even the banks deducting tax at the time of payment of pension are required to issue such certificates. In the case of employees receiving salary income (including pension), the certificate has to be issued in Form No. 16. However, in the case of an employee who is resident in India and whose income from salaries does not exceed Rs. 1,60,000, the certificate of deduction of tax shall be issued in Form No. 16AA . It is, however, clarified that there is no obligation to issue the TDS certificate (Form 16 or Form 16AA) in case tax at source is not deductible/deducted by virtue of claims of exemptions and deductions. As per section 192, the responsibility of providing correct and complete particulars of perquisites or profits in lieu of salary given to an employee is placed on the person responsible for paying such income i.e., the person responsible for deducting tax at source. The form and manner of such particulars are prescribed in rule 26A, Form 12BA, Form 16 and Form 16AA of the Income-tax Rules.

Clause(2)of Rule 26A says that, the person responsible for paying any income chargeable under the head “Salaries” shall furnish to the person to whom such payment is made, a statement giving correct and complete particulars of perquisites or profits in lieu of salary and the value thereof in,—

Thnx Mr. Ajit for quick reply.

I have no idea how to send them legal notice, Please guide me the process how to send them legal notice. Should I again mail them? ... 

Dear Das, 

The best possible way is to get the print out of the form 26AS, or you an even send the legal notice. 

GUIDANCE PROVIDED BY Dr. MPS RAMANI Ph.D.[Tech] IS THE BEST WAY TO FULFILL THE REQUIREMENTS OF BANK FOR HOME LOAN, PLEASE GO THROUGH THE INCOME TAX WEBSITE AND GET REGISTER YOUR PAN WITH NSDL AT THE TAB E-FILLING RETURNS AND USE THE FACILITY TO OBTAIN FORM 26AS AND ALSO REQUEST TO THE COMPANY TO PROVIDE YOU FORM 16 AS IT IS COMPULSORY TO ISSUE FORM 16 IF ANY TAX HAS BEEN DEDUCTED AT SOURCE BY THE PERSON PAYING INCOME FROM SALARY

You can send the legal notice to your employer and if he doesn’t oblige, you can go to court. But I suggest that at the same time you open a recurring deposit with your bank for a monthly amount equal to the MEI you would have had to pay if you could have availed the loan. And who knows! By the time you get court order in your favour, your recurring deposit may have grown sufficiently that you may not need the home loan. 

Pls see the reply of Asho

Dear Chayandip

You can go to www.incometaxindia.gov.in there in you can see your Form 26AS. Which shows Tax deducted and deposited by the employer to the credit of GOI.

Or

directly go to https://www.tin-nsdl.com/panregistration.asp

The same also works as your proof of income as it shows income earned and teax deducted on that income and date of deposit of Tax with the govt. This is Quick fix solution for Income certificate. But, the employer is under obligation to give you salary certificate in Form 16. you should pursue them and send them notice with Registered Post with AD askign for salary Certificate in Form 16.

VKDwivedi