Kind 12B is required to be furnished as per Rule 26A by an individual becoming a member of any organisation in the midst of the yr and is a type for furnishing the small print of earnings earned from the earlier employer. It’s a type required to be submitted by the brand new worker to the employer and requires particulars like
- Particulars of your earlier employer like his PAN No., TAN Quantity,
- Break up of Wage like Primary Wage + DA, Perquisites, Home Lease Allowance, Depart Encashment, Depart Journey Allowance and so forth.
- Deduction and accreditation with respect to Provident Fund and particulars of Lease Free Lodging (if any)
- Deductions if any beneath Part 80C, Part 80G, Part 80E, Part 80D, Part 24
- TDS on Wage deducted by the earlier employer
- Skilled Tax (if any) paid by the worker
These particulars in Kind 12B are required to be furnished based mostly on the Wage Slip and the Kind 16 issued to you by your earlier employer. Kind 12B is required to be furnished even when no TDS was deducted by your earlier employer as a result of the wage was lower than the fundamental exemption restrict as per the Earnings Tax Slabs. It’s fairly doable that after combining your present and former wage, your complete wage is chargeable to tax. An extract of the specimen copy of Kind 12B is enclosed herewith and the total copy might be seen at http://regulation.incometaxindia.gov.in/DITTaxmann/IncomeTaxRules/pdf/itr62Form12B.pdf
Kind 12B shall be verified and signed by the worker and based mostly on these particulars furnished by the brand new worker, the employer issued a Consolidated Kind 16 on the finish of the yr.
Though furnishing Kind 12B & Kind 16 isn’t necessary as per the Earnings Tax Act, it’s advisable for each worker to furnish these particulars to the brand new employer or else you’ll be required to self-compute your taxes and accordingly file your Earnings Tax Return.If these particulars are furnished to the brand new employer, it turns into the legal responsibility of the brand new employer to deduct TDS on complete cumulative wage acquired from the earlier employer and the brand new employer and deposit the identical with the Govt., thereby lowering the legal responsibility of the worker to do that himself.