As per the tax department Circular No. 4/2013 [F.No.275/34/2011-IT(B)],
AUTHENTICATION OF TDS CERTIFICATE IN FORM NO. 16:
“Part A & Part B need to reconcile in terms of only tax deducted and deposited and if you match income, it is more preferred.
It is further clarified that Part A of Form No. 16 issued by the deductors in accordance with this circular and as per the procedure, formats and standards specified by the Director General of Income-tax (Systems) and containing Unique Identification Number shall only be treated as a valid compliance to the issue of Part A of Form No. 16 for the purpose of section 203 of the Act read with rule 31 of the Rules.
Part – A of Form No. 16 downloaded from the Traces site contains a unique TDS certificate number. Employers have to necessarily use only the Part A downloaded from the Traces site and can no longer create Part A of Form 16 on their own.”
The deductor, issuing the Part A of Form No. 16 by downloading it from the TRACES Portal, shall, before issuing to the deductee authenticate the correctness of contents mentioned therein and verify the same either by using manual signature or by using digital signature in accordance with sub-rule (6) of Rule 31.
In other words, Part A of Form No. 16 shall be issued by all the deductors, only by generating it through TRACES Portal and after duly authenticating and verifying it.
‘Part B (Annexure)’ of Form No. 16 shall be prepared by the deductor manually and issued to the deductee after due authentication and verification alongwith the Part A of the Form No. 16 stated above. Currently, Form 16 should be issued by 31st May of the financial Year immediately following the financial year in which income was paid and tax deducted.
The income tax department by way of a [Notification No.11/2013/F.No. 142/31/2012-SO (TPL)] (dated 19-Feb-2013) has prescribed changes to the format for Part A and Part B of Form No. 16.<br>Employers should verify the data in Part A before issuing Form No. 16 to employees. The Part A of Form 16, as generated from the Traces site, contains the following information.
- Employee name, employee PAN, employer name, employer PAN and TAN.
- Salary paid, tax deducted, tax remitted, Form 24Q acknowledgement number for the 4 quarters.
- Details of tax remitted (BSR code, date of remittance, and challan serial number).
- Status of challan matching with OLTAS (Final, Unmatched, etc.).
- Details of tax deducted & deposited in Part A of form 16 downloaded from website should match with your part –B.
- In Part – A Salary or amount paid is not taxable salary amount. Taxable salary always differ from actual salary paid
- Part – B should match with your salary annexure filed in 4th quarter
So Part A & Part B need to reconcile in terms of only tax deducted and deposited, as per as income concern only part-b can be considered as final. no need to math with part-a, if you match that is more preferred