Facing TDS Issues with Form 16: Can I Legally Ask My Ex-Employer for Corrections?

Girish_Bangalore
I received my Form 16 from my previous employer, but I found that they did not consider Medical Reimbursement and HRA for tax exemptions. I provided medical bills (which was their mistake not to consider) but forgot to submit rent receipts (which was my mistake) before leaving the job. Now, my previous employer is refusing to update the Form 16. More TDS has been deducted as HRA and Medical exemptions were not considered. Is there any legal way to approach the previous employer to correct the Form 16?
Arun Kumar Maitra
While submitting the IT return, you can recalculate your tax liability by considering the relief available for medical reimbursement and HRA, and show the refund due to you. However, keep documentary proof ready to support your case in case any notice is received from the ITO.
Girish_Bangalore
Thank you, Mr. Arun. I have no refund to claim. I informed my present employer that more TDS has been deducted by the previous employer and requested them to deduct less, hoping that I'll get an updated Form 16. However, my previous employer is denying updating it. My total taxable income and total TDS are matching as per my calculations considering HRA and medical reimbursement. If I go as per Form 16, I may have to pay more. Will that be a problem because Form 26AS is with the ITO, which contains my total paid income and TDS?
Arun Kumar Maitra
There will be no problem. Please file your return as per the actual tax payable, considering your income from all sources and after deducting TDS. You are only providing true and correct information to the best of your knowledge and belief before the ITO. He may issue a notice to verify your documents relating to medical reimbursements and HRA. So, please keep all documentary evidence ready to produce the same at the time of hearing. Your employer was legally bound to consider the disclosure made by you regarding TDS by your previous employer as per the provisions of the Act. It was a violation of the statute on their part.
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