Form No. 130 (earlier Form 16) is the certificate under section 395(4)(b) of the Income-tax Act, 2025 (earlier section 203) for tax deducted from salary under section 392 (earlier 192), prescribed by rule 215 of the Income-tax Rules, 2026. Part A has employer and employee details, Part B a summary reconciliation of amounts paid and tax deducted, and Part C (Annexure I) the detailed computation of salary, exemptions, deductions and tax. Issue it by 15 June after the tax year, downloaded from TRACES; a self-made certificate is not valid.
Form No. 130 (Form 16) layout
This is a reading guide to the certificate TRACES generates, with example figures for an employee on the new regime with ₹15,00,000 gross salary. You cannot type your own Form 130; you download Part A and Part B from TRACES and add Part C from the payroll computation.
FORM No. 130 (earlier Form 16) Certificate under section 395(4)(b) of the Income-tax Act, 2025 for tax deducted at source on salary paid to an employee under section 392(1) Tax year: 2026-27 PART A: DETAILS OF EMPLOYER AND EMPLOYEE Certificate No.: [TRACES NO.] Last updated on: [DATE] Name and address of employer: [ ] Name and address of employee: [ ] PAN of deductor: [ ] TAN of deductor: [ ] PAN of employee: [ ] Period with the employer: 01/04/2026 to 31/03/2027 PART B: SUMMARY RECONCILIATION (quarter-wise, from Form No. 138) Quarter Receipt No. of statement Amount paid/credited Tax deducted Tax deposited Q1 [ ] 3,75,000 24,375 24,375 Q2 [ ] 3,75,000 24,375 24,375 Q3 [ ] 3,75,000 24,375 24,375 Q4 [ ] 3,75,000 24,375 24,375 Total 15,00,000 97,500 97,500 Challan details: BSR code, date, challan serial No., status of matching with OLTAS PART C (ANNEXURE I): COMPUTATION OF TAXABLE SALARY Gross salary 15,00,000 Less: exemptions (new regime: nil) 0 Less: standard deduction, section 19 (new regime) 75,000 Less: professional tax (not allowed in new regime) 0 Income chargeable under "Salaries" 14,25,000 Other income reported by employee 0 Deductions (new regime: limited) 0 Total taxable income 14,25,000 Tax on total income (section 202) 93,750 Rebate u/s 156 0 Health and education cess 4% 3,750 Tax payable 97,500 Relief u/s 157 0 TDS deducted 97,500 Balance payable / (refundable) 0 Verification: I, [NAME], [DESIGNATION], certify that the information is true ... Signature (digital or manual): ________ Place: [ ] Date: [ ]
How the employer prepares it
- Deduct TDS every month under section 392 and deposit it by the 7th of the next month (30 April for March).
- File the quarterly statement in Form No. 138; Annexure II and III go with the fourth quarter only.
- After the Q4 statement (due 31 May) is processed, download Part A and Part B from TRACES.
- Attach Part C from your payroll computation, sign digitally or by hand, and give it to the employee by 15 June.
- If there is a mistake, file a correction statement in Form No. 138 and issue the corrected certificate.
Checks before you issue it
- PAN of the employee must match; without it, credit does not reach the employee.
- Regime in Part C must match what the employee chose for TDS.
- Two employers in a year: each issues Part A and B for its period; Part C can be issued by each or by the last employer, at the employee's option (Form No. 130 FAQ 11).
- Not attached to the return: the employee keeps it; the return uses the same figures.
From payroll to Form 130
FundRaksha HR calculates monthly TDS under the regime each employee picks and produces the year's Part C computation, so Form 130 matches payroll. Read the Form 16 due date guide and TDS on salary.
Sources
Last reviewed: 2026-10-21. Information for Indian businesses; not legal advice.