Changed your job last year? Avoid these Tax Mistakes

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If you have changed your job last year, then this year’s Form 16 will bring in a new trouble along with it. You will receive two of them. So, make sure when you file for your IT return that you add the income from both the employers. Many respondents said that in case of a year of job switch they often do not disclose the previous or other income and quietly accept the basic exemption allowed under Section 80 C from both the employers. Almost a good amount of 5.5 percent employees said that they undertake such practices in the years of the job switch.

Tax deduction must be declared:

Although it is not absolutely mandatory to disclose your previous employment payment and deduction details to the new employer or even sharing the deductions claimed to the new employer to be shared with the old one. But the ultimate responsibility of reporting the accurate income taxable under the Income Tax Act resides with the taxpayer solely. So, this dilemma has the options with integrity on the stake.

How you can get in trouble if you avoid disclosing the full income:

When your Form 26AS will arrive it will bear the details of two TANs instead of just one. And this is a good point for the taxmen to catch you. As per the views of the employers and Human Resource departments, it is completely the employees’ duty to verify and affirm the particulars mentioned in their Form 16. Thus, we recommend that you put in the correct numbers or else it results in serious repercussions. The repercussion would be receiving a tax notice and you might have to pay the penalty. As per the present norms in case of non-compliance, the employee has to pay the residual tax. Moreover, they have to pay an additional penalty of 1 percent per month for the delay.

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