#FinancialBytes: How to file I-T Return in case of job-change?
In order to file the income tax, if one has changed jobs, the final figures of payable tax has to be arrived at, considering all the employers, the current and the previous ones. The total tax payable is computed using Form 16 issued by all the employers. Notably, Form 16 is a statement laying down salary and other allowances and taxes deducted from an employee during an assessment year.
Avoid duplication in investment declaration at different jobs
If you've shifted jobs somewhere in the middle of the year, you'll have to ensure that the exemptions and deductions have been claimed only once. Required proofs should also be maintained by the taxpayers for future reference. If you have declared the same investments with your current and previous employers, you'll have to recalculate the tax liability so to avoid chances of duplication.
Check for change in tax slabs due to job-shift
More often than not, when one changes the job, there's an obvious change in the salary structure (usually a hike). So, one must always check whether their tax slab has changed owing to the job shift or it's still the same as before. In case there's change in the tax slab, the tax liability should be recomputed according to the revised I-T rates.
Take into consideration all Form 16s from different employers
There will be as many Form 16s as many different jobs a person has done in a particular assessment year. So, it becomes important for one to obtain the Form 16s from all of the employers. With the help of all these Form 16s, should one go about computing their payable income tax.