Form 138 under the Income-tax Act, 2025 is a mandatory quarterly TDS statement filed by employers and specified banks for reporting tax deducted on salary payments and certain income of specified senior citizens. Replacing the earlier Form 24Q, it must be filed electronically for each quarter within prescribed due dates, with Annexure I submitted quarterly and Annexures II and III required only in the final quarter. The form captures detailed information on deductor, deductees, tax deducted, and payments made, ensuring accurate credit reflection in taxpayers’ records. Timely and accurate fSummary: Form 138 under the Income-tax Act, 2025 is a mandatory quarterly TDS statement filed by employers and specified banks for reporting tax deducted on salary payments and certain income of specified senior citizens. Replacing the earlier Form 24Q, it must be filed electronically for each quarter within prescribed due dates, with Annexure I submitted quarterly and Annexures II and III required only in the final quarter. The form captures detailed information on deductor, deductees, tax deducted, and payments made, ensuring accurate credit reflection in taxpayers’ records. Timely and accurate filing is crucial to avoid penalties and ensure proper TDS credit in AIS and tax returns. Corrections can be made through revised statements within a specified period. The updated form introduces simplified structure, automation, and pre-filled data features, enhancing compliance efficiency, reducing errors, and ensuring transparency in TDS reporting and reconciliation.
Income Tax Department
Ministry of Finance, Government of India
FAQs on Income Tax Form 138: Quarterly statement of deduction of tax under section 397(3)(b) of Income Tax Act, 2025 in respect of salary paid to employee under section 392, or income of specified senior citizen under section 393(1)
Form No. 138 (Earlier Form No. 24Q)
Form No. 138 – Frequently Asked Questions
Quarterly statement of deduction of tax in respect of salary paid to employee under section 392 [other than section 392(7)], or income of specified senior citizen under section 393(1) [Table: Sl. No. 8(iii)
| Name of form as per I.T. Rules, 1962 | 24Q | Name of form as per I.T. Rules, 2026 | 138 |
| Corresponding section of I.T. Act, 1961 | 200(3) | Corresponding section of I.T. Act, 2025 | 397(3)(b) |
| Corresponding Rule of I.T. Rules, 1962 | 31A | Corresponding Rule of I.T. Rules, 2026 | 219 |
Q1: What is Form No. 138?
Ans: Form No. 138 is a quarterly statement filed by employers responsible for deduction of tax at source from salaries paid to employees under section 392 or by the specified bank in respect of income paid to specified senior citizen under section 393(1) [Table: Sl. No. 8(iii)] of the Income tax Act 2025.
Q2: Who is required to file Form No. 138?
Ans: Any employer (company, firm, government, individual, etc.) who deducts tax from employees’ salaries, and any specified bank who deducts tax on Pension and Interest income paid to specified senior citizen, are required to file Form No. 138.
Q3: Are all the annexures of Form No. 138 required to be submitted for each quarter?
Ans: No. Only annexure-I is required to be submitted for all the four quarters. However, Annexure-II and Annexure-III are to be submitted only for the last quarter (Q4).
Q4: Is filing of Form No. 138 mandatory?
Ans: Form No. 138 must be filed for each quarter if any one of the below-mentioned conditions is satisfied-
- The employer has deducted tax under section 392 on salary paid to any employee
- The specified bank has paid pension and interest income to a specified senior citizen under section 393(1) [Table: Sl. No. 8(iii)]
Q5: What is the periodicity and time limit for filing Form No. 138?
Ans: Form No. 138 is to be filed quarterly:
| Quarter | Period | Due Date |
| Q1 | Apr – Jun | 31st July of the Financial Year |
| Q2 | Jul – Sep | 31st October of the Financial Year |
| Q3 | Oct – Dec | 31st January of the Financial Year |
| Q4 | Jan – Mar | 31st May of the Financial Year immediately following the Tax Year in which deduction is made |
Q6: Is it mandatory to file Form No. 138 in electronic format?
Ans: Yes. As per the Income-tax Rules, all TDS/TCS statements including Form No. 138 must be furnished electronically in the prescribed format.
Q7: Can Form No. 138 be edited after submission?
Ans: No. Form No. 138 once submitted, cannot be edited. However, in order to correct or update the details in an already submitted Form No. 138, the deductor is allowed to file a correction statement once the previously submitted statement has been processed by CPC-TDS.
Q8: What is the time limit for filing the correction statement?
Ans: Within two years from the end of the tax year in which the statement was required to be delivered. For example, the correction statement in respect of Form No. 138 for the Quarter 3 of Tax Year 2026-27 can be filed upto 31.03.2029.
Q9: How will deductor know whether the Form No. 138 filed by him has been accepted by the Income-tax Department?
Ans: After filing Form No. 138 on the TRACES portal of Income-tax Department, the deductor receives an Acknowledgment Receipt Number (ARN) on successful submission of the Form.
Q10: Why filing of Form No. 138 in a timely and accurate manner is important?
Ans: Filing of Form No. 138 in a timely and accurate manner is important as:
> It will ensure that accurate and complete tax credit is passed onto the deductees. Consequently, it will also eliminate scope for deductee related grievances.
The deductor would be able to avoid legal challenges associated with non- compliance including late filing fee u/s 427 and penal proceedings u/s 461 and 465(2)(g).
******
Guidance Note on Form No. 138 (Earlier Form No. 24Q): Quarterly Statement of Deduction of Tax under section 397(3)(b) of Income Tax Act 2025 in respect of Salary paid to Employee under section 392, or income of Specified Senior Citizen under section 393(1)
| Name of form as per I.T. Rules, 1962 | 24Q | Name of form as per I.T. Rules, 2026 | 138 |
| Corresponding section of I.T. Act, 1961 | 200(3) | Corresponding section of I.T. Act, 2025 | 397(3)(b) |
| Corresponding Rule of I.T. Rules, 1962 | 31A | Corresponding Rule of I.T. Rules, 2026 | 219 |
Purpose:
Form No. 138 is a quarterly statement filed by employers to report Tax Deducted at Source (TDS) from salaries paid to employees under Section 392 [other than section 392(7)] or income of specified senior citizen under section 393(1) [Table: Sl. No. 8(iii)] of the Income Tax Act, 2025. Form No. 138 is filed under Rule 219 of the Income-tax Rules, 2026.
Who Should File:
Every employer (company, firm, government, etc.) deducting TDS on salary payments and specified bank deducting TDS on Pension, Interest income paid to Specified senior citizen.
Frequency & Due Dates:
| Quarter | Period Covered | Due Date for Filing |
| Q1 | Apr – Jun | 31st July of the Financial Year |
| Q2 | Jul – Sep | 31st October of the Financial Year |
| Q3 | Oct – Dec | 31st January of the Financial Year |
| Q4 | Jan – Mar | 31st May of the Financial Year immediately following
the Tax Year in which deduction is made |
Structure of Form No. 138:
> Part A:
Particulars of the Deductor: Type of Deductor, Name, Address, PAN, TAN, and contact information of Deductor.
Particulars of the person Responsible for Deduction of Tax: Name, Address, PAN, and contact information.
> Part B: Details of Tax Deducted and Paid to Central Govt. (i.e. Total Tax, Interest, Fee, Mode of Payment, BSR Code, Date of Deposit, Challan Serial No. and Minor Head, etc.).
> Annexure I: Deductee wise break up of TDS: PAN, Name, Section Code, Amount paid or credited, Date of payment or credit, Tax Deducted, Tax Deposited, Date of Deduction, Rate, Reason for non/lower/higher Deduction, Certificate Number u/s 395(1), etc.
Annexure I is submitted for all four quarters, detailing the deductee-wise break-up of TDS during the quarter.
> Annexure II: Submitted only in the last quarter (Q4), providing detailed summary of the salary, deductions, rebate and Net Tax Liability for the Tax Year of the Employees.
> Annexure III: Submitted only in the last quarter (Q4), providing detailed summary of pension and interest income, deductions, rebate and Net Tax Payable for the Tax Year of the Specified Senior Citizen.
Documents/details required to file the Form No. 138:
1. Copies of challans paid to the credit of central government.
2. PAN details of the deductees.
Filing Count:
On average, 22.5 lakh original forms have been filed each year over the past five years.
Process flow of filing Form No. 138:
The process flow includes following steps-
1. Tax deduction upon salary payment to employee u/s 392 [other than section 392(7)] and upon pension/interest income payment to specified senior citizen u/s 393(1) [Table: Sl. No. 8(iii)].
2. The TDS is required to be paid to the credit of central government within the due dates prescribed in Rule 218 of Income-tax Rules, 2026.
3. Preparation of quarterly TDS statement in Form No. 138 using RPU provided by TIN- NSDL. From Q1 to Q3, Annexure-I is required to be prepared and filed. In Q4 statement, for providing salary, deductions, exemptions details etc, an additional Annexure-II is required to be prepared. Similarly in case of specified senior citizens, specified banks are required to prepare Annexure-III to provide detailed breakup of pension and interest income paid.
4. Validation of the prepared file using File validation utility (FVU). In case of no errors, the utility will provide a .fvu file as result.
5. The resultant .fvu file is to be uploaded online at e-filing website or physically at TIN FC center.
6. After successful submission of the statement at either e-filing website or physically at TIN FC center, the data is in-warded at CPC-TDS and the statement is processed as per the provisions of the Act.
Outcome of Processed Form No. 138: For Deductor
The resultant of processing of TDS statement can be without default or with defaults.
In case of statements processed with default, the deductor are require to file correction statements after making payment of default (if required).
For Deductees
> Based on the data in Annexure I (quarterly) and Annexure II (Q4), TRACES prepares Form No. 130 (TDS Certificate for salary, -).
> This is issued by the employer to each employee by 15th June of the following financial year.
> Once processed, the deducted TDS amount reflects in the employee’s Form No. 168 (AIS) as “TDS by employer”.
> This allows employees to claim credit when filing their ITR.
> In the ITR, the salary details are taken directly from Annexure II of Form No. 138 (filed by your employer for Q4 of the financial year).
Brief note on qualitative changes made:
1. Key updates include the following-
-
- replacement of outdated fields (e.g., Token No. replaced with Return Receipt Number, and deletion of TAN Registration No.),
- streamlining of entries (removal of surcharge and cess details now consolidated under challan/Book Adjustment), and
- redundant references removed to simplify interpretation.
- explanatory notes have been provided to guide users in completing the form accurately.
2. The revised Form No. 138 will be a smart one to enhance user experience and providing ease of filing through-
a. auto-population/pre-filling of relevant details using information available from the Dedicator’s TRACES profile.
b. real time validations & error handling
c. drop downs & date pickers
d. integration with APIs & Databases
e. Check box based smart verification
f. Standardization of name & address fields etc.
Common Changes made across Forms:
1. To make Forms system-friendly and enable e-filing and uploading, certain anomalies found due to grouping of Name, Designation, Address and PAN have been separated into different boxes.
2. Assessment / Financial / Previous year or years have been replaced with Tax year or years, wherever appearing in the Form/Annexure.
3. Changes in Sections, Clauses and Schedules have been aligned as per the Income-tax Act, 2025.
4. Currency symbol “Rs.” has been replaced with “₹”.
iling is crucial to avoid penalties and ensure proper TDS credit in AIS and tax returns. Corrections can be made through revised statements within a specified period. The updated form introduces simplified structure, automation, and pre-filled data features, enhancing compliance efficiency, reducing errors, and ensuring transparency in TDS reporting and reconciliation.
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Income Tax Department
Ministry of Finance, Government of India
FAQs on Income Tax Form 138: Quarterly statement of deduction of tax under section 397(3)(b) of the Act in respect of salary paid to employee under section 392, or income of specified senior citizen under section 393(1) [Table: Sl. No. 8(iii)], for the quarter ended ……….. (June/September/December/March) ……. (Tax Year)]
Form No. 138 (Earlier Form No. 24Q)
Form No. 138 – Frequently Asked Questions
Quarterly statement of deduction of tax in respect of salary paid to employee under section 392 [other than section 392(7)], or income of specified senior citizen under section 393(1) [Table: Sl. No. 8(iii)
| Name of form as per I.T. Rules, 1962 | 24Q | Name of form as per I.T. Rules, 2026 | 138 |
| Corresponding section of I.T. Act, 1961 | 200(3) | Corresponding section of I.T. Act, 2025 | 397(3)(b) |
| Corresponding Rule of I.T. Rules, 1962 | 31A | Corresponding Rule of I.T. Rules, 2026 | 219 |
Q1: What is Form No. 138?
Ans: Form No. 138 is a quarterly statement filed by employers responsible for deduction of tax at source from salaries paid to employees under section 392 or by the specified bank in respect of income paid to specified senior citizen under section 393(1) [Table: Sl. No. 8(iii)] of the Income-tax Act, 2025.
Q2: Who is required to file Form No. 138?
Ans: Any employer (company, firm, government, individual, etc.) who deducts tax from employees’ salaries, and any specified bank who deducts tax on Pension and Interest income paid to specified senior citizen, are required to file Form No. 138.
Q3: Are all the annexures of Form No. 138 required to be submitted for each quarter?
Ans: No. Only annexure-I is required to be submitted for all the four quarters. However, Annexure-II and Annexure-III are to be submitted only for the last quarter (Q4).
Q4: Is filing of Form No. 138 mandatory?
Ans: Form No. 138 must be filed for each quarter if any one of the below-mentioned conditions is satisfied-
- The employer has deducted tax under section 392 on salary paid to any employee
- The specified bank has paid pension and interest income to a specified senior citizen under section 393(1) [Table: Sl. No. 8(iii)]
Q5: What is the periodicity and time limit for filing Form No. 138?
Ans: Form No. 138 is to be filed quarterly:
| Quarter | Period | Due Date |
| Q1 | Apr – Jun | 31st July of the Financial Year |
| Q2 | Jul – Sep | 31st October of the Financial Year |
| Q3 | Oct – Dec | 31st January of the Financial Year |
| Q4 | Jan – Mar | 31st May of the Financial Year immediately following the Tax Year in which deduction is made |
Q6: Is it mandatory to file Form No. 138 in electronic format?
Ans: Yes. As per the Income-tax Rules, all TDS/TCS statements including Form No. 138 must be furnished electronically in the prescribed format.
Q7: Can Form No. 138 be edited after submission?
Ans: No. Form No. 138 once submitted, cannot be edited. However, in order to correct or update the details in an already submitted Form No. 138, the deductor is allowed to file a correction statement once the previously submitted statement has been processed by CPC-TDS.
Q8: What is the time limit for filing the correction statement?
Ans: Within two years from the end of the tax year in which the statement was required to be delivered. For example, the correction statement in respect of Form No. 138 for the Quarter 3 of Tax Year 2026-27 can be filed upto 31.03.2029.
Q9: How will deductor know whether the Form No. 138 filed by him has been accepted by the Income-tax Department?
Ans: After filing Form No. 138 on the TRACES portal of Income-tax Department, the deductor receives an Acknowledgment Receipt Number (ARN) on successful submission of the Form.
Q10: Why filing of Form No. 138 in a timely and accurate manner is important?
Ans: Filing of Form No. 138 in a timely and accurate manner is important as:
> It will ensure that accurate and complete tax credit is passed onto the deductees. Consequently, it will also eliminate scope for deductee related grievances.
The deductor would be able to avoid legal challenges associated with non- compliance including late filing fee u/s 427 and penal proceedings u/s 461 and 465(2)(g).
******
Form No. 138 (Earlier Form No. 24Q)
Form No. 138 – Quarterly Statement of Deduction of Tax under section 397(3)(b) of the Act in respect of Salary paid to Employee under section 392, or income of Specified Senior Citizen under section 393(1) [Table: Sl. No.8(iii)] for the quarter ended…(Tax Year)
| Name of form as per I.T. Rules, 1962 | 24Q | Name of form as per I.T. Rules, 2026 | 138 |
| Corresponding section of I.T. Act, 1961 | 200(3) | Corresponding section of I.T. Act, 2025 | 397(3)(b) |
| Corresponding Rule of I.T. Rules, 1962 | 31A | Corresponding Rule of I.T. Rules, 2026 | 219 |
Purpose:
Form No. 138 is a quarterly statement filed by employers to report Tax Deducted at Source (TDS) from salaries paid to employees under Section 392 [other than section 392(7)] or income of specified senior citizen under section 393(1) [Table: Sl. No. 8(iii)] of the Income Tax Act, 2025. Form No. 138 is filed under Rule 219 of the Income-tax Rules, 2026.
Who Should File:
Every employer (company, firm, government, etc.) deducting TDS on salary payments and specified bank deducting TDS on Pension, Interest income paid to Specified senior citizen.
Frequency & Due Dates:
| Quarter | Period Covered | Due Date for Filing |
| Q1 | Apr – Jun | 31st July of the Financial Year |
| Q2 | Jul – Sep | 31st October of the Financial Year |
| Q3 | Oct – Dec | 31st January of the Financial Year |
| Q4 | Jan – Mar | 31st May of the Financial Year immediately following
the Tax Year in which deduction is made |
Structure of Form No. 138:
> Part A:
Particulars of the Deductor: Type of Deductor, Name, Address, PAN, TAN, and contact information of Deductor.
Particulars of the person Responsible for Deduction of Tax: Name, Address, PAN, and contact information.
> Part B: Details of Tax Deducted and Paid to Central Govt. (i.e. Total Tax, Interest, Fee, Mode of Payment, BSR Code, Date of Deposit, Challan Serial No. and Minor Head, etc.).
> Annexure I: Deductee wise break up of TDS: PAN, Name, Section Code, Amount paid or credited, Date of payment or credit, Tax Deducted, Tax Deposited, Date of Deduction, Rate, Reason for non/lower/higher Deduction, Certificate Number u/s 395(1), etc.
Annexure I is submitted for all four quarters, detailing the deductee-wise break-up of TDS during the quarter.
> Annexure II: Submitted only in the last quarter (Q4), providing detailed summary of the salary, deductions, rebate and Net Tax Liability for the Tax Year of the Employees.
> Annexure III: Submitted only in the last quarter (Q4), providing detailed summary of pension and interest income, deductions, rebate and Net Tax Payable for the Tax Year of the Specified Senior Citizen.
Documents/details required to file the Form No. 138:
1. Copies of challans paid to the credit of central government.
2. PAN details of the deductees.
Filing Count:
On average, 22.5 lakh original forms have been filed each year over the past five years.
Process flow of filing Form No. 138:
The process flow includes following steps-
1. Tax deduction upon salary payment to employee u/s 392 [other than section 392(7)] and upon pension/interest income payment to specified senior citizen u/s 393(1) [Table: Sl. No. 8(iii)].
2. The TDS is required to be paid to the credit of central government within the due dates prescribed in Rule 218 of Income-tax Rules, 2026.
3. Preparation of quarterly TDS statement in Form No. 138 using RPU provided by TIN- NSDL. From Q1 to Q3, Annexure-I is required to be prepared and filed. In Q4 statement, for providing salary, deductions, exemptions details etc, an additional Annexure-II is required to be prepared. Similarly in case of specified senior citizens, specified banks are required to prepare Annexure-III to provide detailed breakup of pension and interest income paid.
4. Validation of the prepared file using File validation utility (FVU). In case of no errors, the utility will provide a .fvu file as result.
5. The resultant .fvu file is to be uploaded online at e-filing website or physically at TIN FC center.
6. After successful submission of the statement at either e-filing website or physically at TIN FC center, the data is in-warded at CPC-TDS and the statement is processed as per the provisions of the Act.
Outcome of Processed Form No. 138: For Deductor
The resultant of processing of TDS statement can be without default or with defaults.
In case of statements processed with default, the deductor are require to file correction statements after making payment of default (if required).
For Deductees
> Based on the data in Annexure I (quarterly) and Annexure II (Q4), TRACES prepares Form No. 130 (TDS Certificate for salary, -).
> This is issued by the employer to each employee by 15th June of the following financial year.
> Once processed, the deducted TDS amount reflects in the employee’s Form No. 168 (AIS) as “TDS by employer”.
> This allows employees to claim credit when filing their ITR.
> In the ITR, the salary details are taken directly from Annexure II of Form No. 138 (filed by your employer for Q4 of the financial year).
Brief note on qualitative changes made:
1. Key updates include the following-
-
- replacement of outdated fields (e.g., Token No. replaced with Return Receipt Number, and deletion of TAN Registration No.),
- streamlining of entries (removal of surcharge and cess details now consolidated under challan/Book Adjustment), and
- redundant references removed to simplify interpretation.
- explanatory notes have been provided to guide users in completing the form accurately.
2. The revised Form No. 138 will be a smart one to enhance user experience and providing ease of filing through-
a. auto-population/pre-filling of relevant details using information available from the Dedicator’s TRACES profile.
b. real time validations & error handling
c. drop downs & date pickers
d. integration with APIs & Databases
e. Check box based smart verification
f. Standardization of name & address fields etc.
Common Changes made across Forms:
1. To make Forms system-friendly and enable e-filing and uploading, certain anomalies found due to grouping of Name, Designation, Address and PAN have been separated into different boxes.
2. Assessment / Financial / Previous year or years have been replaced with Tax year or years, wherever appearing in the Form/Annexure.
3. Changes in Sections, Clauses and Schedules have been aligned as per the Income-tax Act, 2025.
4. Currency symbol “Rs.” has been replaced with “₹”.
