As per Notification number 09/2019 CBDT date 06 May 2019 has issued guidelines on issuance of Form 16 Part B from traces Portal.
As per Notification number 36/2019 Dated 12th April 2019 CBDT has updated the Form 16 Part B format and the Form 24Q format. The revised template are framed in such a way that data in both the Form 16 and 24Q will be in tandem to each other.
As per this notification any deductor who has filed 24Q as per the revised format will be able to generated Form 16 Part B from the traces portal. Now deductor will be able to download both Part A and Part B text file from traces portal and use pdf generation utility convert these text file into the pdf files.
The usage of Part B generated from TRACES brings in consistency. As per the revised format of 24Q now department has in-depth data into the salary structure of the employee i.e Salary u/s 17(1),17(2),17(3), Exemption u/s 10 etc. It is also said that department will prefill the ITR-1 from this year onwards based on the data uploaded by the employer in 24Q thereby removing the hassle of entering the salary details by the employees.Thus any alteration by the employee i.e claiming more exemption or deduction will be flagged by the risk management software of the Income tax department for manual verification.
Step by step procedure on how to generate Form 16 Part B from TRACES.
Now a days decision being taken by the income tax department is becoming more and more data driven.This will improve the efficiency and plug the leakage in revenue.