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New for Tax Year 2026–27 Updated: April 2026

Download Form 130 Salary TDS Certificate: The Complete 2026 Guide

Form 16 is officially retired. From April 1, 2026, every salaried employee in India receives Form 130 — the new TDS certificate under the Income Tax Act 2025. Here is everything you need to know, including how to verify your TDS and file your ITR correctly.

📅 Last updated: April 2026 🕑 15 min read 📄 Income Tax Act 2025 🇮🇳 For Indian salaried taxpayers
Free Specimen Download
Sample Form 130 — All Three Parts (PDF)
Download the official-format specimen showing Part A (Identification), Part B (TDS Summary), and Part C Annexure-I (Tax Computation) filled with illustrative data — so you know exactly what to verify when your employer issues the real one.
Reference only • Actual certificate via TRACES portal

What is the Form 130 (Replacing Form 16) Salary TDS Certificate?

The Form 130 ( Replacing Form 16 ) salary TDS certificate is an official tax document issued by your employer under Section 395 of the Income Tax Act 2025. It serves as legal proof that your employer deducted tax from your salary under Section 392 and deposited it with the Central Government.

For decades, salaried employees relied on Form 16 for this exact purpose. Form 130 serves the same core function but comes with a better, more detailed three-part structure that integrates directly with the government's upgraded TIN 2.0 digital tax infrastructure. It summarises your total salary, allowances, perquisites, exemptions, deductions, and net tax payable for the Tax Year.

Employers must issue this certificate to all eligible employees annually. Specified banks will also issue it to senior citizens aged 75 and above who receive both pension and interest income from the same bank.

How to Download Form 130 — Step-by-Step

You cannot download Form 130 directly from the income tax portal as an employee, and it cannot be prepared manually. The certificate must originate from TRACES after your employer completes quarterly filings. Here is the complete process from filing to issuance.

1
Employer files quarterly TDS return (Form 138)
After each quarter ends, your employer must submit Form 138 showing all salary payments and TDS deductions for the quarter.
2
TRACES validates and cross-references with TIN 2.0
The system verifies each entry against challan deposits on TIN 2.0 (non-govt) or BIN records (govt deductors) and marks the status as Matched or Unmatched.
3
Form 130 is auto-generated by TRACES
Once all four quarters are filed and matched, TRACES auto-generates your Form 130 with pre-filled data — no manual entry by the employer is needed.
4
Employer logs into TRACES and downloads
Your employer's authorised signatory logs into traces.gov.in, navigates to the TDS certificate section, and downloads the generated Form 130 for each employee.
5
Employer signs and issues the certificate to you
The authorised signatory affixes a digital or manual signature and sends the certificate to you via email or your HR self-service portal by June 15th.
6
You verify the data and file your ITR
Cross-check your Form 130 against AIS and Form 26AS on incometax.gov.in before filing. Raise corrections with your employer if any discrepancy is found.
DEADLINE
Employers must issue Form 130 by June 15th of the year following the Tax Year. For Tax Year 2026–27 (April 2026 to March 2027), the issuance deadline is June 15, 2027.

Why Was Form 130 Introduced?

The shift to Form 130 aligns with the completely overhauled Income Tax Act of 2025. The government had three clear motivations. First, the new Act replaces the confusing split between "Assessment Year" and "Financial Year" with a single "Tax Year" — and Form 16's terminology was incompatible. Second, the form integrates with TIN 2.0, the upgraded digital infrastructure, ensuring automated matching of employer filings with government deposit records. Third, by auto-generating data from quarterly employer returns, the new system dramatically reduces the manual errors that plagued Form 16.

1961
1961
Income Tax Act enacted. Form 16 introduced as the primary salary TDS certificate.
2003
2003
TRACES portal launched. Form 26AS introduced. Digital TDS filing begins.
2020
2020
Form 16 restructured into Part A and Part B. Employer-generated Part A mandated via TRACES.
2025
2025
New Income Tax Act 2025 passed by Parliament. Form 130 notified as the official successor.
2026
April 1, 2026
Form 130 becomes the official TDS certificate for all salary income. Form 16 ceases to apply.
Jun
June 15, 2026
Deadline for employers to issue the first Form 130 to eligible employees for Tax Year 2026–27.

Form 130 vs Form 16 — Full Comparison

The core purpose of both certificates is identical: to prove your employer deducted and deposited your tax. But the structure, legal framework, terminology, and coverage are all updated under the 2025 Act.

Feature Old Form 16 Retired New Form 130 Active
Governing Law Income Tax Act, 1961 Income Tax Act, 2025
Effective Date Up to March 31, 2026 From April 1, 2026
Time Period Label Financial Year / Assessment Year Tax Year (e.g., 2026–27)
Document Structure Two Parts: A and B Three Parts: A, B, and C (with two annexures)
Part C Annexures One (Part B served this role) Annexure-I (employees) + Annexure-II (senior citizens)
Deduction Sections 80C, 80D, 80G, 80E etc. Sections 123, 124, 125, 126, 129, 133, 153 etc.
Senior Citizen Coverage Not included Specified senior citizens (75+) via specified banks
Tax Regime Choice Not explicitly shown Row A: Yes/No for opting out of Section 202(1)
Portal Integration TRACES (partial) TRACES + TIN 2.0 (full auto-generation)
Issuance Deadline June 15 each year June 15 each year (same)

Structure of Form 130 — All Three Parts Explained

The official Gazette notification (Gazette of India, Part II — Sec. 3(i)) lays out Form 130's structure across three distinct parts. Here is what each contains.

Part A — Basic Identification
The certificate's cover page. It captures the unique certificate number, last updated date, and complete details of both the employer (name, address, PAN, TAN, email, contact number) and the employee (name, address, PAN). It also specifies the Tax Year and exact period of employment — from and to dates in dd/mm/yyyy format. Government deductors note whether tax was deposited via book adjustment or challan, affecting which sub-tables in Part B they fill.
Part B — TDS Summary (Two Sub-Tables)
Part B provides a quarter-by-quarter breakdown of salary paid and TDS deducted. It contains two important sub-tables. Sub-table I covers Book Adjustment — used by government deductors who pay tax without a challan, using a Book Identification Number (BIN) and DDO serial number matched against Form 137. Sub-table II covers Challan payments — used by all non-government employers, showing BSR Code, deposit date, and challan serial number, all verified against TIN 2.0. Every entry is status-matched before the certificate can be generated.
Part C — Detailed Tax Computation (Two Annexures)
Annexure–I is for salaried employees. It works through 21 rows: starting with gross salary including perquisites (Section 17) and profits in lieu of salary (Section 18), subtracting exempt allowances under Section 11 (HRA, LTA, special allowances), applying deductions under Section 19(1) (standard deduction, gratuity, leave encashment, VRS), arriving at taxable salary income. It then adds any other income declared by the employee (such as house property loss), applies Chapter VIII deductions (Sections 123, 124, 125, 126, 129, 133, 153), computes tax, surcharge (if applicable), 4% health and education cess, rebate under Section 156, and shows net tax payable. Row A explicitly asks whether the employee is opting out of the default new tax regime under Section 202(1).
Annexure–II is for specified senior citizens (aged 75+). It follows a simpler structure — pension income plus interest income from the same specified bank, reduced by standard deduction and applicable Chapter VIII deductions. The specified bank handles the entire TDS computation, meaning eligible senior citizens are exempt from filing a separate ITR.

Sample Form 130 — Specimen with Download

Below is a specimen Form 130 filled with illustrative data based on the official Gazette format. Use this to understand every field before your employer issues the real certificate.

Form No. 130 — Specimen Copy (Illustrative Data Only)
Official Format
PART A — EMPLOYER & EMPLOYEE IDENTIFICATION
Certificate No.
CERT/2026-27/ABC123456
Tax Year
2026–27
Employer Name
XYZ Technologies Pvt. Ltd.
Employer TAN
DELX98765A
Employer PAN
AABCX1234P
Employment Period
01/04/2026 to 31/03/2027
Employee Name
Rahul Sharma
Employee PAN
ABCPS1234D
PART B — TDS SUMMARY (QUARTER-WISE)
Quarter Amount Paid (₹) Tax Deducted (₹) Tax Deposited (₹) TIN 2.0
Q1 Apr–Jun 20263,00,00028,12528,125Matched
Q2 Jul–Sep 20263,00,00028,12528,125Matched
Q3 Oct–Dec 20263,00,00028,12528,125Matched
Q4 Jan–Mar 20273,00,00028,12528,125Matched
Total12,00,0001,12,5001,12,500
PART C — ANNEXURE-I: TAX COMPUTATION
Row Particulars Amount (₹)
Row AOpting out of default regimeNo
Row 1(a)Gross salary12,00,000
Row 2(b)HRA exempt1,20,000
Row 3Net salary10,80,000
Row 4(b)Standard deduction75,000
Row 12Total taxable income8,30,000
Row 17Total tax payable1,09,980
Row 21Net tax payable0
Download Complete Specimen Form 130 — Parts A, B & C (PDF) Reference only • Generated via TRACES portal
⬇ Download Form 130 PDF
Important: This specimen uses illustrative numbers only. Your actual Form 130 is auto-generated by TRACES after employer filing. Never accept manually generated certificates.

Who Receives Form 130?

Every salaried employee whose employer deducts TDS from their monthly pay is entitled to Form 130. This covers all employees in a taxable bracket whose employer has filed Form 138 quarterly returns.

Specified senior citizens (aged 75+) who earn both pension and interest income from the same specified bank receive Annexure-II of Part C. The specified bank handles the entire computation and TDS deposit — these taxpayers are exempt from filing a separate ITR.

If you changed jobs during the Tax Year, each employer must issue a separate Part A and Part B for the period you worked with them. For Part C (Annexure-I), the last employer may issue a consolidated computation at the employee's option, or each employer can issue a separate Part C for their respective employment period.

Alternative Sources to Verify Your Salary & TDS Details

Form 130 is your primary certificate, but the Income Tax Department maintains several other sources where your salary and TDS data also lives. These are especially useful before your certificate arrives, or when you suspect an error and need to verify independently.

Annual Information Statement (AIS)
The most comprehensive source. Shows salary credited, TDS deducted quarter-wise, interest income, dividends, property transactions — all drawn directly from your PAN records in real time.
Form 26AS — Tax Credit Statement
Your personal tax ledger with the government. Shows all TDS deducted against your PAN by any deductor, plus advance tax and self-assessment tax paid by you.
Tax Passbook — Form 168
New under the 2025 Act. A real-time digital ledger of all taxes deposited against your PAN. Automatically updated after each quarterly TDS filing by your employer.
Employer HR Portal / Payslips
Your monthly payslips and HR self-service portal give early visibility into projected TDS deductions throughout the year. Useful for planning — but carry no legal evidentiary weight.
Your Goal Best Source
Filing your ITR accuratelyForm 130 Part C (Annexure-I)
Verifying TDS was actually depositedForm 26AS or AIS
Checking all income sourcesAIS (most comprehensive)
Real-time tax trackingForm 168 — Tax Passbook
Mid-year planningPayslip / HR portal
TDS mismatch noticeForm 130 + Form 26AS
Senior citizen caseForm 130 Annexure-II
HOW TO ACCESS AIS
Log in to incometax.gov.in → Services → AIS. Download the full PDF and compare salary and TDS figures line by line against your Form 130.

How Form 130 Helps in ITR Filing

When tax season arrives, Form 130 becomes your most important reference document. Part C (Annexure-I) contains the complete tax computation — gross salary, all deductions, total taxable income, and net tax payable — in one structured place.

When you log in to file your return on incometax.gov.in, the portal pre-fills your ITR using data from your employer's quarterly filings. Your role is to cross-check this pre-filled data against your Form 130, not to re-enter everything manually. If the figures match, you can proceed confidently. If there is a discrepancy, raise it with your employer first — they may need to file a revised Form 138 — then verify the correction on AIS before submitting.

You are not required to attach Form 130 when filing your return online. However, keep it safely stored for at least seven years. If the Income Tax Department ever sends a scrutiny notice, this certificate is your primary documentary proof of tax deduction and payment.

Part C Verification Checklist

When your employer issues Form 130, go through these key rows before filing your ITR. Catching an error at this stage is far simpler than correcting it post-filing.

Row A
New regime choice — Yes/No for opting out of Section 202(1)
Determines which deductions apply. Incorrect entry changes your entire tax calculation.
Row 1(a)
Gross salary matches total of your monthly payslips
The base figure for all subsequent rows. Even a small discrepancy compounds significantly.
Row 1(b)
Perquisites under Section 17 correctly valued
Taxable benefits like company car, rent-free accommodation, or ESOP must appear here.
Row 2(b)
HRA exemption under Section 11 is correct
Many employers under-claim HRA. Verify using actual rent paid, your salary, and city category.
Row 4(b)
Standard deduction equals ₹75,000
This flat deduction under Section 19(1) should always be ₹75,000 — no conditions, no exceptions.
Row 6
Income under "Salaries" head matches AIS salary entry
This is the figure the ITR portal will use. Cross-check it against AIS before filing.
Row 10(a)
Section 123 deduction matches your investment declarations
Replaces old 80C. Covers LIC, PPF, ELSS, EPF, home loan principal. Cap is ₹1.5 lakh.
Row 10(d)
Section 126 health insurance premium correctly shown
Replaces old 80D. Check premiums for self, spouse, children, and parents are all captured.
Row 12
Total taxable income — the number your tax slab is applied to
Verify this reflects all corrections before submitting. This figure drives your final tax liability.
Row 17
Tax payable (including surcharge + 4% cess) matches Part B TDS total
Any gap means excess deduction or a shortfall — both need resolution before filing.
Row 21
Net tax payable after all TDS credits
Should be zero or near-zero for most salaried employees with accurate declarations.

5 Common Mistakes to Avoid

1
Not verifying the PAN printed on the certificate
A wrong PAN means the TDS credit will not reflect in your account — the government has no record linking the deduction to you. Check this immediately when you receive the certificate and raise a correction with your employer if needed.
2
Deleting the email attachment after ITR filing
Form 130 must be retained for a minimum of seven years. Tax scrutiny notices can arrive years after the original filing, and this certificate is your primary documentary defence.
3
Accepting pre-filled ITR data without cross-checking
The portal pre-fills your return from employer-submitted data, but discrepancies do occur. Always verify the pre-filled figures row by row against your Form 130 before submitting — corrections are much harder post-filing.
4
Not collecting Form 130 from a previous employer
If you switched jobs during the Tax Year, you must collect separate certificates from every employer. Missing one means unreported income or unclaimed TDS credit — both create compliance issues.
5
Accepting a manually typed or Excel-generated certificate
Any Form 130 not downloaded from TRACES is legally invalid under the 2025 Act. Stricter digital compliance mandates mean only TRACES-generated certificates will be accepted during scrutiny. Do not accept any substitute.

Latest Updates 2026

The Income Tax Act 2025 brings several important terminology and structural changes that affect how your Form 130 looks compared to what you were used to seeing on Form 16.

The most visible change is the renaming of deduction sections. Section 123 covers life insurance premiums, PF contributions, and notified pension schemes — broadly replacing the old 80C. Section 126 covers health insurance premiums (replacing 80D). Section 133 covers donations to charitable institutions (replacing 80G). Section 124 covers NPS contributions, and Section 125 covers the Agnipath scheme — both updated with no exact predecessor equivalent.

The unified "Tax Year" concept eliminates the perpetual confusion around Assessment Year versus Financial Year. Tax Year 2026–27 refers to income earned from April 1, 2026 to March 31, 2027, and ITR filing happens within the same calendar reference — no more one-year offset to track.

On digital compliance, the 2025 Act mandates strict electronic-only issuance. Employers cannot produce offline or manually prepared certificates. Every valid Form 130 must originate from TRACES, with each entry matched against actual TIN 2.0 challan deposits before the certificate can be generated and downloaded.

Old Section (Form 16) New Section (Form 130) What It Covers
Section 80C Section 123 LIC, PPF, ELSS, EPF, home loan principal, NPS etc.
Section 80D Section 126 Health insurance premiums — self, family, parents
Section 80G Section 133 Donations to charitable institutions and funds
Section 80CCD(1B) Section 124(3) Additional NPS contribution by employee
Section 80CCD(2) Section 124(1)(a) NPS contribution by employer
Section 80E Section 129 Interest on education loan
Section 80TTA Section 153 Interest on savings account deposits
Section 87A Section 156 Tax rebate for lower income brackets
Section 89 Section 157 Relief for arrears of salary
SB
CA Sagar Batra
Chartered Accountant • Tax & Compliance Expert
10+ Years of Experience
CA Sagar Batra is a practicing Chartered Accountant with over a decade of experience in taxation, compliance, and financial advisory. He specializes in income tax regulations, TDS compliance, and helping individuals and businesses stay aligned with the latest legal frameworks.