Form 12B – Furnishing salary details to the present employer

As per income tax rules, an employee has to submit his previous employment’s salary details to the present employer if in between the financial year he has joined the company after leaving another company (i.e. former employer). Such salary details are to be submitted in form 12B to the present employer.

Following details are to be presented in form 12B;

• Previous organization’s PAN and TAN
• Salary break ups from your previous company
• Income tax deductions
• Income tax deducted at source (TDS) by previous company
• Other details as required

Details as listed above are to be issued based on the information that you can obtain from your previous organization or from your previous organization’s salary slip. Submitting salary details of previous organization is not mandatory but you need to do it because non disclosure of such things to present employer may result in less TDS deduction and at the end of the year you are required to pay balance liable tax with penal interest. 

We advise you to submit form 12B even if your salary was non-taxable with your previous employer as there are chances that by taking past and present salary you may be in taxable limit of income tax.

After getting form 12B, your organization will calculate tax by taking salary of past and present organization together and at the end, your present organization will issue a consolidated form 16 and 12BA showing your entire income under the head salary and TDS deducted out of it. You will also receive form 16 from your past organization. If TDS showing on form 16 issued by past employer is correctly reflecting in consolidated form 16 of the present employer then you need to go by the consolidated TDS certificate and file your income tax return. In case it is required you need to produce both certificates (i.e. issued by present and past employer) before your assessing officer, so we suggest you to retain both form 16 with you. To know more on multiple from 16 please read this article

Your employer may ask you to fill out 12B details online instead of giving a physical copy. In case they asked you to do so then you can submit above details to them and that will be treated as if you have submitted form 12B.

12B can be downloaded from income tax website by using this link