What is Penalty for non-issuance of Form 16/16A?
Nexa Consultancy | Startup & Finance Glossary
Failure to issue TDS certificates (Form 16 for salary, Form 16A for other payments) by the due date attracts a penalty of ₹100 per day of default for each certificate.
Startup Example: A startup with 20 employees fails to issue Form 16 by the due date of June 15th. It could face a penalty of ₹100 * 20 employees * number of days of delay.
Our payroll and TDS services ensure all forms are issued on time.