How to E-File if you changed jobs

ClearTax will help you E-File

Congrats! So you changed jobs during the year. Best of luck with your new job :)

This interactive guide will help you understand how to E-File.

Let's get started.

Now, did you report your Salary from your old employer to your new Employer?

Go back   Step 1: Upload the latest Form-16

  • The Form-16 from your Employer No. 2 should contain your previous salary (from Employer No.1). (See the example Form-16 on the right)

    1 — Salary from previous Employer no.1

    2 — Taxable Salary from Employer no.1 and Employer no.2

  • Upload the latest Form-16 (From Employer 2).

  Step 2: Let's do some basic math :)

  • Go to the "Income Sources" section. You will notice that the total Income has been filled up.

  • Subtract the Salary from Employer No. 1 from the total.
    This is the Salary of Employer No. 2.

  • Scroll down to click on the button "Save and Add Another Salary".

Go to the Last step »

Example (see the Form-16):

Salary from Employer 2
= Income from head 'Salaries' - Salary from Employer 1
= 527414 - 375300
= 152114

  Finally, let's add the salary from the old Employer

Last Step:

  • Enter the Salary of your old Employer (as per the Form-16)

  • Press Save and you're done!

  You've successfully added both Salaries!

Go back   You may have some tax due. Here are reasons why:

Case 1: You did not report old Salary to new Employer

  • Your salary was Rs. 3,00,000 per annum in Infosys.
  • That means you fall in the 10% Tax Slab. So Rs. 3090 was deducted as TDS.
  • Then you moved to Accenture where your salary is Rs. 4,00,000 per annum. You did not report your Infosys Salary.
  • So Accenture considered total income in the year as Rs. 4,00,000. and took the 10% slab and only deducted Rs. 13,390.

  • However, both these incomes put together is Rs. 7,00,000. That means you fall in the 20% slab. And the total tax you have to pay is actually Rs. 66,950.

When you report incomes separately, they may each be taxed at a lower rate.

You may fall in a different tax slab.

Case 2: You got an 80C Deduction twice

  • The 80C Deduction is applicable just once on your entire income.

  • If you changed jobs, sometimes both your employers may have given you the benefit of the 80C Deduction.

  • You will end up having to pay tax on the extra deduction that you were given.

Both employers may have given you the benefit of 80C deduction on the salaries.

The deduction can be claimed only once.