What is an Anticipatory Income-tax Statement?
An Anticipatory Income-tax Statement is an estimation of income required to be submitted to the employer by the employee. This is done to estimate the income tax amount required to be deducted from the salary in the coming financial year.
Why is it important to furnish an Anticipatory Income-tax Statement?
On the basis of the anticipatory income statement and return, the estimated tax payable is calculated by the employer.
1/12th of tax payable is deducted from the salary of the employee every month in form of TDS(Tax deductible at source).
This terminology is not used in the Income-tax Act, of 1961 but is commonly used in companies.
What is the format of the Anticipatory Income-tax Statement?
There is no fixed format of Anticipatory Income-tax Return/Statement. You can amend the word format at your convenience or use PDF format as is.
Feel free to download and use the attached sample Anticipatory Income-tax Return format prepared by us.