Challenges People Face with Tax Returns after a Job Change - Kotak Life

Buy a Life Insurance Plan in a few clicks

Now you can buy life insurance plan online.

Kotak e-Term Plan

Protect Your family’s financial future with Kotak e-Term Plan. Know more

Kotak Assured Savings Plan

A plan that offer guaranteed returns and financial protection for your family. Know more

Kotak Guaranteed Savings Plan

A plan that offers long term savings and insurance in one premium. Know more

Kotak e-Invest

Insurance and investment in one plan with Kotak e-Invest. Know more

Kotak Health Shield

Insurance against medical expenses related to heart, brain, liver and Cancer. Know more

Problems People Face with Tax Returns after a Job Change

Problems People Face with Tax Returns after a Job Change
  • 10th Mar 2021 |
  • 2,089

As exciting as a new job can be, it can also be very intimidating with so many changes. One of which can be filing your tax returns after the job change. Job changes can lead to some confusion in salary slips. The increase in income, added benefits, allowances, etc., can impact your tax liability. Moreover, when you change jobs within a financial year, you get a form 16 from all of your employers. This can often cause misconceptions and errors in filing tax returns.

Here are some problems that people face when with tax returns after a job change and how they can solve them:

1. Incorrect calculation of tax by the employer: Due to several reasons, some people do not inform their new employer of their previous job’s salary structure. By hiding this information from the employer, the new company is forced to calculate income tax solely based on the salary it pays. There is no acknowledgement of the tax that the previous company has deducted at source. This causes miscalculations for the taxpayer.

Solution: Always inform the new employer about the previous salary structure.

2. Not receiving form 16: Even after quitting a job, the employer is obligated to provide its employees with form 16. This document is essential in filing tax returns. Many people forget to ask their previous employer for this form and face trouble later.

Solution: Ask the employer for a form 16 to avoid last-minute hassles.

3. Not mentioning salary from part-time jobs: Even if a person has worked with a company for only a month, the salary drawn must be accounted for while filing tax returns. Forgetting to add previous salaries and income information can lead to discrepancies in tax filing. The income tax department can also issue a notice in this regard.

Solution: Mention all salary sources, including income from freelance roles and part-time jobs.

4. Rechecking all exceptions and allowances: Allowances can differ from job to job. For instance, not all employers give a house rent allowance (HRA) to their employers. In addition to this, with an increase in income, an individual may like to invest their money in investment and savings schemes. This too can bring some element of confusion while computing taxes.

Solution: Make sure to check the allowances offered by a new employer. In the case of HRA, remember to submit rent receipts of the financial year well in time. Tax deductions can be claimed under Section 80C, 80D, 80G, etc. In case of new tax savings strategies and investments, consult a financial advisor for better advice.

5. Discrepancies in form 26AS: Form 26AS contains information of Tax Deducted at Source (TDS) through the financial year. In the case of multiple deductors, this form will contain TDS by all of an individual’s employers. Any discrepancies in form 26AS and form 16 can result in the incorrect computation of tax. Sometimes, in the case of a job change, there may be a difference in the figures on the two forms.

Solution: In order to be entirely sure, it helps to compare and verify form 26AS with job payslips and bank statements. If there is any inconsistency in numbers, it is crucial to inform the new employer and have it solved before tax filing begins for the concerned year.

Kotak’s tax-saving guide

Kotak’s tax-saving guide helps taxpayers ascertain the right practices when it comes to income tax filing. It can help individuals understand suitable ways to save tax by investing their money in plans that enable them to build their savings corpus.

Download Brochure


  • Increasing Life Cover*
  • Guaranteed^ Maturity Benefits
  • Enhanced Protection Through Riders
  • Tax Benefits
  • Dual Benefits: Guaranteed^Maturity + Death benefits

Ref. No. KLI/22-23/E-BB/999


Browse our library of resources

Download Brochure


  • Enhanced Protection Through Riders
  • Life Cover
  • Tax Savings
  • Multiple Premium Payment Terms
  • Guaranteed @ Loyalty Addion
  • Accrued Guaranteed @ Additions

Ref. No. KLI/22-23/E-BB/490


- A Consumer Education Initiative series by Kotak Life

Similar Articles

How To Save Tax Better with 80C

How to Download Form 16?

What is the Last ITR Filing Date and Penalty for Late Filing of ITR?

5 Popular Tax-Saving Schemes in India

All about TDS on Salary under Section 192 – Kotak Life

Tax Benefits for Startups in India

How to View 26AS and Download Form 26AS Online?

Difference Between Guaranteed and Assured Returns

How to File TDS Return?

Income Tax Deductions Under Section 80C

Tax Saving Tips: Best Ways to Save Income Tax for 2021

What is ITR 5 Form and How to File ITR 5?

How to View 26AS and Download Form 26AS Online

How to Pay Advance Tax Online in India

Penalty For Late Filing TDS Return

How to File Income Tax Return for First Time Tax Payers

Income-Tax Liability- The Difference Between Gross Income & Total Income in Calculating Income Tax

What is the TDS Rate on Salary?

All You Need to Know About Section 80C

Understanding Tax Exemptions in ULIP (Old and New)

Tax Deductions You MUST Know

Section 44AD of Income Tax Act for AY 2021-22

What is Form 16B?

Why January Is an Important Month for Saving Tax?

8 Things to Help You Select a Savings Investment plan

52 Weeks Savings Plan: Daily Savings Plans for a Better Tomorrow

Income Tax Benefits for Doctors

Home Investment Plan to Buy Dream Home

Section 10 (10d) of Income Tax Act, 1961 on Payouts of Life Insurance Policy

What are Deferred Savings Plans?

How To Save Tax Using Life Insurance?

When Should TDS be Deducted and Who is Liable to Deduct it?

Challan 280 - How to Use Challan 280 to Pay Income Tax

भारत में महिलाओं के लिए सरकारी योजना

Difference between Section 80C, 80CCC, 80CCD & 80D

Section 80G of the Income Tax Act

What Is Advance Tax and How Is It Calculated?

What To Do If Your TDS Is Not Deposited With The Government?

How to Save Income Tax with Insurance

Presumptive Taxation for Business and Profession

Saving Income tax in 2017 - 18

Financial Benefits and Government Schemes Every Woman in India Should Know

5 Unusual Investments You Didn't Know for Saving Taxes in India

How to save tax for salaried person?

Things to Do After Filing Income Tax Returns

Section 16 of the Income Tax Act (ITA), 1961

All about TDS Payment Online & Due Dates

Why Tax Planning Should Be an All-year Round Activity

What is a savings plan?

Income Tax Slabs and Rates in India for FY 2021-22/AY 2022-23

Guaranteed Return Plans-Why is it a must for you?

Income Tax Deduction Under Section 80CCC In India

Pradhan Mantri Suraksha Bima Yojana

सुकन्या समृद्धि योजना (SSY) के कर लाभ क्या हैं?

Tax Benefit of Investing in Term Plan

Sub-sections Under Section 80C of the Income Tax Act, 1961

What is the Difference Direct Tax and Indirect Tax

Insurance and Endowment: Everything You Need to Know!

आयकर स्लैब 2021-2022

How can I get Form 16B from traces?

Tax-Free Income in India

What is the Maximum Maturity Benefit in Assured Savings Plans?

How to File Income Tax Return - Everything You Need to Know

How to e file ITR on Income Tax Government Portal

TDS Due Dates of FY 2020-21 For Return Filing

What is TDS Refund Process?

What is TDS Exemption Limit?

How to Check Income Tax Returns Status Onine?

Income Tax Deductions for Disabled Person Under Section 80U

Tax Planning and Tax Benefits of Life Insurance

What is Form 26AS - All You Need To Know

What is Tax Evasion and What Are The Penalties For Tax Evasion In India?

What is Section 195 of the Income Tax Act? TDS on Non-Residents of India

What is Section 80C Deduction?

A Comprehensive Guide to Understand the ITR 7 Form

How to Calculate returns on an assured savings plan?

Financial Planning and Best investment options for Housewives

How to e-Verify your Income Tax Return

Are Financial Planning and Tax Planning the Same Thing?

Income Tax Filing Using Multiple Form 16

How to Check Income Tax Refund Status Online in India

9 Income Tax Myths That Could Cost You Money while Filing returns

इनकम टैक्स रिटर्न कैसे फाइल करें?

Budget 2019: Impact on the Common Man in India

A Guide to Life Insurance Policy’s Tax Benefits and Taxability

What is HRA (House Rent Allowance) and How is HRA Exemption Calculated?

What is Section 80C - Explained in Detail

Everything You Need to Know About Tax Benefits of National Pension Scheme (NPS)

Excess TDS Deduction – Claim TDS Refund

Income Tax Exemption for Disabled

Types of Income Tax Return (ITR) Forms

Income Tax Deductions & Exemptions under Sections 80C, 80D & 80DDB for FY 2021-22 & 2022-23

Tax Benefits of ULIP Plans Available for NRIs

What is Section 80C Deduction Limit?

How to Get Form 16?

E-Filing of Income Tax Returns in India

Can You Get Term Insurance Without Income Proof?

Save Income Tax by 31st March: Here Is a Checklist

How to Check Income Tax Refund Status Online in India

Section 80E: Tax Exemption on Interest on Education Loan

Section 80D - Medical and Health Insurance Tax Benefits Under Section 80D

How to File Income Tax Return without Form 16

Income Tax Filing For NRI in India

आयकर रिटर्न (आईटीआर) फॉर्म के प्रकार

What is the Difference between Form 16 and Form 16A?

धारा 80सी आयकर अधिनियम, 1961

ITR 1: Sahaj Form

List of Important Income Tax FAQs

Types of Riders in Insurance Policy

Tax Saving Options for Salaried Employees

How Much Money This Budget 2019 Can Help You Save

Investing Lump Sum Amount

Received an Income Tax Notice? Your Guide to Understanding Intimations under Section 143 (1)

Tips to plan your savings in 2019

Tax-Savings Investments and Options in India

What is the Percentage of Tax Deducted at Source (TDS)?

What are Direct Taxes? How to Avoid being Overtaxed?

What is Tax Deduction at Source (TDS)?

Guide for Tax Calculation on your Salary

Investment Proofs You Need Submit To Lower TDS Cut From Your Salary

Top 8 Tax-Saving Methods in India- Budget Planning

Should one prefer a guaranteed savings plan over monthly income schemes?

Union Budget Highlights – 1st February 2022

Tax Season Is Coming- Know How to Save Tax

ITR-6: Guide to filing ITR-6 Form online

Tax Exemption and Scope of Coverage

प्रत्यक्ष कर और अप्रत्यक्ष कर में क्या अंतर है?

What is ITR & How to File Income Tax Return?

Who Should Invest In Savings Plan

Income Tax Exemption for Physically Handicapped Dependent

What is Section 10D of the Income Tax Act?

धारा 80डी आयकर अधिनियम, 1961

What is Form 16A?

Interest Imposed Under Sections 234A, 234B and 234C

What is Salary Protection Insurance and Why You Need It

Why is Form 16 Important?

What is Section 80CCC of the Income Tax Act 1961

Tax Saving for Self Employed in India

What Investment Options Come with Tax Incentives?

Tax Structure in India

Tax Saving Guide for 2019-20

How to Save Tax on Salary Arrears?

LTC Cash Voucher Scheme October 2020 – Everything You Need to Know

Tax Saving Options other than Section 80C

Impact of GST on Life Insurance in India

ITR 2 Form – Complete Guide

Section 80C Deductions as per Income Tax Act, 1961

How to File Form 10E for Tax Relief on Salary Arrears?

A Complete Guide for Filing ITR 3 Form

What are the Different Types of Taxes in India?

How to file Form 16 online?

How to File Form 16 for Salaried Employees?

What is TDS Slab?

Do Beneficiaries Pay Taxes on Life Insurance?

How to File ITR Online

Have You Considered Term Insurance a Part of Your Tax Planning?