Verify Tax Proofs
Check how to manually verify investment proofs in RazorpayX Payroll.
Tax proofs verification begins after the proof upload window closes. Ensure that your employees have submitted their proofs on time.
Watch Out!
Tax verification depends on your verification settings.
- If you chose Let XPayroll Verify, Payroll verifies the proofs for your employees. We update you once the activity is complete.
- Let Organisation Verify: You must carry out the verification by yourself.
To accept proof of investments for the investments declared by your employees, the proof upload window must be open. However, the duration of the proof upload window depends on your Verification Settings.
You can verify employee's tax proofs only if you have selected Let Organisation Verify in General Settings → Verification Settings. You can also check the verification status.
To check the verification status:
- Log in to the .
- Navigate to ADMIN OPTIONS → Reports → Tax Deductions.
- In the Proof Verification Status column, you can check if the employees' proofs are verified.
To verify the investment proofs manually:
- Log in to the .
- Navigate to ADMIN OPTIONS → Reports → Tax Deductions.
- In the Proof Verification Status column, you can check if the employees' proofs are verified.
- To verify the employee's pending proofs, click on PENDING.
This opens the investment pages where the proofs are yet to be verified. To verify the proofs:
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Click Manage proofs.
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Check the attachments in the Proof Document column. Click to view them in a new tab.
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Review the amount and comments. Click Accept proof or Reject proof.
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In the pop-up modal, modify the amount as approved according to the proof submitted. Provide comments, if any.
Handy Tips
Click Undo verification to undo proof verification.
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Click Continue.
This successfully approves the proofs for one investment. Repeat the process across all the investments.
- After you verify the HRA proofs and click Continue, Payroll automatically moves to the next pending proof. For example, after HRA, you verify the Section 80 deductions.
- As there are many Section 80 deductions, clicking Continue moves you to the next pending proof within Section 80 deductions until the last proof is verified.
- You can also click Next Deduction to skip verifying the current proof.
- The Proof Verification Status remains in the
PENDINGstatus until you verify all the proofs the employee has uploaded. The status moves to COMPLETED when you verfiy all the proofs.
Handy Tips
Form 12BB is available for your employees on their dashboard under Tax Deductions. However, filling this form is non-mandatory.
Payroll verifies all the tax proofs submitted in January. However, some organisations that chose Let Payroll Verify might prefer to verify the tax proofs much later. To request a delay:
- Log in to the .
- Go to Settings → Tax Deductions Setup.
- Select Let Organisation Verify.
This ensures that we exclude you from the regular cycle of verifications.
Watch Out!
We do not recommend requesting delay as a change (usually a reduction) in an employee's declaration increases their TDS.
As a best practice, we optimise TDS deductions by deducting the tax over multiple months than in a single month. This ensures your employees receive a steady net take-home pay.
To re-start verifying investment proofs:
- Log in to the .
- Navigate to Settings → Tax Deductions Setup.
- Select Let Payroll Verify in Opt for Verification.
- and request to start verification.
Note that we do this on a best efforts basis, and we do not guarantee it.
After verifying the investment proofs, you can disable the Allow employees to update their tax deductions to disallow any investments and proof-related changes.
If you chose Let Payroll Verify, we update the
to Declaration with verified proofs to complete the proof verification activity.Was this page helpful?