June 12, 2022

About Annual Information Statement-the new Form 26AS

 

Annual Information Statement (AIS) is an extension of the earlier form 26AS. Annual Information Statement (AIS) is nothing but a statement of financial transactions, furnished to it by various entities in respect of a taxpayer, collated by the tax department based on the PAN. These entities includes banks, NBFCs, post office, registration offices, regional transportation office, authorized dealers dealing foreign exchange, stock exchanges, mutual funds, companies issuing shares and debentures, RBI and all the taxpayers who are liable to deduct and collect tax at source.

The objective of the AIS is

ü  display complete information to the taxpayer and promote voluntary compliance

ü  to promote transparency

ü  to simplify the tax return filing process,

ü  deter non-compliance


CBDT vide Notification dated May 28, 2020 has amended Form 26AS vide Sec 285BB of Income Tax Act, 1961 r.w.r.114-I of Income Tax Rules, 1962 w.e.f. 01.06.2020.

It provides complete information about a taxpayer for a particular financial year. It contains information about taxpayers’ incomes, financial transactions, tax details, income-tax proceedings, etc. The earlier Form 26AS contained only information about TDS, TCS and taxes paid by the taxpayer.

The information available in AIS is displayed in Part A and Part B.

Part A contains the general information about a taxpayer

·         PAN,

·         Aadhaar,

·         Name,

·         Date of Birth,

·         Mobile Number,

·         E-mail Id, and

·         Address

Part B contains the comprehensive information of all financial transactions of the taxpayer provided by the entities, for the selected financial year based on his or her PAN details. The information in Part B is divided into the following categories:

  • TDS/TCS Information:  It is similar to the information displayed in Form 26AS
  • SFT Information: This section includes information received from banks and NBFCs with regard to Special  Financial Transaction (SFT) undertaken by the taxpayer during the year like purchase or sale of immovable property.
  • Payment of Taxes: It shows taxes paid by the tax payer along with the type of payment (advance tax, self-assessment tax, interest, etc. and details of challan-challan no., date, etc.
  • Demand and Refund: It displays the outstanding demand of tax by department along with quantum and current status.
  • Pending Proceedings
  • Completed Proceedings
  • Other Information in relation to sub-rule (2) of rule 114-I

 The new Annual Information Statement (AIS) will include the information of the following key categories:

1.       Salary

2.       Rent received and paid

3.       Dividend

4.      Interest from bank accounts or other deposits, bonds or government securities, infrastructure debt funds, etc. 

5.       Interest from income tax refund

6.       Rent on plant & machinery

7.       Winnings from lottery or crossword puzzle, Horse Race

8.       Receipt of accumulated balance of PF from employer 

9.       Income and long-term capital gain from units by an offshore fund, shares, bonds, etc. 

10.   Income of foreign institutional investors from securities

11.   Insurance commission

12.   Receipts from life insurance policy

13.   Withdrawal of deposits under national savings scheme

14.   Receipt of commission etc. on sale of lottery tickets

15.   Income in respect of units of non-resident

16.   Payment to non-resident sports person or sports association

17.   Income from investment in securitization trust

18.   Purchase and sale of land or building, immovable property, or vehicle

19.   Purchase and sale of securities and units of mutual fund 

20.   Purchase of time deposits

21.   Off market debit and credit transactions

22.   Business receipts and expenses

23.   Any other Miscellaneous payment

24.   Cash deposits, withdrawals, and payments

25.   Outward foreign remittance/purchase of foreign currency 

26.   Receipt of foreign remittance

27.   Foreign travel

28.   Debit/Credit card 

29.   Income distributed by Business trust, or Investment Fund

All transactions in these categories would be reported by the respective authorities, despite the value of the transaction. 

The above list is just indicative. It is your overall financial profile and will be fine-tuned to include more categories.

Other features of new AIS are:

  • Use of Data Analytics to populate PAN in non-PAN data for inclusion in AIS eg. In case no PAN /valid PAN is available for the transaction, PAN will be populated based on Aadhaar or other key attributes
  • Deduplication of information and generation of a simplified Taxpayer Information Summary (TIS) for ease of filing return
  • In case of any discrepancy in the information furnished in AIS, the taxpayer will be able to submit online feedback on the information displayed in AIS and also download information in PDF, JSON, CSV formats.
  • AIS Utility will enable taxpayer to view AIS and upload feedback in offline manner.
  • AIS Mobile Application will enable taxpayer to view AIS and upload feedback on mobile.

If the taxpayer feels that the information is incorrect, relates to other person/year, duplicate etc., a facility has been provided to submit online feedback.

Any transaction reported in AIS which the taxpayer has not executed must be reported online and modified.

However, if you have already filed your income tax return and have found additional info in AIS, you can revise it based on the information displayed in AIS.

The followings are the steps to access the AIS information online:

Step 1: Log in to the Income-tax e-filing website at https://www.incometax.gov.in/

Step 2:  After login, click on Services > Annual Information Statement (AIS)

Step 3:  A message shall appear that will prompt you to click on ‘proceed’ to redirect to AIS homepage.

Step 4: You will have to select either of the two options: Taxpayer Information Summary (TIS) or Annual Information Statement (AIS). On the web page tab that opens, select 'AIS'
It will also show the financial year for which AIS is being downloaded, your PAN and name.

Step 5: Select the download Arrow on the AIS box. A pop-up will appear asking you to select the format for downloading AIS. The statement can be downloaded in PDF format and JSON utility.

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