All about 26AS, AIS and TIS

Hi guys, We all are familiar with Form 26AS. However, Income Tax Department has amended Form 26AS vide Notification dated 28th May 2020, vide section 285BB of Income Tax Act, 1961 to simplify the tax filing procedures. This Amendment is made applicable w.e.f. 1st June 2020. So let's look into all about these amended forms.

Firstly, Let's have a brief discussion about old Form 26AS-

Form 26AS is an annual consolidated tax statement issued to the Permanent Account Number holders. It is also known as Tax Credit Statement or Annual Tax Statement.

Form 26AS is divided into the following parts:

• PART A: Tax Deducted at Source
  
• PART A1: Interest or Income on which TDS has not been deducted due to submission of Form 15G/15H
  
• PART A2: TDS u/s Section 194IA from Sale of Immovable property (for Seller)
  
• PART B: Details of Tax Collected at Source
  
• PART C: Details of Tax Paid (other than TDS or TCS)
  
• PART D: Details of Paid Refund
  
• PART E: Details of SFT Transaction
  
• PART F: TDS u/s Section 194IA from Sale of Immovable Property (for Buyer)
  
• PART G: TDS Defaults (Processing of Statements)
• PART H: Details of Turnover as per GSTR-3B

Every Taxpayer used to refer to Form 26AS to check all information related to TDS, TCS, Taxes paid and other information. Since the data recorded in Form 26AS is already with the Department, Every Taxpayer should match the details declared in ITR with details in Form 26AS. In case of any discrepancies found between Form 26AS and the ITR, an Income Tax Notice will be issued to the respective assessee.

Form 26AS on the TRACES portal would also persist until the new AIS has been validated and is fully operational.

Now, Let's understand the amended Form 26AS-

Annual Information Statement (AIS) is the amended Form 26AS. It includes comprehensive financial transactions carried out by the taxpayer.

In addition to information relating to TDS, TCS & Taxes paid, AIS also includes information relating to Dividend, Interest, Foreign Remittances, Off-market Transactions, Securities and Mutual Fund Transactions.

AIS is a comprehensive view of information for a taxpayer displayed in Form 26AS.

AIS is divided into two parts- PART A and PART B.

Part A contains general information such as Permanent Account Number, Masked Aadhaar Number, Name, Date of Birth/Incorporation/Formation, Mobile Number, Email Address and Address.

Part B contains tax-related information and is divided into the following categories-

• TDS & TCS Information

• Specified Financial Transactions(SFT) Information

• Payment of Taxes

• Tax Demand & Refund

• Pending Proceedings

• Completed Proceedings

• Other Information

AIS can be downloaded in PDF, JSON and CSV formats. Taxpayers can submit feedback about information stated in AIS in both online and offline mode.

A taxpayer is expected to check whether all the transactions in AIS have been properly considered while filing ITR.

AIS can be accessed by going to the “Services” tab on the Income Tax e-filing portal and clicking on the link “Annual Information Statement (AIS)” The downloaded AIS will be password protected and the password is the combination of your PAN with your Date of Birth (DDMMYYYY)

Taxpayer Information Statement (TIS)-

TIS is a category-wise aggregated information summary for a taxpayer.

• It shows the Processed value (i.e. value generated after deduplication of information based on pre-defined rules) and

• Derived value (i.e. value derived after considering the taxpayer feedback and processed value) under each information category (e.g. Salaries, Interest, Dividend etc.)

The derived information in TIS will be used for prefilling ITR. When a taxpayer gives information on AIS, the derived information in TIS is updated automatically in real-time.

It is very important to review the AIS and provide feedback. If there is a mistake in AIS and you have not provided feedback requesting the correction, it may be assumed that the information reflected in AIS is correct and the income tax department may ask you to explain the discrepancy between the information in the AIS and the information in your income tax return.

Taxpayers should cross-check that all the related information is considered and report accurate and complete information on their Income Tax Return.

If there is a discrepancy between TDS/TCS or tax payment information shown in Form 26AS on the TRACES portal and the TDS/TCS information or tax payment details displayed in the Annual Information System on Compliance Portal, the taxpayer may rely on the information displayed on TRACES portal for the purpose of filing ITR and other tax compliance purposes.

Taxpayers can also refer to Annual Information System documents (AIS guidebook, Presentation, User Guide and FAQs) in the “Resources” tab or contact the help desk via the “Help” tab on the AIS Homepage in case of any queries.

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Hemanth Uppala

Chartered Accountant

Content Writer | TAX DESTINATION