"Mismatch for your return. Please respond." If this e-mail lands in your inbox from the profits Tax branch, possibilities are you skipped a essential step: reviewing your Annual data declaration (AIS) before filing your earnings Tax go back (ITR).
As the tax filing season for FY 2024-25 (AY 2025-26) begins, hundreds of thousands of taxpayers are accumulating documents and calculating deductions. However before clicking 'submit' to your return, it's important to verify your declared earnings with the information for your AIS.
Why AIS topics
CA Nitesh Buddhadev, tax planner and wealth expert, shares a cautionary tale:
"a chum filed the whole lot on time. His return looked first-rate. However a missed profits access-certainly seen in the AIS-brought on a note. It took weeks to solve."
This is not an isolated incident. The profits Tax department has stepped up surveillance the usage of AI and analytics, making it simpler to flag even minor mismatches. A small oversight in stated profits-particularly if it differs from what is captured in AIS-can bring about automatic scrutiny or maybe penalties.
What's AIS?
The once a year statistics announcement is a comprehensive precis of your economic footprint, compiled from information reported by means of banks, mutual budget, employers, agents, and different institutions. It expands on form 26AS, which only showed TDS, TCS, and some high-cost transactions.
AIS includes certain facts of:
Income income
Financial institution and FD hobby
Dividends (home and foreign)
Capital profits from shares, mutual funds, etfs
Belongings transactions
Overseas remittances
Lease received
High-price purchases (motors, rings, foreign travel)
It indicates both aggregate and transaction-clever data with source info like account numbers, bank names, and dates. For example, if you earned ₹1,seven-hundred in financial savings account hobby and ₹42,000 from fds, form 26AS may show only the FD (because of TDS), but AIS will replicate both.
What takes place if you don't healthy It?
Failing to reconcile your return with your AIS can cause penalties as much as 200% of the underreported tax and hobby up to 24% in line with annum underneath Sections 234B and 234C of the income Tax Act.
How to test and correct Your AIS
Observe these steps to access your AIS:
Go to www.incometax.gov.in
Log in using your PAN/Aadhaar and password
Navigate to 'offerings' > 'Annual statistics assertion (AIS)'
Click 'proceed' to view it
To download the PDF, use the password: PAN (in lowercase) + Date of beginning (DDMMYYYY)
If you spot any discrepancies, click on at the transaction and pick 'upload remarks' or 'optionally available' to publish corrections.
Your comments is then established with the source organization. The AIS portal will show the remarks reputation as time-honored or Rejected. You may music this fame underneath each transaction.
Tax branch's latest update
In a put up on X (previously Twitter) on July sixteen, 2025, the profits Tax branch clarified:
"Taxpayers can provide feedback on each transaction in the AIS. Disputed entries are established with the reporting source. AIS will display the feedback popularity as general or Rejected."
Bottom Line
Reviewing your AIS isn't always simply desirable practice-it is critical for correct tax submitting and fending off destiny notices. Make certain that every one income indexed in AIS is both efficiently mentioned to your ITR or disputed through the AIS feedback process.
With AIS becoming imperative to tax compliance, taking five minutes now can save you weeks of strain later.
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