New Feature Introduced By Income Tax Department, Read About It!

According to the Income Tax Department, taxpayers regarding “mismatches” between the data entered in the Income Tax Return (ITR) and the department’s database of specific financial transactions for the assessment year 2021–22 (FY 2020–21) are currently being sent out.

The tax department advised taxpayers to examine their Annual Information Statement (AIS) by accessing it via the agency’s website’s electronic filing interface. Update the ITRs if any inconsistencies, mismatches, or missing data are detected (ITR-U). 

What is an Annual Information Statement?

The Annual Information Statement provides taxpayers with a complete disclosure of all financial transactions made throughout a fiscal year. The financial transactions reported to the Income Tax Department by banks, RTOs, stock exchanges, and other corporations are included in the statement that can be accessed through the income tax site.

Part A of the annual information statement contains the taxpayer’s general information, while Part B contains the TDS/TCS information.

Part A:

The taxpayer’s general information in this section of the AIS includes his name, PAN, date of birth, masked Aadhaar number, phone number, email address, and so forth.

Part B:

Tax deducted at source (TDS), tax collected at source (TCS), specified financial transactions (SFTs), payment of taxes, demand and refund, gains from other sources such as lottery, crossword puzzle, horse race, etc., receipt of accumulated balance from provident fund (PF), interest from bonds, government securities, offshore fund, shares of Indian companies, insurance commission, etc. are all included in this section of AIS.

An Annual Information Statement’s primary objectives are to help taxpayers’ easy filing of income tax returns (ITRs), encourage voluntary compliance, and—most importantly—deter non-compliance.

Steps To Access the Annual Information Statement?

The taxpayers must log in to the income tax e-filing website, www.incometax.gov.in, and take the following steps to view the Annual Information Statement:

• Go to https://www.incometax.gov.in/ and log in.
• Choose the Annual Information Statement (AIS) from the dashboard’s “Services Tab.”
• After selecting the “Proceed” option, the AIS portal will be displayed to you.
• To access the Annual Information Statement, select the AIS tab.

OR

• Go to https://www.incometax.gov.in/ and log in.
• Once logged in, select the “e-File” option.
• Select Income Tax Return and proceed to examine the AIS.
• To access the Annual Information Statement, select the AIS tab.

Steps To Correct Errors In The Annual Information Statement

Taxpayers can submit an updated response if they believe the data shown in AIS for the specific assessment year is not accurate. Every entry in the statement, including financial transactions and personal data, can be reviewed.

Steps to correct the error in the Annual Information Statement:

• Visit the income tax e-filing system by logging in at incometax.gov.in.
• Under the “Services tab,” choose “Annual Information Statement (AIS).”
• Two alternatives will appear in a new window that opens: Annual Information Statement (AIS) and Taxpayer Information Summary (TIS)
• Click the AIS button.
• Parts A and B of the AIS will appear in a new window that opens.
• Choose the information that is inaccurate now.
• Choose “Optional” to provide feedback.
• You will have seven choices at your service. From the drop-down menu, pick the appropriate choice.
• Click Submit now. Real-time updates are made to the status as soon as taxpayers provide feedback.