Types Of Information Provided In An Annual Information Statement – Benefits And Salient Features
An Annual Information Statement mentions details of financial transactions such as salary details, purchase or sale of equities, mutual shares, bonds etc. of an individual. This statement also contains information related to TDS, TCS and any tax demand or refund as specified under the Income Tax Act, 1961.
The Annual Information Statement or AIS provides a detailed view of taxpayers’ income and their tax liabilities. Detailed information regarding a taxpayer makes the tasks of income tax officials much easier. Furthermore, having easy access to every individual’s tax-related information promotes transparency in the country’s taxation system. Taxpayers can view this document to know all information about your annual income and transactions. Moreover, they can file their Income Tax Returns (ITR) seamlessly.
Go through the following sections to know all the crucial details about the AIS and its benefits.
What is an Annual Information Statement (AIS)?
The Income Tax Department of India introduced the Annual Information Statement on November 1, 2021. Its purpose was to provide people with a single and detailed statement of their financial transactions in a year.
More importantly, with the introduction of this annual statement, the Income Tax Department sought to do two important things. It aimed to help taxpayers fill up their tax returns in a hassle-free way. Additionally, AIS intended to discourage people from not complying with the regulations.
Apart from providing comprehensive information about an individual’s economic affairs for a particular year, AIS also welcomes feedback from taxpayers regarding the displayed information.
What are the Different Types of Information Shown in an Annual Information Statement?
The information displayed in this statement can be divided into two parts—Part A and Part B. Their details are given below:
Part A: General Information
Here, a taxpayer’s general information is displayed. This includes his/her name, date of birth/incorporation/formation, the person’s contact details, PAN details and masked Aadhaar number.
Part B
The information displayed under this category is detailed below:
- SFT Information: This tab displays information provided by a Statement of Financial Transaction (SFT). It also displays the information value and information description along with the SFT code.
- Tax Payment Information: This tab displays information concerning taxes like self-assessment tax and advance tax.
- Demand and Refund: Every detail about demands raised and initiations of refunds in a particular year is displayed under this tab.
- TDS/TCS Information: This section displays all information regarding TDS and TCS, including information description, value and codes.
- Other Information : This section displays additional information like all data related to the Annexure-II Salary, outward foreign remittance, foreign currency purchase and interest received on refunds.
What are the Features of an Annual Information Statement?
Detailed below are the salient features of AIS:
- Data Analytics: The Annual Information Statement (AIS) uses data analytics to capture non-PAN transaction data.
- Inclusion of New Information: AIS includes information like dividends, securities transactions, interest, foreign remittance information and mutual fund transactions etc.
- Removal of Duplicated Information: For the purpose of generating an intelligible Tax Information Summary (TIS), all duplicate information gets removed from an Annual Information Statement.
- Feedback: There is a provision for submitting feedback with respect to the displayed information in the AIS. Taxpayers can provide feedback via offline and online modes.
What are the Benefits of an Annual Information Statement?
Given below are the benefits of using the AIS for taxpayers:
- Individuals can now provide comments regarding incorrect or duplicate information shown in their AIS.
- People can use AIS Utility to view their annual statements and provide feedback via offline mode. After the feedback is received, the AIS will display the original and corrected information separately.
- Taxpayers can preview their financial transactions much before they need to file ITR using their AIS. This will decrease the chances of enquiries and notices for minor or major errors.
Also Read: Deductions From House Property Income Under Section 24 Of The Income Tax Act
Difference Between Annual Information Statement and Form 26AS
The table below displays the differences between an Annual Information Statement and Form 26AS:
| Annual Information Statement | Form 26AS |
| Comprehensive statement showing purchase and sale transactions of immovable properties/securities, savings account interest, interest on deposits, foreign remittances etc. | Displays information regarding high-value investments, TDS/TCS transactions and property purchase transactions |
| Does not display GST details | Shows GST turnover based on the information in Form GSTR-3B |
| Contain details on transactions where tax deductions have not occurred | Does not display such information |
What is the Procedure to Check Your Annual Information Statement?
To check your AIS, you need to follow the given steps:
Step 1: Visit the official portal of the Income Tax Department and log in using your credentials.
Step 2: Navigate the cursor to ‘Services’ and click on ‘Annual Information Statement.’
Step 3: Click the ‘Proceed’ button.
Step 4: You will be redirected to the compliance portal. Here, you will get to see TIS (Tax Information Summary) and AIS (Annual Information Statement) on the homepage of AIS.
Step 5: Choose the relevant financial year. You can view TIS and AIS by clicking on the respective buttons.
Step 6: Click on the ‘Download’ button of the respective tiles for downloading TIS and AIS. You can easily download your TIS and AIS in PDF or JSON formats.
How to Submit Feedback on Your Annual Information Statement?
Given below are steps for feedback submission with regards to AIS:
Step 1: Go to the official e-filing portal of the Income Tax Department. Go to ‘Services’, click on ‘Annual Information Statement’ and then select ‘proceed’.
Step 2: You will be directed to the compliance portal. Here, you will be able to view your TIS and AIS on the homepage of AIS.
Step 3: Navigate to the Annual Information Statement tab.
Step 4: Go to the SFT information section and choose the details that you want to correct.
Step 5: In the ‘Feedback’ column, select the ‘Optional’ button. You will be redirected to the ‘Add Feedback’ page.
Step 6: Choose the relevant feedback type and fill in relevant information depending on the feedback option.
Step 7: Click on ‘Submit’.
If you need more information regarding the submission of feedback, you can check the Annual Information Statement User Guide. You will find this guide in the ‘Resource’ section of the ‘compliance’ portal.
Also Read: How To Pay Income Tax Online: 4 Advantages Of Income Tax E Payment
Final Word
This blog provides crucial details regarding Annual Information Statement (AIS), which provides comprehensive information regarding a taxpayer’s financial transactions for a year. This document displays information related to payment of taxes, SFT information, TDS/TCS details along with PAN, Aadhaar and general details of a person. Furthermore, you can submit feedback regarding the displayed information.
FAQs on Annual Information Statement
Ans: If you see that AIS contains incorrect/duplicate information, you can submit online/offline feedback. The reported value and value after feedback will be displayed separately on the AIS portal. If modification of the value takes place, you will receive a confirmation of the same. You can easily submit feedback through the AIS mobile app.
Ans: TIS stands for Taxpayer Information Summary. It is the aggregate of all values displayed in an AIS. TIS displays all values derived after feedback and removal of duplicate information. If there’s any modification or updating in AIS, the subsequent changes will take place in TIS automatically.
Ans: The password for AIS/TIS is a combination of a taxpayer’s PAN and date of birth. In case it is a corporation/firm or any other tax-paying entity, the date of formation or corporation will be used. For example, if your PAN is ABCDE0000B and your date of birth is April 24 1996, your password will be ABCDE0000B24041996.
Ans: An individual should check and submit all details of all his/her financial transactions while filing Income Tax Return (ITR). Though the IT Department provides all information they receive from financial institutions, they might miss unreported information in an AIS. Taxpayers should remember not omit such details while filing ITR.
Ans: Yes, Aadhaar numbers play an important role in AIS. If a person does not have PAN details, the IT Department will display information in AIS after matching his/her Aadhaar number with other crucial attributes. This is also referred to as PAN population.
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This article has been prepared on the basis of internal data, publicly available information and other sources believed to be reliable. The information contained in this article is for general purposes only and not a complete disclosure of every material fact. It should not be construed as investment advice to any party. The article does not warrant the completeness or accuracy of the information, and disclaims all liabilities, losses and damages arising out of the use of this information. Readers shall be fully liable/responsible for any decision taken on the basis of this article.
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