Form 26AS

What Is Form 26AS? A Simple Guide to Tax Statement

Form 26AS is a consolidated Annual Information Statement that provides all tax-related information associated with a taxpayer’s Permanent Account Number (PAN). It serves as a comprehensive tax credit statement that reflects various financial activities and tax transactions for a specific financial year.

The statement contains detailed information about Tax Deducted at Source (TDS) and Tax Collected at Source (TCS) from the taxpayer’s income sources. Additionally, it includes records of advance tax payments, self-assessment tax deposits, and regular assessment tax payments made by the PAN holder.

Form 26AS also displays information about any tax refunds received by the taxpayer during the financial year. Furthermore, it includes details of high-value transactions such as foreign remittances, mutual fund purchases, and dividend payments.

The scope of Form 26AS has been expanded by the Central Board of Direct Taxes (CBDT) to enhance transparency in tax filing. The updated version now incorporates:

• Foreign remittances mentioned in Form 15CC
• Quarterly information on TDS deductions from salaries
• Details of ongoing or completed income tax proceedings
• Information on income tax demands and refunds
• Details of Specified Financial Transactions (SFT)
• TDS information on sale of immovable property under section 194IA
• Any TDS defaults
• Turnover details for GST-registered businesses

Beyond financial information, the revised Form 26AS also contains personal details including:

• Name and address
• Date of birth
• Registered email address
• Mobile/phone number

While Form 26AS is not mandatory for tax filing, it serves as a crucial verification tool for taxpayers. It helps check the accuracy of TDS certificates and confirms that tax deducted from income has been properly credited to the Income Tax Department. Most importantly, it provides taxpayers with a single consolidated view of their tax affairs, making the tax filing process more efficient and accurate.

Form 26AS can be accessed and downloaded through the TRACES website or through the Income Tax Department’s official portal. For taxpayers, reviewing this document before filing returns is highly recommended, as missing even minor transactions reflected in Form 26AS could potentially lead to income tax notices.

The document functions essentially as an official record of a taxpayer’s financial footprint for a given year, covering both income sources and tax payments. With the recent enhancements, it now offers a more complete picture of a taxpayer’s financial activities, serving as an important reference point when preparing annual tax returns.

What information does Form 26AS contain?

Form 26AS presents a comprehensive breakdown of tax-related information organized into distinct parts. This official tax credit statement contains detailed records of all transactions where tax has been deducted or collected under a specific PAN.

The statement is structured into eight primary parts, each serving a distinct purpose:

Part A contains details regarding Tax Deducted at Source (TDS), including the name and TAN of the deductor, total amount paid, tax deducted, and tax deposited. This section displays all transactions with TDS deductions within the chosen Assessment Year and provides subcategories for different payers who deducted TDS from your payments.

Part A1 specifically shows TDS details in cases where Form 15G or 15H has been submitted by the deductee. This section of the TRACES portal reveals all TDS deductions linked to these forms, ensuring taxpayers receive full refunds if they meet the criteria.

Part A2 presents information regarding TDS on sale of immovable property under section 194IA, TDS on rent of property under section 194IB, and TDS on payment to resident contractors and professionals under section 194M. This information helps sellers track TDS deductions related to property transactions.

Part B contains details about Tax Collected at Source (TCS). Entries in this section show the seller details of who has collected tax from the taxpayer. Similar to the TDS section, it shows TCS amounts for transactions with subcategories based on the sources of TCS.

Part C records information about taxes paid other than TDS/TCS, specifically advance tax and self-assessment tax payments. Any excess payments result in a credit, while shortfalls are reflected as a debit, impacting the final tax liability.

Part D displays details of paid refunds. This section contains information related to refunds issued in that assessment year, including those related to Form 15G/15H.

Part E shows details of Specified Financial Transactions (SFT). Banks and financial institutions must report high-value transactions to tax authorities, including purchases of mutual funds, property, and corporate bonds.

Part F indicates information about TDS deducted and deposited by the taxpayer when they have bought property, paid rent, or paid for contractual work or professional fees.

Part G highlights TDS defaults after processing of TDS returns, though they do not include demands raised by the assessing officer.

Part H presents the turnover of the taxpayer as reported in the GSTR-3B return.

Moreover, Form 26AS includes the following key information:

• Basic personal information such as PAN, name, and address of the taxpayer
• Details of foreign remittances as reported in Form 15CC
• Information from Annexure-II of the last quarter’s Form 24Q related to TDS on salary
• Pending and completed income tax proceedings
• Off-market transactions reported by depositories or Registrar and Transfer Agents
• Mutual fund dividends and purchases information
• Interest received from banks without TDS deduction in cases where Form 15G/H was submitted

From Assessment Year 2023-24 onwards, Form 26AS has been expanded to include every transaction where tax has been deducted from a person’s income, whether by an employer, bank, or any other entity. Consequently, this document ensures that accurate tax has been deducted or collected from the taxpayer’s income and properly deposited with the government.

Structure and parts of Form 26AS

Form 26AS follows a structured format divided into multiple parts, each designated for specific tax-related information. Understanding this organization helps taxpayers effectively utilize this statement when preparing their income tax returns or verifying tax compliance.

Part A: TDS details

Part A primarily displays details of Tax Deducted at Source (TDS) by each deductor who made specified payments to the taxpayer. This section provides comprehensive information about:

• Name and TAN (Tax Deduction Account Number) of the deductor
• Section under which the tax deduction was made (e.g., Section 192 for salary)
• Date when the payment was effected
• Amount paid or credited to the taxpayer
• Tax deducted from payments
• Tax deposited in the bank

Additionally, Part A has sub-sections that segregate different types of TDS information. For instance, it includes TDS details where Form 15G or 15H has been submitted, particularly relevant for taxpayers with income below the basic exemption limit.

Part B: TCS details

Part B contains information regarding Tax Collected at Source (TCS) by sellers of specified goods. Similar to Part A, this section displays:

• Details of the seller who collected the tax
• Information about the tax collected
• Date and amount of transactions involving TCS

This part is particularly important for taxpayers who have purchased goods where the seller was required to collect tax at source under section 206C of the Income Tax Act.

Part C: Advance and self-assessment tax

Part C showcases details of income tax directly paid by the taxpayer, including advance tax and self-assessment tax. This section contains:

• Details of challans through which tax was deposited
• Dates of tax payments
• Amount of tax paid

This information helps taxpayers verify that all self-initiated tax payments have been correctly recorded in the system.

Part D: Refunds issued

Part D displays details of tax refunds received by the taxpayer during the financial year. This section includes information about:

• Amount of refund issued
• Date of refund issuance
• Mode of refund (direct credit or check)

Notably, this part helps taxpayers track any refunds they might have received and reconcile them with their banking records.

Part E to H: High-value and property transactions

These parts contain information about various high-value transactions and property-related dealings:

Part E displays details of Specified Financial Transactions (SFT). The Income Tax Department tracks high-value transactions through the Annual Information Return (AIR). These include:

• Education fee payments exceeding ₹1 lakh per annum
• Electricity bill payments exceeding ₹1 lakh per annum
• Hotel bills exceeding ₹20,000
• Jewelry purchases worth more than ₹1 lakh
• Savings account deposits/credits exceeding ₹25 lakhs

Part F shows TDS information on the sale of immovable property for property buyers under section 194IA.

Part G contains information about TDS defaults. However, these do not include demands raised by the assessing officer.

Part H includes details about other high-value transactions that require reporting under the Statement of Financial Transactions (SFT) rule.

The Income Tax Department collaborates with various government agencies to obtain information about individuals spending large amounts but not filing ITR or underreporting their income. Transactions exceeding certain monetary thresholds are categorized as high-value transactions and must be reported by banks and other specified institutions.

For detailed viewing of Form 26AS, taxpayers can download it from the Income Tax e-Filing portal or through TRACES by following the steps outlined in the official guidelines.

Check out the table below to explore other types of Forms-

How to download Form 26AS online

Taxpayers can access their Form 26AS through two primary methods – via the Income Tax Department’s e-filing portal or through net banking facilities offered by authorized banks. Both methods provide secure access to this crucial tax document, enabling verification of tax credits and financial transactions.

Using the Income Tax Portal

Accessing Form 26AS through the Income Tax Department’s official portal involves a straightforward process:

1. Visit the Income Tax e-filing portal  and log in using your credentials
2. Navigate to the ‘e-file’ menu and select ‘Income Tax Returns’
3. Click on ‘View Form 26AS’ from the dropdown menu
4. Read the disclaimer that appears on your screen and click ‘Confirm’ to proceed
5. You will be redirected to the TRACES (TDS Reconciliation Analysis and Correction Enabling System) portal
6. Accept the terms of usage by checking the box and clicking ‘Proceed’
7. Select ‘View Tax Credit (Form 26AS)’ from the available options
8. Choose the desired Assessment Year and preferred view type (HTML or Text)
9. Click on ‘View/Download’ to access your Form 26AS

To save your Form 26AS as a PDF file, initially view it in HTML format, subsequently click on ‘Export as PDF’ option available on the screen. This method enables direct downloading of the document for future reference or printing.

Using net banking from authorized banks

Alternatively, Form 26AS can be accessed through net banking facilities provided by various authorized banks:

1. Log in to your bank’s internet banking portal using your credentials
2. Locate and click on the ‘Tax Credit Statement’ or similar option provided by your bank
3. Select the appropriate assessment year for which you wish to view Form 26AS
4. Choose your preferred format (HTML/PDF) and proceed

This facility is exclusively available to PAN holders who have active net banking accounts with authorized banks. Additionally, your PAN must be correctly mapped to that particular bank account for the service to function properly. The service is provided free of cost by participating banks.

Currently, numerous major banks offer this facility, including but not limited to:

• State Bank of India
• ICICI Bank Limited
• Axis Bank Limited
• Bank of Baroda
• Bank of India
• Bank of Maharashtra
• IDBI Bank Limited
• Union Bank of India

Prior to attempting either method, ensure your PAN details are correctly registered and updated in the respective systems. Furthermore, for security purposes, always verify you are accessing these services through official websites only.

Regarding formats, Form 26AS can be viewed online in HTML format or downloaded as a PDF document. The PDF version is not password-encrypted, making it readily accessible after download. Once downloaded, taxpayers can thoroughly examine all entries to verify that their tax deductions have been properly credited and accurately reflected in the statement.

The process to view Form 26AS has been designed to be user-friendly, facilitating easy access for all taxpayers regardless of their technical proficiency. Through these straightforward methods, individuals can readily obtain this essential tax document for verification and compliance purposes.

Benefits of using Form 26AS

Utilizing Form 26AS offers numerous advantages for taxpayers in their financial planning and tax compliance efforts. This tax statement serves as a powerful tool that simplifies various aspects of tax management and verification.

Verification of tax credits stands as a primary benefit, allowing taxpayers to confirm that the correct amount of tax has been deducted and properly deposited with the government. This verification process helps avoid discrepancies between amounts deducted and those credited to the government.

Form 26AS significantly contributes to accurate tax filing by providing a complete view of all taxes deducted from a taxpayer’s income. In fact, this comprehensive overview helps taxpayers file their income tax returns with precision, minimizing errors or omissions that could trigger scrutiny from tax authorities.

Regarding refund claims, Form 26AS proves invaluable. Whenever taxpayers have paid excess TDS or TCS beyond their actual tax liability, the document supports and facilitates refund claims from the Income Tax Department. Accordingly, this streamlines the refund process and provides documentary evidence for such claims.

Another crucial advantage lies in discrepancy detection. Taxpayers can readily identify any inconsistencies in their tax records using Form 26AS. Upon discovering such discrepancies, they can take immediate corrective action to prevent future complications with tax authorities.

Form 26AS enables effective tax status tracking, ensuring taxpayers have fulfilled all their tax obligations. This tracking capability provides peace of mind and helps maintain compliance with tax regulations.

The document offers exceptional transparency by consolidating all tax-related transactions in one place. This consolidated view promotes clarity and accountability in financial reporting and tax management.

Beyond tax filing, Form 26AS serves as essential documentation for various financial operations:

• Loan applications processing
• Credit card approvals
• Major investment verifications

Financial institutions often request Form 26AS as it provides clear evidence of income sources and tax compliance patterns. First and foremost, this transparency helps institutions assess the financial credibility of applicants.

Form 26AS simplifies income computation through its organized presentation of financial data. By enabling cross-verification, it reduces the possibility of errors in tax assessments while confirming information submitted to tax authorities.

Regular monitoring of Form 26AS certainly helps taxpayers maintain accurate financial records and ensure their reported income reflects their actual financial activities.

Form 26AS vs AIS vs Form 16/16A

Understanding the distinctions between Form 26AS and other tax documents helps taxpayers effectively manage their tax compliance requirements. Each document serves specific purposes within the Indian taxation system, despite some overlapping features.

Form 26AS vs AIS

The Annual Information Statement (AIS) represents an expanded version of Form 26AS with several key differences:

• Scope of Information: Unlike Form 26AS which primarily focuses on TDS/TCS transactions, AIS provides a more comprehensive view that includes savings account interest, dividends, property transactions, foreign remittances, and GST turnover.
• Feedback Mechanism: AIS offers taxpayers the option to provide feedback on reported transactions and track responses, whereas Form 26AS lacks this interactive feature.
• Format Availability: AIS can be downloaded in both PDF and JSON formats, offering greater flexibility compared to Form 26AS.
• Content Display: From Assessment Year 2023-24 onwards, Form 26AS displays only TDS/TCS related data, while other financial details are available exclusively in AIS.

Form 26AS vs Form 16/16A

Form 26AS differs fundamentally from Form 16/16A in several aspects:

• Issuing Authority: Form 26AS is issued by the Income Tax Department, whereas Form 16/16A is issued by employers or other deductors.
• Purpose: Form 16/16A functions as a TDS certificate issued by employers/deductors, while Form 26AS serves as a consolidated statement of all tax-related transactions.
• Frequency: Form 16 is typically issued annually, whereas Form 26AS is updated periodically throughout the year.
• Verification Role: Comparing Form 26AS with Form 16/16A helps identify mismatches in tax deductions, preventing potential issues during assessment. According to a 2024 Deloitte India report, approximately 18% of tax return filers experienced refund rejections or delays due to inability to reconcile their ITR with Form 26AS.

Key Takeaways

Form 26AS is your comprehensive tax credit statement that consolidates all tax-related transactions under your PAN, making tax filing more accurate and transparent.

• Form 26AS contains 8 parts covering TDS, TCS, advance tax, refunds, and high-value transactions – providing a complete view of your tax footprint for verification and compliance.

• Download Form 26AS free through Income Tax portal or authorized bank net banking – essential for cross-checking tax deductions before filing returns.

• Use Form 26AS to verify tax credits and detect discrepancies early – helps prevent income tax notices and ensures accurate refund claims.

• Form 26AS differs from AIS and Form 16/16A in scope and purpose – AIS offers broader financial data while Form 16/16A are employer-issued TDS certificates.

• Regular monitoring prevents tax filing errors and supports loan applications – serves as crucial documentation for financial institutions assessing your creditworthiness.

While not mandatory for tax filing, Form 26AS acts as your financial accountability partner, helping you maintain accurate records and avoid costly mistakes during tax season.

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