AIS Mismatch: How to Fix Wrong Tax Information Before It Becomes a Notice
An AIS correction and return-reconciliation workflow distinguishing duplicate, wrong-person, wrong-value, timing and incomplete information.
AIS is a reporting and compliance tool, not a substitute for the taxpayer’s books, contracts, bank statements and tax analysis.
India’s Income-tax Act, 2025 took effect on 1 April 2026. The 1961 Act continues to govern tax years beginning before that date. Therefore, FY 2025–26 and AY 2026–27 remain governed by the 1961 Act, while tax year 2026–27 beginning 1 April 2026 is governed by the 2025 Act. A notice, return, payment or form must be analysed under the law applicable to the relevant tax year and event—not merely the date on which the portal communication is received.
AIS includes information such as TDS/TCS, SFT transactions, taxes paid, demand, refund and other reported financial information.
TIS is an aggregated category-wise summary generated from AIS information and feedback.
AIS feedback does not itself rewrite the reporting entity’s source record or guarantee that a return position will be accepted.
What the taxpayer should understand
- India’s Income-tax Act, 2025 took effect on 1 April 2026. The 1961 Act continues to govern tax years beginning before that date. Therefore, FY 2025–26 and AY 2026–27 remain governed by the 1961 Act, while tax year 2026–27 beginning 1 April 2026 is governed by the 2025 Act. A notice, return, payment or form must be analysed under the law applicable to the relevant tax year and event—not merely the date on which the portal communication is received.
- AIS includes information such as TDS/TCS, SFT transactions, taxes paid, demand, refund and other reported financial information.
- TIS is an aggregated category-wise summary generated from AIS information and feedback.
- AIS feedback does not itself rewrite the reporting entity’s source record or guarantee that a return position will be accepted.
- The taxpayer should reconcile the information with primary evidence and report taxable income correctly even when the reporting entity has not yet corrected its data.
The five-point review
| Check | What to examine |
|---|---|
| Entry | Information category, reporting entity and value. |
| Error | Duplicate, denied, belongs to another person, wrong value or year. |
| Evidence | Statement, invoice, contract, broker report or bank record. |
| Feedback | Selected response and explanation. |
| Return | Correct head, gross/net value, tax credit and disclosure. |
Practical example
A broker reports gross sale proceeds of ₹20 lakh in AIS. The taxpayer compares that number with net capital gain and assumes AIS is wrong. The sale value can be correct while taxable gain is much lower; the reconciliation should explain both.
How to apply the framework
Create an AIS control sheet with the portal value, book value, difference, feedback and return treatment.
Contact the reporting entity for source correction where its statement is wrong. Preserve the complaint because AIS feedback alone may not change Form 26AS or the source report.
Tax-control workflow
Fix the period, governing Act and portal document
Identify the financial year, assessment year or tax year, the date of the underlying event and the statutory document. A communication received after 1 April 2026 may still concern a year governed by the 1961 Act. Record entry, error and evidence before preparing the response or return.
Reconcile the portal with primary evidence
Start from contracts, certificates, bank statements, broker or property records, foreign statements and prior filings. Then reconcile AIS, TIS, Form 26AS, the return, tax payments and notices. Portal information is a powerful control but can contain gross values, duplicates, timing differences or reporting-entity errors.
Submit through the correct route and retain proof
Use the specific service—return filing, AIS feedback, e-Proceedings, rectification, refund reissue, Form 67, appeal or grievance—rather than uploading the same explanation everywhere. Preserve the filed form or response, computation, annexures, transaction ID, acknowledgement and subsequent portal status.
Implementation checkpoint
Before closing the task, verify the live portal outcome rather than relying only on a submission message. Confirm whether the return is verified, the feedback is recorded, the tax credit changed, the refund was reissued, the notice response shows a transaction ID, the demand was adjusted or the appeal was registered. Record the next deadline and unresolved amount.
Action checklist
- Download AIS and TIS.
- Match every material entry to evidence.
- Classify the mismatch.
- Submit precise feedback.
- Contact the reporting entity.
- Reconcile the final ITR to AIS and primary records.
Evidence to keep
- Downloaded AIS/TIS
- Feedback acknowledgement
- Bank/broker/property records
- Reporting-entity correspondence
- ITR reconciliation
Warning signs
- Treating gross sale value as income
- Deleting a real transaction through feedback
- Ignoring duplicate entries
- Reporting only TIS totals
- No source-entity correction request
Finin2min takeaway
Income-tax compliance is evidence management under the correct year and statute. The return, portal data, computation, bank trail and source documents should reconcile before a notice arrives.