Income Tax
Annual Information Statement Reconciliation Under New Act: FAQ for Founders, CFOs and Individuals
Reviewed by CA Nikhil Gupta · Last reviewed 23 June 2026
Before you file your AY 2026-27 ITR this July, spend 30 minutes on the Annual Information Statement. The AIS is the department's master view of your financial life — it aggregates data from 37 different sources including banks, mutual funds, brokers, property registrars, and GST authorities. If your ITR doesn't match the AIS, CPC's automated system will raise a demand. If you don't reconcile first and correct errors in AIS, you risk filing an incorrect ITR or triggering scrutiny. This guide covers every AIS category, common mismatch patterns, and how to submit feedback before July 31.
Use the Income Tax CalculatorModel the tax impact alongside this guide.
Open CalculatorAIS vs TIS vs Form 26AS — The Three Documents Explained
Taxpayers frequently confuse three different statements available on the e-filing portal. Each serves a different purpose:
| Statement | What It Shows | Source of Data | Use Case |
|---|---|---|---|
| Form 26AS | TDS deducted, TCS collected, advance tax paid, self-assessment tax paid | TDS returns filed by deductors; tax payments via challan | Verify tax credits before ITR filing; claim TDS credit |
| AIS (Annual Information Statement) | All financial transactions — salary, dividends, interest, property, securities, GST, foreign remittances, rent | 37 SFT filers including banks, MF RTAs, brokers, registrars, GSTN, RBI | Identify unreported income; submit feedback for errors; pre-fill source for ITR portal |
| TIS (Taxpayer Information Summary) | Consolidated summary of AIS after applying taxpayer feedback and deduplicating | Derived from AIS after feedback processing | Final pre-fill source for ITR portal; what CPC uses for automated processing |
Always Reconcile AIS Before Filing ITR: The ITR portal's pre-fill pulls from TIS, which is derived from AIS. If you file AIS feedback and correct an error, the TIS updates and the pre-fill refreshes. But if you file your ITR before submitting feedback, the ITR is filed with potentially incorrect pre-fill data — and you'll need to file a revised ITR to correct it.
The 18 AIS Information Categories — What Gets Reported
AIS Part B contains transaction data across 18 information categories. Here is what each captures and the common mismatch patterns:
| AIS Code | Category | Who Reports | Common Mismatch Issue |
|---|---|---|---|
| SFT-001 | Cash deposits in savings account exceeding ₹10 lakh in a year | Banks | Multiple accounts in same bank; joint account reported under each holder |
| SFT-002 | Cash deposits in time deposits (FD) exceeding ₹10 lakh | Banks / Post Offices | FD renewal shows as new deposit; cumulative interest added to principal |
| SFT-003 | Cash repayment of credit card bills exceeding ₹1 lakh in aggregate / ₹10 lakh by any other mode | Banks | Credit card payment showing as "deposit"; no taxable income implication if paid from own account |
| SFT-004 | Purchase of bank drafts/pay orders/foreign exchange with cash exceeding ₹10 lakh | Banks | Travel forex purchases; gift cards |
| SFT-005 | Mutual fund purchases exceeding ₹10 lakh | MF RTAs (CAMS, KFintech) | SIP purchases shown as lump-sum; switch-in treated as new purchase |
| SFT-006 | Purchase of listed equity shares exceeding ₹10 lakh | Depositories / Brokers | Shares received as bonus or rights shown as "purchase" at zero cost |
| SFT-007 | Immovable property purchase exceeding ₹30 lakh | Sub-registrar office | Stamp duty value vs actual consideration mismatch; joint buyer — both PANs get full amount |
| SFT-008 | Immovable property sale — amount received exceeding ₹30 lakh | Sub-registrar office | Same as SFT-007 — stamp duty value used, not actual sale proceeds |
| SFT-010 | Receipt of cash payment exceeding ₹2 lakh for goods/services | Dealers, restaurants, hotels | Cash received in business — should match declared business income |
| SFT-011 | Interest paid on savings/recurring deposits | Banks | Accrual vs receipt mismatch for non-cumulative FDs; TDS already deducted but interest shows again |
| SFT-012 | Dividend paid by companies/mutual funds | Companies, MF distributors | Dividend from old physical shares (not in demat); IDCW from mutual funds vs growth redemption |
| SFT-013 | Immovable property purchase / sale (additional data) | Registrars | Partial consideration shown; undivided share in property |
| SFT-014 | Salary and perquisites | Employers | Perquisites shown gross; ESOPs double-reported by employer and depository |
| SFT-015 | Rent received / rental income | Tenant companies (who deduct TDS under Section 194I) | Rent received shown at gross; actual net rent after deductions differs |
| SFT-016 | Interest paid / credited to NRI accounts | Banks for NRI accounts | FCNR interest (tax-exempt) shown as regular interest income |
| SFT-017 | Foreign remittance received | Banks under FEMA reporting | Gift from abroad shown as income; return of loan repayment shown as income |
| SFT-018 | GST turnover reported | GSTN | GST turnover includes exempt supply; IGST on exports included in turnover |
| – | Securities transactions (capital gains) | Exchanges / depositories | Full redemption value shown as income (not just gain); FY cutoff mismatch on T+1/T+2 settlement |
How to Submit AIS Feedback — Step by Step
AIS feedback is how you tell the department that a reported transaction is incorrect, duplicated, or not taxable. After you submit feedback, the TIS (which feeds ITR pre-fill) reflects the corrected position.
Portal Path
Login to incometax.gov.in → Services → Annual Information Statement (AIS) → Download AIS PDF or view online → Click on any transaction → Click "Feedback" → Select feedback category → Submit.
AIS Feedback Categories Available
| Feedback Option | When to Use |
|---|---|
| Information is correct | When transaction amount and type are accurate — no change needed |
| Information is not fully correct | When amount is wrong (e.g., stamp duty value vs actual sale price); provide correct amount |
| Information relates to other PAN / year | When transaction belongs to a different PAN (e.g., reported under your PAN but belongs to your spouse) |
| Information is duplicate / included in other information | When same transaction appears twice (e.g., ESOP reported by employer AND depository) |
| Information is denied | When you have no knowledge of the transaction (rare; use carefully) |
| Income is exempt | When amount is correct but not taxable (e.g., FCNR interest for NRI, agricultural income) |
| Information is included in the ITR | When you have already declared the income in your ITR; use to close the loop |
AIS Feedback Does Not Change the Source Data: When you submit feedback on AIS, you are adding your perspective — the original reported data from the SFT filer (bank, broker, registrar) is not deleted. The department can still see the original data alongside your feedback. If your feedback is inconsistent with the underlying transaction, the AO may question it during scrutiny. Ensure your feedback is accurate and supported by documentation.
Case Study: Sunita's AIS Shows ₹1.8 Crore "Income" on ₹14 Lakh Salary
Software Engineer + Investor, Hyderabad — Pre-Filing AIS Review June 2026
Sunita downloaded her AIS for FY 2025-26 before filing her July 2026 ITR. She was shocked to see the AIS showed ₹1.8 crore in "total reported amount" — her salary is ₹14 lakh. Here is what she found category by category:
- SFT-005 (MF Purchase): ₹8.4 lakh — her SIPs across 3 funds for the year. These are PURCHASES not income. Feedback: "Transaction relates to purchase — not income."
- SFT-006 (Share purchase): ₹11.2 lakh — equity bought via broker. Purchase, not income. Same feedback.
- Securities — Redemption: ₹24 lakh — her mutual fund redemptions. AIS shows GROSS redemption value; actual LTCG was ₹3.2 lakh after cost. Feedback: "Amount partially correct — actual gain is ₹3.2 lakh, not ₹24 lakh." She provided her capital gains statement.
- SFT-007/008 (Property): ₹1.4 crore — she sold her Hyderabad flat for ₹1.2 crore. Registrar reported stamp duty value of ₹1.4 crore. Feedback: "Amount not fully correct — actual sale consideration ₹1.2 crore; stamp duty value ₹1.4 crore. Section 50C(2) declared in ITR."
- Interest: ₹1.8 lakh — bank FD interest across 4 banks. All correctly declared in her ITR.
After feedback, her TIS showed taxable income that aligned with her ITR. The pre-fill refreshed, and she filed her ITR without any mismatch.
AIS Raw Amount
₹1.8 crore
Actual Taxable Income
~₹21 lakh
Feedback Items Filed
6 corrections
ITR Filed With Mismatch?
No — clean filing
Sector-Specific AIS Reconciliation Tips
For Founders and Startup Employees
- ESOP perquisites: Employer reports under SFT-014; depository (NSDL/CDSL) reports the share purchase under SFT-006. Submit feedback on SFT-006 entries as "Duplicate — included in SFT-014 / Form 16." Employer's Form 16 is the correct source.
- Secondary sale of unlisted shares: These may not appear in AIS at all (no exchange or depository involvement). You must proactively declare the capital gains — non-declaration risks scrutiny if the buyer declares the purchase.
- Angel tax / share premium received by startup: If your company received share capital at premium, AIS won't show it — but CBDT has linked company-level SFT data to director/promoter PANs in some cases. Ensure your company's ITR is filed and matches investor declarations.
For CFOs and Finance Heads
- GST turnover (SFT-018): AIS shows your GST turnover. This is compared to business income declared in the company ITR. Mismatch between GSTN turnover and IT return income is a common scrutiny trigger. Reconcile with a turnover reconciliation statement (Form GSTR-9 vs income tax turnover).
- TDS deducted vs 26AS vs AIS: For companies paying rent, professional fees, and contractor charges — ensure all TDS returns (24Q, 26Q) are filed with correct PAN of deductees. Errors in TDS returns create AIS anomalies for the recipient.
- Employee ESOP perquisites: File the perquisite value accurately in Form 24Q and Form 16. If the perquisite is underreported in Form 16 but the employee's demat statement shows the full share acquisition, the AIS will flag a mismatch.
AIS Reconciliation Checklist — Before Filing ITR
- Download full AIS PDF from portal (Services → AIS)
- Download TIS to see what the department is using as pre-fill for your ITR
- Review each SFT category — identify purchases that are reported as income
- Cross-check salary (SFT-014) with your Form 16 — verify gross salary amount matches
- Cross-check interest income (SFT-011) with bank interest certificates from all banks
- For mutual funds: download CAMS + KFintech capital gains statement; reconcile with AIS "Securities" section
- For property transactions: verify sale consideration vs stamp duty value; note if Section 50C applies
- For NRI income: mark FCNR interest as "Exempt income" in AIS feedback
- Submit feedback on all incorrect, duplicate, or non-taxable entries
- Wait 2–3 days after feedback for TIS to refresh before filing ITR
Frequently Asked Questions
Form 26AS shows TDS deducted, TCS collected, and tax payments against your PAN. The AIS is much broader — it includes all financial transactions reported by 37 categories of filers including banks (interest, deposits), mutual fund RTAs (purchases, redemptions), property registrars, brokers, GST authorities, and foreign remittance banks. AIS is the primary pre-fill source for the ITR portal under the new Act framework.
File AIS feedback before submitting your ITR. When you submit feedback, the Taxpayer Information Summary (TIS) is updated, and the ITR pre-fill refreshes to reflect the corrected data. Filing your ITR first and then correcting AIS means you may have filed with incorrect income figures — requiring a revised ITR.
AIS often shows the stamp duty value (circle rate) reported by the property registrar, not your actual sale consideration. Also, AIS may show only partial data if the registrar reported just one portion of the transaction. Use AIS feedback ("Amount not fully correct") and provide the actual sale consideration from your sale deed. Note the correct amount in the feedback comments and ensure your ITR capital gains computation uses the higher of actual consideration or stamp duty value.
The ₹24 lakh likely includes both SIP purchases and redemptions — RTAs report all transactions. Purchases are not income. Use feedback category "Transaction relates to purchase / not income" for all SIP/purchase entries. Only redemptions create taxable capital gains. Download your consolidated capital gains statement from CAMS or KFintech to get precise redemption-wise gain data to report in your ITR.
AIS feedback typically reflects in TIS within 24–72 hours for simple entries. For complex feedback requiring system-side reconciliation (e.g., large property transactions), it may take 5–7 days. Wait for the TIS to update and cross-verify before filing your ITR. Do not file immediately after submitting feedback — give the system 2–3 days minimum.
More on Income Tax
Browse all Income Tax articles →
Related Articles
Business Loss Carry Forward Under Old Act vs New Act
Capital Gains Exemption Clauses Under New Act Compared
E-Proceedings Evidence Checklist Under Income-tax Act 2025
Faceless Penalty Proceedings Under Income-tax Act 2025
Form 16 Under Income Tax Act 2025 for Employers
Source and review trail
Use the current official instrument, portal or regulator publication before acting. This panel separates the category authority from page-specific references.
- Primary category
- Income Tax
- Official starting point
- www.incometax.gov.in
Page source links
The prior page did not embed a page-specific external source. The category authority above is the minimum verification starting point; a specific instrument should be added when available.
Primary sources & related provisions
Statutory provisions referenced in this guide: