As a taxpayer, one should know what are the Annual Information Statement (AIS) and Taxpayer Information Statement (TIS), which the government of India has recently introduced. Through this article, we have made an attempt to make you all understand everything about the AIS & TIS in a simpler manner.
So, without further ado. Let’s discuss. Happy reading 🙂
Annual Information Statement (AIS)
What is AIS?
The concept of Annual Information Statement (AIS), was recently introduced by the Indian government. The objective behind this is to have a comprehensive overview of all the financial transactions entered into by a taxpayer in the relevant financial year, with an advanced feature of providing feedback that enables a taxpayer to rectify any error related to such transactions reported in AIS.
The other objective is to promote voluntary compliance and deter non-compliance on the part of taxpayers. It also enables the seamless prefiling of the income tax return with necessary information. Further, it helped the tax authorities to keep a tab on an assessee’s income and verify the amount of taxable income he filed in his return with income reflected in AIS. So, simply put AIS does a lot from taxpayers and tax authorities perspectives.
What information is reflected in AIS?
In simpler terms, AIS provides information in two parts.
Part A – For basic and general information.
Part B – For information related to assessee income and taxes.
Part A contains all the basic and general details of an assessee such as name, Permanent Account Number (PAN), DOB or Date of Incorporation, Aadhar Number, Contact Info (mobile, email, address), and so on.
Part B, reflects all the requisite information related to your income and taxes. It usually provides the info such as salary income or any other income such as dividend or interest earned by assessee during the relevant financial year, any capital asset (sale or purchase) transactions entered into by an assessee in the relevant financial year, any TDS or TCS amount deducted/collected on behalf of an assessee, any financial transaction reported by reporting entity in SFT (Statement of Financial Transaction) like substantial cash deposit in a savings account, any foreign remittances made by an assessee, any amount paid by the assessee on account of advance tax or self-assessment tax, any demand raised during assessment proceedings, any income tax refund or interest on refund received by the assessee, etc.
Now, let’s discuss this further.
Taxpayer Information System (TIS).
What is TIS?
Taxpayer Information System (TIS) is also introduced by the government of India along with the AIS. As the name suggests itself, TIS is a summary of all the relevant information pertaining to a taxpayer’s financial transactions related to a relevant financial year. The objective of launching TIS is to provide important information to taxpayers in a simplified manner.
What information is reflected in TIS?
Similarly, like AIS the information related to financial transactions of a taxpayer is reflected in TIS but in a more compressed and aggregate manner. The TIS is also divided into two-part Part A, which reflects the general basic information related to the assessee like PAN, AADHAR number, DOB, Name, etc. whereas Part B reflects the processed value which is generated after processing the various info and also reflects the derived value after considering all the info and as well as taxpayer feedback (if any) for various income sources such as salary, dividend, interest, sale/purchase of capital assets, etc.
We hope, with the help of the above explanation, you get a basic understanding of what is AIS and TIS are and what information is reflected in those statements. You must be wondering if AIS and TIS are the same but actually, both the statements are quite different.
Let’s understand how AIS and TIS are different?
The major difference between AIS and TIS is that in AIS you get comprehensive information whereas in TIS the information is shown in compressed format. For example, in AIS you can view the dividend for each of the investments you are holding but in TIS you will see the consolidated amount of total dividend earned in the relevant financial year.
Now, let’s understand how you can view or download AIS or TIS.
What is the process to view and download AIS or TIS?
The process to view or download AIS or TIS is very simple, just follow the below-mentioned steps.
- Firstly, log in to your Income Tax e-filing portal using your credentials (PAN & Password).
- Now, click on the services tab given in the header. Afterward, go to the AIS option given and click the proceed button when a pop-up shows on the screen, to redirect yourself to the AIS compliance portal where you can view and download the AIS or TIS.
- Now, you can see a home page and a box where you can select the relevant financial year to view the AIS or TIS on the screen itself.
- To download the AIS or TIS for reference you have to click on the download icon. Please note the downloaded statements will be password protected and to unlock the same you need to put in a secure password (without any space or special characters) which is the combination of your PAN (in capital letters) and DOB or date of incorporation in DDMMYYYY format.
Although, the concept of AIS and TIS is very useful to a taxpayer there are instances that a wrong transaction or error is reflected in these statements. But worry not, the government of India has provided an advanced feature of feedback mechanism which can help you rectify those mistakes or errors. To know more read below:-
How can a taxpayer provide feedback in AIS/TIS and rectify any error or mistake reflected in the same?
A taxpayer can provide feedback online as well as offline mode. To submit the feedback online you need to redirect yourself to the AIS portal as explained above in the process. Once you are on the home page of the portal you can view all the information reflected in AIS. Go and click any information for which you want to provide feedback and rectify the mistake. You need to choose the optional button given there and the feedback. Once you submit feedback the modified amount will be reflected as the derived value in the TIS and be taken into account for prefilling the income tax return.
So, if you feel then there is an error in your AIS or TIS then please make sure to use the feedback option in order to pre-fill your Income Tax Return with the correct amount.
That’s all, everyone. We hope you now understand what’s the Annual Information Statement (AIS) and Taxpayer Information Statement (TIS) for your own benefit. If you have any other queries or need any further assistance in filing your Income Tax Return then feel free to reach our team of experts.
