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Detailed Breakdown of Incomes and Expenses in AIS Reporting

Priya , Last updated: 31 May 2024  
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The Annual Income Statement (AIS) displays the taxpayer's comprehensive and accurate information in the Form 26AS. Since the complete information is collated, it allows for seamless filing of returns and compliance with the law by taxpayers. AIS deters the non-compliance of the Income Tax Act and any other laws. Due to the availability of information in the Statement, it becomes easier for all parties involved to ensure completeness of the Income Tax Return filed.

It is available for access and download in various formats from the AIS tab on the Income Tax Website.

Detailed Breakdown of Incomes and Expenses in AIS Reporting

AIS Information Category

 

The taxpayer(assessee) must familiarise themselves with the categories of information and the sources of such information that are available in their AIS. The broad categories of Information are as follows:

Sl.no

Category Head

Information Source

1.

Salary

Detailed breakup of salary, perquisites, profits in lieu of salary and TDS thereon from Annexure II of the TDS Statement (24Q) of the last quarter. The Employer can find these details in their AIS.

2.

Rent Received

Details of rent paid/credited, date of payment and tax deducted filed in Form 26Q by the tenants under Section 194I(b) and Section 194IB appear in this category. Under Section 194IB, tenants being Individuals or HUFs are required to deduct tax if rent exceeds ₹ 50,000.

3.

Dividend

The dividend paid/declared by all companies is reported by them under Statement of Financial Transactions, SFT-015. Companies that are paying/distributing dividends are liable to deduct tax as per Section 194 and then pay to the shareholders. This TDS is filed through Form 26Q.

In the same way, dividends or income on units of a Mutual Fund is reported by the funds under SFT- 018 and they are also liable to deduct tax under Section 194K and file form 26Q.

4.

Interest from savings bank

Interest paid/accrued/credited is reported by the entity in which the taxpayer has a savings account under SFT- 016. The information from above appears under this category in the AIS.

5.

Interest from deposit

Interest paid/credited/accrued on Term Deposit or Recurring Deposit is reported under SFT- 016 which appears here. Furthermore, the reporting entity is liable to deduct tax under Section 194A on the interest at the time of paying or crediting. Therefore, TDS details filed under Form 26Q by the reporting entity shall also appear here.

6.

Interest from others

Interest paid/credited/accrued on others (other than Savings account, Term Deposit or Recurring Deposit is reported under SFT- 016 and appears here. Furthermore, the reporting entity is liable to deduct tax under Section 193 such interest at the time of paying or crediting. Therefore, TDS details filed under Form 26Q by the reporting entity shall also come under this category.

7.

Interest from income tax refund

Interest received on the Income Tax Refund in the financial year is taxable under the head Income from Other Sources. The refund amount is reflected here to ensure the taxpayer doesn't forget to include it in the taxable income. The refund amount itself is not subject to tax but the interest on such refund amount received is liable to tax.

8.

Rent on plant & machinery

As per Section 194I(a), the tenant shall report the details of rent on plant and machinery and the tax deducted as per the applicable tax rates in the TDS form 26Q. This information shall appear here in the owner's AIS.

9.

Winnings from lottery or crossword puzzle u/s 115BB

Under Section 194B the payer is liable to deduct tax on the winnings from Lottery or Crossword Puzzles and Section 194BP is tax to be deducted by the payer when the Winnings from Lottery or Crossword Puzzles are being paid in kind. Such receipts will be under this category.

10.

Winnings from horse race u/s 115BB

As per Section 194BB payer is liable to deduct tax on winnings from horse race being paid to the taxpayer. The applicable details from the payer's form 26Q shall appear here.

11.

Receipt of accumulated balance of PF from employer u/s 111

An employer or recognized provident fund shall report information about the accumulated balance due to the employee in Form 26Q under Section 192A. This information shall appear here in the employer's AIS and is also provided to them in Form 16A.

12.

Interest from infrastructure debt fund u/s 115A(1)(a)(iia)

As per Section 194LB, interest from an infrastructure debt fund is liable for tax deduction at source. Such tax shall be deducted and reported by the fund in Form 27Q. The interest earned and TDS details shall be under this category in the AIS of the taxpayer.

13.

Interest from specified company by a non-resident u/s 115A(1)(a)(iiaa)

Section 194LC states that income by way of interest from a specified company payable to a Non-resident is subject to tax deduction at source and filing of Form 27Q by the specified company. The non-resident's interest income and TDS thereon shall appear here.

14.

Income from interest on bonds and government securities

Under Section 194LD payer is required to deduct tax on interest paid and the payer files form 27Q on doing so. The taxpayer's information about interest earned from bonds and government securities and TDS on the same is reflected here.

15.

Income in respect of units of non-resident u/s 115A(1)(a)(iiab)

Section 196A the payer discloses under Form 27Q the income earned in respect of units by Non-residents and the tax deducted thereon. This category is for income earned from units by Non-resident other than those reported by the Reporting entity through SFT.

16.

Income and long-term capital gain from units by an offshore fund u/s 115AB(1)(b)

Information about the income and long-term capital gains from units payable to an off-shore fund and tax deducted as per Section 196B is reported by the payer in Form 27Q.

17.

Income and long-term capital gain from foreign currency bonds or shares of Indian companies u/s 115AC

The payer files from 27Q to disclose the information about income and long-term capital gains from foreign currency bonds or shares of Indian Companies and the tax deducted under Section 196C. Such income of the Indian company is visible here and is also provided to them by the payer under Form 16A.

18.

Income of foreign institutional investors from securities u/s 115AD(1)(i)

Under Section 196D, the payer deducts tax and files form 27Q with information about the income of foreign institutional investors from securities and the TDS details. Such information is available under this category for foreign institutional investors and also in form 16A.

19.

Income of Specified Funds from securities u/s 115AD(1)(i)

Information about the income of specified funds from securities and tax deducted is reported by the payer in Form 27Q as per Section 196D(1A).

20.

Insurance commission

Under Section 194D, tax is to be deducted and Form 26Q is to be filed by the payer on the insurance commission received.

21.

Receipts from life insurance policy

Receipts from life insurance policy are exempt from tax under Section 10(10D) subject to certain conditions. If such conditions are not met, then the receipts are subject to tax and TDS under Section 194DA. This information is to be filed by the payer in Form 26Q and available to the taxpayer under Form 16A and under this category in their AIS.

22.

Withdrawal of deposits under national savings scheme

Withdrawals from NSS are taxable and as such liable for tax deduction at source under Section 194EE. This information is to be filed by the payer in Form 26Q and available to the taxpayer in the AIS and Form 16A.

23.

Receipt on commission etc. on sale of lottery tickets

Commission on lottery business is subject to tax deduction at source under Section 194G. Such information is reported by the payer in Form 26Q and is provided to the taxpayer by them in Form 16A.

24.

Income from investment in securitization trust

Income from investment made in securitization trust is subject to tax deduction at source under Section 194LBC. The payer reports such information in Form 27Q and provides the same to the taxpayer in Form 16A.

25.

Income on account of repurchase of units by MF/UTI

Receipt of income on account of repurchase of units by MF/UTI is subject to TDS under Section 194F. The payer reports the same under Form 26Q and furnishes the information to the taxpayer under Form 16A.

26.

Interest or dividend or other sums payable to government

As under Section 196, income from interest or dividends or other sums payable to the government is not subject to tax deduction at source. The payer furnishes this information under Form 26Q and provides the same to the taxpayer in Form 16A. This information appears here in the AIS.

27.

Payment to non-resident sportsmen or sports association u/s 115BBA

Under Section 194E, information about the amount paid to the non-resident sportsmen or sports association and tax deducted at source by the payer is reported in form 27Q. The information is furnished to the taxpayer under Form 16A and is also visible under this category in the AIS.

28.

Income of specified senior citizen

Under Section 194P, senior citizens of age 75 years or above having pension and/or interest income only and no other income receiving both income in the account maintained in the same specified bank can submit a declaration of income details to the specified bank. The specified bank shall after taking into consideration Chapter VI-A deductions and Rebate under Section 87A, calculate the income and tax liability and furnish the same in form 26Q. This allows the specified senior citizens to be exempt from filing the income tax return for the relevant previous year.

29.

Sale of land or building

The sale of immovable property is reported under SFT- 012. This information is displayed in the AIS of the sellers. The sale of immovable property is also reported in Form 61 when the PAN is not furnished by the transacting party.

Under Section 194IA, the total value of consideration is reported by the buyer in form 26QB. Only transactions which do not match the information reported in SFT will be reflected here in the AIS.

Information related to compensation paid to the seller on the acquisition of immovable property is reported under Section 194LA in form 26Q. This information will also appear here in the AIS.

Under Section 194IC, information about the receipts from specified agreements is reported by the payer and provided to the taxpayer in Form 16A. This information shall appear under this category in the AIS of the taxpayer.

30.

Receipts from transfer of immovable property

Information related to receipts from transfer of immovable property is reported by the buyer in Form 26QB and the same is furnished to the taxpayer in Form 16B. This information is available under this category in the AIS. TDS under Section 194IB is required to be deducted if the overall payment in respect of the property exceeds ₹ 50 lakhs.

31.

Sale of motor vehicle

The sale of motor vehicle is reported in Form 61 where the PAN is not furnished by the transacting party. PAN is populated based on Aadhaar and other attributes of the person and appears in their AIS.

32.

Sale of securities and units of mutual fund

Any user-initiated debit transactions are provided in the AIS. The Estimated sale consideration for the debit transaction is determined on the best possible available price of the asset with the reporting entity (eg end of the dar pice). Taxpayers can modify the sales consideration before filing of return. The period of holding is also provided to classify the asset as short-term or long-term. The reporting entity reports all the required information in SFT.

33.

Off market debit transactions

The depository, registrar and transfer agents (RTAs) submit details of off-market transactions. The value of the transaction is computed based on end of day price of the security. The reporting entity reports all the information in SFT.

34.

Off market credit transactions

The depository, registrar and transfer agents (RTAs) submit details of off-market transactions. The value of the transaction is computed based on end of day price of the security. The reporting entity reports all the information in SFT.

35.

Business receipts

All information about the amount paid and tax deducted by the payer under Sections

  • 194C- receipts from contract
  • 194M- receipts from a contract/work, fees for professional service, commission
  • 194J- receipts of fees for professional or technical services
  • 194H- commission or brokerage received
  • 194O- amount received from E-commerce operator towards sales/service provider
  • 194Q- payment of certain sums by the buyer against the sale of goods
  • 194R- benefits or perquisites received in respect of business or profession
  • 194RP- benefits or perquisites received in kind in respect of business or profession

Is disclosed under forms 26Q/26QD as applicable and shall appear here in the taxpayer's AIS.

36.

GST Turnover

Information related to Sales reported under GSTR-3B appears here under the AIS.

37.

GST Purchases

Purchases reported under GSTR-1 of the seller appear here in the AIS.

38.

Business Expenses

Information pertaining to Section 206C regarding the purchase of alcoholic liquor, timber obtained under forest lease, the purchase of timber from mode other than forest, purchase of any other forest produce not being tendu leaves, purchase of scrap, purchase of tendu leaves, purchase of minerals like coal or lignite or iron ore, purchase of any goods except those on which TCS as per 206C(1) or 206C(1F) or 206C(1G) is applicable, payments made for obtaining lease/license/rights etc for parking lot or toll plaza or mining and quarrying shall be filed under form 27EQ by the payer.

Information regarding Commission or brokerage paid or payment of fees for professional service under Section 194M is furnished under form 26QD.

39.

Rent payments

Under Section 194IB information on rent payments is made in form 26QC by the person making the payment. This information is furnished to the taxpayer under form 16C and shall appear in their AIS under this category.

40.

Miscellaneous payments

  • Payment made for a contract/work and tax deducted under Section 194M is filed in form 26QD.
  • Purchase of bank drafts or pay orders is reported in Form 61 if PAN is not furnished. The PAN is populated based on Aadhaar and other attributes of the person.
  • Payment to a hotel may be reported in Form 61 if PAN is not furnished by the transacting party. The PAN is populated based on Aadhaar and other attributes of the person.
  • Payment for life insurance premiums may be reported under Form 61 if PAN is not furnished by the transacting party. The PAN is populated based on Aadhaar and other attributes of the person.
  • SFT- 006 contains information pertaining to payments made in respect of credit cards and is reported by the reporting entity in Form 61A.

All the above information appears in the AIS of the taxpayer under this category head.

41.

Cash deposits

In Form 61A, details of SFT- 004 cash deposits in an account other than current account and SFT- 003 cash deposits in current account are reported by the reporting entity. This information is shown in the AIS of the accountholders to enable submission of feedback.

In Form 61, cash deposits made without PAN being furnished are reported. The PAN is populated based on Aadhaar and other attributes of the person.

42.

Cash withdrawals

In Form 61A, details of SFT- 004 cash withdrawals from an account other than current account and SFT- 003 cash withdrawals from current account are reported by the reporting entity. This information is shown in the AIS of the accountholders to enable submission of feedback.

In Form 26Q, cash withdrawals made and subject to tax deduction at source under Section 194N are reported.

Such information is available to the taxpayer in their AIS.

43.

Cash payments

In SFT- 013 information about cash payments for goods and services is reported by reporting entity in Form 61A. In SFT-001, information about the purchase of bank drafts or pay orders or banker's cheque in cash is reported by the reporting entity in Form 61A. In SFT-002, information about the purchase of prepaid instruments in cash is reported under Form 61A.

Under Section 206C, in the form 27EQ information about cash payments for the purchase of bullion or jewellery, cash payment for the purchase of any other goods(other than bullion/jewellery) and cash payments for receipt of service are reported by the tax collector. This information is available to the taxpayer in Form 27D provided by the tax collector and in the AIS.

44.

Outward foreign remittance/purchase of foreign currency

Information of outward foreign remittance is reported by the authorised dealer in form 15CC and is available in the AIS of the taxpayer.

Under Section 206C(1G) information about remittance under LRS for educational loans taken from financial institutions mentioned in Section 80E is reported by the authorised dealer in Form 27EQ. Under Section 206C(1G(a)), information about remittance under LRS for purposes other than for the purchase of overseas tour packages or educational loans taken from financial institutions mentioned in Section 80E is reported by the authorized dealer in Form 27EQ.

In SFT-011, information on the purchase of foreign currency is reported by the reporting entity in Form 61A.

Payments for the purchase of foreign currency or remittance outside India may be reported in Form 61 if the PAN is not furnished.

45.

Receipt of foreign remittance

Under Section 195, information relating to payment to royalty or fees for technical services etc paid to non-residents is reported by the deductor in Form 27Q and can be accessed by taxpayers in their AIS.

Any receipt of foreign remittance is reported by the authorized dealer in Form 15CC.

46.

Foreign Travel

Under Section 206C(1G(b)), information about the purchase of overseas tour packages is reported by the deductor in TCS form 27EQ and is also furnished to the taxpayer in Form 16D by the collector.

If the PAN is not furnished, payments in connection with travel to any foreign country may be reported in Form 61. PAN is populated based on Aadhaar and other attributes of the person.

47.

Purchase of immovable property

SFT-012 has information relating to immovable property reported by the Property Registrar. The information will be shown in the AIS of all buyers to enable the submission of feedback.

Section 194IA makes the buyer liable to deduct tax at the time of making a payment towards the purchase of property, subject to a threshold limit. This information is furnished in Form 26QB.

The seller of the property reports the details of the property buyer in schedule CG of ITR.

Payment for the purchase of immovable property may be reported in Form 61 if the PAN is not furnished by the transacting party. PAN is populated based on Aadhaar and other attributes of the person.

All the above information is available in the AIS through the mentioned sources.

48.

Purchase of vehicle

Information on the purchase of motor vehicles is reported by the collector of TCS under Section 206C in Form 27EQ.

Payment for the purchase of a motor vehicle may be reported in Form 61 if the PAN is not furnished by the transacting party. PAN is populated based on Aadhaar and other attributes of the person.

Such transactions are available in the AIS of the taxpayer.

49.

Purchase of time deposits

In SFT-005, information relating to the purchase of time deposits is reported by the reposting entity.

Information pertaining to investment in time deposits is reported in Form 61 if the PAN is not furnished by the transacting party. PAN is populated based on Aadhaar and other attributes of the person.

50.

Purchase of securities and units of mutual funds

  • SFT-007- information about the purchase of bonds or debentures is reported by the reporting entity.
  • SFT-008- information about the purchase of shares is reported by the reporting entity.
  • SFT-010- information about the purchase of mutual fund units is reported by the reporting entity.
  • SFT-017- information about the purchase of securities is reported by the depository.
  • SFT-018- information about the purchase of mutual funds is reported by the registrar and transfer agents(RTA).
  • Any information being furnished above where the PAN is not provided by the transacting party shall be reported under Form 61. PAN is populated based on Aadhaar and other attributes of the person.

All the above details are visible in the AIS of the taxpayer.

51.

Credit/Debit card

Reporting entities shall furnish Form 61 the application for the issue of a credit or debit card and where PAN is not furnished by the transacting party. PAN is populated based on Aadhaar and other attributes of the person.

Such application details shall be available in the AIS of the taxpayer.

52.

Balance in account

In Form 61, details of bank account opening other than saving and time deposits during the year shall be reported.

Bank accounts with balances exceeding ₹ 50,000 at the closing of the Financial Year are reported in Form 61.

53.

Income distributed by business trust

Under Section 194LBA, income from units of a business trust is reported by the payer in Form 27Q.

54.

Income distributed by investment fund

Under Section 194LBB, income from units of an investment fund is reported by the deductor in Form 26Q.

55.

Donation received

Information pertaining to donations on which deduction under Section 80G is reported by the Donor in Schedule-80G of their Income Tax Return and is reflected in the AIS of the donee, ie one who receives the donation.

Donations to Research Association are reported by the donor in Schedule-RA of their Income Tax Return and are reflected in the AIS of the donee, ie one who receives the donation.

Donations for Scientific Research or Rural development are reported by the donor in Schedule-80GGA of their Income Tax Return and are reflected in the AIS of the donee, ie one who receives the donation.

56.

Receipts on transfer of Virtual Digital Assets

The amount received on the transfer of virtual digital assets shall be reported by the deductor under Section 194S in Form 26Q.

The consideration on transfer of virtual digital assets received from specified person under Section 194S(SP) shall be reported by the deductor in Form 26QE.

The consideration on transfer of virtual digital assets received in kind under Section 194SP shall be reported by the deductor in Form 26Q.

All of the above shall be reflected in the AIS of the taxpayer.

57.

Winnings from Online Games

The winnings from online games under Section 194BA are reported by the deductor in Form 26Q.

The winnings from online games where consideration is in kind under Section 194BAP are reported by the deductor in Form 26Q.

The above transactions shall be reflected in the AIS of the taxpayer based on the furnished information.

 

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Priya
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Category Income Tax   Report

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