Mismatch in 26as and form 16

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

23 March 2018 Tds u/s 192 for salary is deducted and shown properly in 26AS and form 16 but in total amount paid column of 26AS shows Rs.34755 while actual amount of salary as per form 16 is 503832, now while preparing itr-1 what amount should be disclose in SCHEDULE OF TDS, it by default disclose the amount as per IT records which is Rs.34755, now my question is whether I should modify it or keep it as it is?

Bhaskaran Chackrapani Warrier

Bhaskaran Chackrapani Warrier (Expert)
Follow

23 March 2018 Don't keep it as it is.
Seems there is mistake in the TDS return filed. If so correct it so as to match the
figure with form 25AS

Querist : Anonymous

Querist : Anonymous (Querist)

24 March 2018 Thank you sir for your reply but amount of TDS is mentioned correctly which is the important figure. Mismatch is of the amount paid on which tds has been deducted, so should I write correct figure of salary? Please help me with this regard...

Asha Kanta Sharma

Asha Kanta Sharma (Expert)
Follow

03 August 2024 When dealing with a mismatch between the amount of salary shown in Form 16 and the amount shown in Form 26AS, it's important to handle the discrepancy carefully to ensure accurate tax reporting. Here’s how you should approach the issue:

### **Understanding the Discrepancy**

- **Form 16**: Issued by the employer, it provides details about the salary paid and TDS deducted.
- **Form 26AS**: It shows the TDS credit that has been reported to the Income Tax Department by the deductor (employer) and should ideally reflect the same amount of salary as reported in Form 16.

### **Steps to Resolve the Discrepancy**

1. **Verify the Details**:
- **Check Form 16**: Ensure that the salary amount and TDS deducted mentioned are correct and align with your records.
- **Check Form 26AS**: Verify if the TDS details match with Form 16 but review if there’s an issue with the total amount paid column.

2. **Correct Reporting in ITR**:
- **Income Reporting**: In the ITR-1, you should report the salary income as shown in Form 16, which is ₹5,03,832. This is the correct figure of income received.
- **TDS Reporting**: Ensure that the TDS deducted (₹34,755) as per Form 16 is reported accurately in the TDS schedule of the ITR.

3. **Adjustments and Clarifications**:
- **Adjust the Form 26AS**: Sometimes, Form 26AS might have incorrect details due to reporting issues by the employer or other discrepancies. If the TDS is correctly mentioned in Form 26AS, but the salary amount is incorrect, focus on ensuring that the TDS and salary income in the ITR match Form 16.
- **Employer Clarification**: Contact your employer to confirm whether the salary and TDS reported in Form 16 and Form 26AS are accurate. They may need to correct Form 26AS if there’s an error.

4. **Filing the Return**:
- **SCHEDULE OF TDS**: In the ITR, ensure the amount of TDS reported matches Form 16. The income figure should reflect what is shown in Form 16.
- **Additional Information**: If you notice discrepancies, consider adding a note in the "Other Information" section of the ITR to explain the mismatch, in case of future queries from the Income Tax Department.

5. **Rectification Request**:
- **Form 26AS Correction**: If you have confirmed that there is an error in Form 26AS, the employer or deductor needs to file a correction statement with the tax department to rectify the discrepancy.

6. **ITR Filing**:
- **File Based on Form 16**: File your ITR based on the details mentioned in Form 16, as it’s the primary document for your salary and TDS.

### **In Summary**

- **Report the correct salary** in ITR as per Form 16.
- **Ensure TDS details** in the ITR match with Form 16.
- **Report any discrepancies** in the “Other Information” section if needed.
- **Rectify Form 26AS** if the amount paid is incorrect by contacting the employer for correction.

By following these steps, you ensure that your tax return is accurate and reflect the correct income and TDS details as per Form 16.

You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now