TDS deducted u/s 194N but showing as 194NF in 26AS

@ Deepa Chaudhary

Check the below links to understand your course of action:-

https://www.suvit.io/post/section-194n-and-section-194nf

https://www.google.com/search?client=firefox-b-e&sca_esv=6a8bc30cf81663d6&q=section+194n+of+income+tax+act&sa=X&ved=2ahUKEwjhj7f-w7GOAxXqU6QEHVM6ED0Q7xYoAHoECAsQAQ&biw=1366&bih=634&dpr=1

Sir, this is not helping as if the deduction is made by bank on cash withdrawal, then form 26AS should also be showing the same section. 

@ Deepa Chaudhary 

194NF is a subsection of 194N as per my understanding.

194NF specifying the TDS rate.

In any case, AIS has a small note, which mentions that in case of any discrepancy between date in 26AS and AIS, use the data in 26AS.

So you can do accordingly.

The 194N vs 194NF split is a very common confusion right now. Section 194N applies when you have filed ITRs for the past 3 years (TDS kicks in above Rs 1 crore cash withdrawal in the FY), whereas 194NF applies when you have not filed returns for all 3 preceding years (lower threshold of Rs 20 lakh). The 194NF code appearing in 26AS does not mean the TDS was wrongly deducted, it is just how the bank classified you in their system. Both 194N and 194NF TDS credits appear in your 26AS and you can claim them against your tax liability in ITR. If you believe the 194NF classification is wrong (because you have been filing ITRs), you can approach your bank branch with the last 3 years of ITR acknowledgements and request them to update your filing status. Our [TDS on cash withdrawal guide for FY 2026-27](https://taxgarden.in/blog/tds-on-cash-withdrawal-section-194n-india) covers the threshold rules, refund eligibility, and how to handle 194NF incorrectly triggered cases.

194NF appearing in Form 26AS means the bank has declared the account holder as a “non-filer” of ITR for the last three years. You can still claim the full TDS credit in your ITR.

If Form 26AS and AIS both show TDS under section 194N, there is no section mismatch. A bank statement may use a short label or transaction descripttion; check the bank’s Form 16A and the TDS amount, date and deductor TAN against Form 26AS. AIS may also show transaction-level information that does not exactly match the bank statement layout.

• If the amount and deductor details agree, retain the statement and Form 16A and claim the eligible credit in the ITR under TDS details, subject to the applicable rules.
• If the amount, date or deductor differs—or the credit is missing—ask the bank to verify its TDS return and correct it, if required. Recheck Form 26AS after the correction is processed; an AIS feedback response alone does not amend the bank’s TDS statement.

Reconciling the bank statement, Form 16A, AIS and Form 26AS is a useful step in the TDS-credit workflow before filing the return. Manual checking across multiple records can be difficult; automation reduces repetitive matching while professional judgment remains in control. At Jir AI, our 2,000+ AI agents and 650+ integrations streamline GST, ITR, TDS, TCS and other compliance workflows, helping reduce manual workload by up to 70%. Message us on WhatsApp to explore a smoother reconciliation workflow: https://wa.me/message/3HVOZ7HIY4ESC1