What is Form 26AS?

Form 26AS is a tax credit statement issued by the Income Tax Department, providing a consolidated summary of the tax-related information for a taxpayer. It includes details of:

• Tax Deducted at Source (TDS): Amounts deducted by employers, banks, and other entities.
• Tax Collected at Source (TCS): Amounts collected by sellers on specific transactions.
• Advance Tax and Self-Assessment Tax Payments: Taxes paid by the taxpayer during the financial year.
• Refunds: Any refunds issued by the tax authorities.

Issue with Form 26AS for Q4

For the financial year ending March 2024, the 26AS available in June 2024 may have incomplete income details for the fourth quarter (January, February, March). This situation arises due to delays in the reporting process by various institutions or discrepancies in data submission.

Implications for Taxpayers

1. Income Mismatches: If your income tax return (ITR) is based solely on this form, you might encounter notices from the tax department for income mismatches. This happens when the reported income in your ITR does not align with the incomplete or incorrect details in Form 26AS.
2. Increased Notices: Taxpayers may receive notices asking for clarification or correction of the discrepancies between the income reported in their ITR and the details available in Form 26AS.
3. Delay in Processing: Incomplete income details can lead to delays in the processing of your tax return and any refunds due to you.

Steps to Address the Issue

1. Verify Income Details: Cross-check the income details reported in Form 26AS with your own records. If you find discrepancies, update your ITR accordingly.
2. Follow Up with Employers or Deductors: Contact the entities that have deducted or collected tax on your behalf to ensure they have submitted accurate information to the Income Tax Department.
3. File a Revised Return: If you’ve already filed your ITR and later find that Form 26AS was incomplete, consider filing a revised return with the correct details.
4. Monitor Updates: Regularly check for updates, especially towards the end of the financial year, to ensure all income details are accurately reflected.
5. Consult a Tax Professional: If you are uncertain about handling discrepancies or need assistance, consult a tax advisor to guide you through the process.

By staying vigilant and proactive, you can address issues related to incomplete income information in Form 26AS and avoid potential complications with your tax filings, thanks to our expert guidance, Pitchers Global.