Fixing Annual Information Statement Errors: A Practical Guide for AY 2025–26

Taxpayers across India are increasingly encountering mismatches between the data shown in their Annual Information Statement  (AIS) and what they report in their tax return. Such discrepancies can trigger needless notices or delays in refunds. To mitigate this risk and ensure accurate filings for Assessment Year 2025‑26, individuals must understand the causes of these mismatches and proactively resolve them.

What causes an AIS mismatch?

• The mismatches often arise when withheld tax (TDS) is not correctly reflected in the AIS.
• Interest income from banks or fixed deposits may differ from what the taxpayer reports.
• Duplicate entries, incorrect PAN linkage or transactions reported under somebody else’s PAN also contribute.

Step‑by‑step: How to fix the mismatches

1. Step 1 – Download your AIS: Log into the income tax portal, navigate to AIS and download the PDF.
2. Step 2 – Compare AIS with your records: Check the AIS entries against Form 16, Form 26AS, bank statements, broker statements and dividend records.
3. Step 3 – Use the “Feedback” option: On the AIS portal, select ‘Feedback’ and choose from options like “Information is correct”, “Information is incorrect”, “Information belongs to another person”, “Information is duplicated”, or “Information is denied”. This helps update or correct the AIS.
4. Step 4 – Re‑compute your income: Ensure your taxable income incorporates the correct figures for interest, capital gains, TDS/TCS and dividends.
5. Step 5 – Re‑file or update your ITR:
   1. If the mismatch is substantial (leading to a material error), filing a revised ITR is advisable.
   2. If minor, it may suffice to simply adjust the relevant schedule in the original return.

What happens if you ignore an AIS mismatch?

Failing to resolve mismatches can invite several adverse consequences:

• A demand under Section 143(1) of the Income Tax Act.
• Your ITR could be treated as defective under Section 139(9).
• Tax notices may be issued, or refunds will be delayed.

Conclusion

In the current tax filing cycle, effectively leveraging the AIS is key to ensuring accuracy and avoiding unwanted consequences. Taxpayers should routinely download their AIS, cross‑verify it with their own records, submit feedback for discrepancies, and amend their returns appropriately. By doing so, they can prevent the risk of notices, defective returns or refund delays. As the landscape of financial reporting becomes more complex, proactive monitoring and prompt action on AIS mismatches will become an integral part of prudent compliance practice.