How a small AIS check can save you from a tax notice
It's simple. Log in to the Income Tax Department's e-filing website www.incometax.gov.in using your PAN or Aadhaar and password.Click on the 'Services' tab, find 'Annual Information Statement (AIS)' and hit 'Proceed'. You can also go to the 'e-File' menu, click 'Income Tax Return' and pick 'View AIS'.The AIS will show all reported income details. If you want to download it as a PDF, you'll need a password, your PAN in lowercase, followed by your date of birth in DDMMYYYY format.WHAT IF THERE'S A MISTAKE?Mistakes happen. But the good thing is you can fix them. The AIS has an option to give feedback.Just pick the transaction with the error, click the 'Optional' button, select the right feedback and submit it. You'll get a receipt, and any updates will show up in your Taxpayer Information Summary (TIS).Simply put, a quick look at your AIS today can help you file an error-free return and stay worry-free about tax notices later.- Ends
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Mint
7 minutes ago
- Mint
Income Tax: Avoid these 4 common mistakes that taxpayers make while filing ITR
Income Tax: With only 45 days left to meet the September 15 deadline to file income tax return (ITR) for FY2024-25, taxpayers are busy sourcing the correct information and documents required to file their return well on time. It is worth mentioning that the income tax department on July 30 released the online utility for ITR-3 whereas ITR-2 was enabled on July 17, to be filed through online mode with prefilled data. The Excel utilities for these forms were released early last month. When filing the income tax return, salaried taxpayers do not have to do much, other than arrange Form 16 (issued by the employer) and an interest certificate (issued by the bank). However, if you have multiple sources of income, including from house property, capital gains, self-employment, or other sources, it is recommended that you seek the professional advice of a chartered accountant or an income tax expert. But if you are a DIY person, then you can definitely give it (ITR filing) a go, but make sure that you do not commit any of the oft-repeated mistakes. Here, we list some of the common mistakes that taxpayers make. I. Choosing the right tax regime: First and foremost, taxpayers must choose the right tax regime, which leads to lower tax outgo. One can even use an income tax calculator on the income tax website to compare the tax component under both regimes. 'Many taxpayers either default to the new regime without analysis or continue with the old regime out of habit. This oversight often leads to incorrect tax computation, avoidable excess tax payments, or mismatches during return processing by the Income Tax Department. In the last one or two assessment years, a growing trend has been observed among individual taxpayers—especially salaried employees—of failing to evaluate which income tax regime is more beneficial for them,' says Dinkar Sharma, Partner, Jotwani Associates. II. Not reporting gains from trading: Another mistake to avoid is not reporting capital gains earned from trading in securities. 'Several salaried taxpayers with investments in shares and mutual funds also forget to incorporate capital gains earned from trading or redemptions. This typically happens when the taxpayer has passive investments and does not actively track transactions. However, with the introduction of the Annual Information Statement (AIS), such gains are now more easily detected by the tax department, and non-disclosure can trigger automated notices,' explains Dinkar Sharma of Jotwani Associates. III. Failure to e-verify the return: Another important thing to remember is to e-verify the return. Taxpayers must make sure that they do not skip e-verification. 'One of the most common mistakes which taxpayers tend to make is to skip the e-verification. If it is not done on time, the return gets invalidated after 30 days. Last year, we met a few taxpayers who made this mistake and were later had to pay extra tax since the previous return got invalidated. And the new return - once the deadline expires -- can be filed under the new tax regime only, rendering their claimed exemptions invalidated,' says Chirag Chauhan, a Mumbai-based chartered accountant. IV. Failure to claim exemption: At times, taxpayers earn capital gains and reinvest some of the gains but forget claiming the exemption. 'It is not uncommon among taxpayers to fail to claim exemptions under relevant sections such as 54, 54EC, or 54F. These exemptions are available when capital gains are reinvested in residential property or certain specified bonds. However, failure to reinvest within prescribed timelines, or to follow the procedural conditions, can result in denial of exemption and an inflated tax bill,' adds Dinkar Sharma of Jotwani Associates. CA Chirag Chauhan believes that the current deadline (September 15) is very near, and it will help if the Central Board of Direct Taxes (CBDT) extends it. 'Effectively, only one and a half months are remaining before the deadline ends on September 15. And with the kind of information that is required to be submitted under the old tax regime, this time period is not sufficient. Only two days ago, the tax department released ITR-3 for online filing. Given all this, I think that the deadline should be further extended to October 30,' adds Chauhan. For all personal finance updates, visit here
India Today
an hour ago
- India Today
Karnataka Minister says IT raids were routine, denies link to smart meter contract
Karnataka Minister KJ George said the recent Income Tax raids at premises linked to him were 'a routine regulatory exercise' related to income tax filings and had nothing to do with any government project. advertisementThis comes after the Income Tax Department conducted surveys from July 28 to 30 at multiple locations connected to George and real estate tycoon Jitu Virwani of the Embassy Group, including Golflinks Software Park Private Limited in a statement issued on August 1, George said there was 'no connection whatsoever' between the IT department's visit and the Smart Meter Initiative or the Energy Department of the Karnataka government. In March this year, the BJP alleged a massive Rs 15,568 crore scam in Karnataka's smart meter procurement process, accusing the Siddaramaiah-led Congress government of favouritism and irregularities in the tendering process.'Our teams extended full cooperation to the authorities during this scheduled compliance review,' he added, dismissing what he called 'speculative or misleading claims.'Echoing this position, Golflinks Software Park, in an official note, clarified that the survey conducted under Section 133A of the Income Tax Act was routine and 'has no connection to public officials, state government departments, BESCOM contracts, or smart meter-related matters.'The company called itself an independently managed entity with a 'track record of financial integrity' and warned of legal action against anyone spreading 'incorrect or misleading information.'- Ends IN THIS STORY#Karnataka
Economic Times
an hour ago
- Economic Times
Error in ITR-2 online utility: CA highlights technical bug which may lead to taxpayers with capital gains income, carry forward loss getting scrutiny notices later
ET Online CAs highlight about technical bugs on the utility due to which taxpayers with capital gains income, carry forward loss can get scrutiny notices later Chartered Accountant Aditi Bhardwaj has highlighted an error in the ITR-2 online filing utility on the e-filing portal. More specifically, there is an inconsistency in values in the Schedule Brought Forward Loss Adjustment (BFLA) and Schedule Carry Forward Loss (CFL) of the ITR-2 form. If this error is not fixed at once, then taxpayers filing ITR-2 online might encounter problems with their ITR getting rejected or adjusted under Section 143(1). Bhardwaj said on X (formerly Twitter): 'Error in Utility ITR 2: The assessee has reported Long-Term Capital Gains (LTCG) of Rs 1,44,108 during the year, which is set off against a short-term capital loss of Rs 6,585, resulting in net LTCG of Rs 1,37,523. This is further set off against a brought forward loss of Rs 48,233 from AY 2023–24, leaving a balance of Rs 89,290, which is exempt under section 112A. The BFLA schedule reflects this set-off of Rs 48,233 correctly. However, the CFL schedule continues to show Rs 48,233 as a carried forward loss, instead of reducing it to zero. This leads to a validation error during filing. Unlike previous assessment years, the utility currently does not provide a 'Set Off' button, which would enable manual activation of the adjustment. Additionally, while the BFLA - Utility form view correctly displays the row for LTCG taxable @ 12.5%, this row is completely missing in the preview or final PDF version of the return. The set-off details reflected in the utility are not carried forward into the preview, which appears to be a system error or rendering issue. You may remember Aditi Bhardwaj had earlier pointed out an error in calculating Section 234C interest in the Income Tax Return Utility on X (formerly Twitter). ET Wealth Online has reached out to many Chartered Accountants to find out if Bhardwaj is correct. They said: Chartered Accountant (Dr.) Suresh Surana says: Bhardwaj is right. In the given case, there is an inconsistency in the online filing utility, specifically in the integration between Schedule Brought Forward Loss Adjustment (BFLA) and Schedule Carry Forward Loss (CFL). Chartered Accountant Abhishek Soni, co-founder, Tax2Win, says: We have reviewed a similar case in the ITR-2 utility with the same conditions, including LTCG, STCL set-off, and brought forward losses. However, we did not encounter the error mentioned in the CFL schedule or the discrepancy in the preview/PDF format. The Income Tax Department said to Bhardwaj: 'Dear @CAAditiBhardwaj, We believe our team has been in touch with you regarding the issue. They are looking into this.' Also read: ITR filing 2025: Who can file ITR-2, who cannot file it for FY 2024-25 (AY 2025-26)? What is the error with ITR-2 online utility? Surana explains: Section 70 and 74 of the Income Tax Act,1961 provides that, Short term capital loss (STCL) can be set off against both STCG and LTCG whereas Long-Term Capital Loss (LTCL) can be set off only against LTCG, and unabsorbed losses may be carried forward for up to 8 years, subject to certain conditions. In the given case, there is an inconsistency in the online filing utility, specifically in the integration between Schedule Brought Forward Loss Adjustment (BFLA) and Schedule Carry Forward Loss (CFL). The taxpayer has a brought forward a capital loss of Rs 48,233 from AY 2023–24, which has been correctly adjusted against the remaining LTCG in Schedule BFLA. Post adjustment of the current year, STCL the entire brought forward loss also stands fully utilized. Accordingly, the Schedule CFL should reflect zero balance. Despite the correct adjustment shown in Schedule BFLA, the utility continues to display the previous year losses under Schedule CFL as a carried forward amount. It is pertinent to note that this technical issue only appears in the online filing interface, and not in the Excel Utility of ITR -2 issued by the Income Tax Department. Soni has a contrarian view. He says: 'It is possible that the issue is specific to that particular return, the utility might be corrupted, or there may have been a data entry oversight. We recommend revalidating the JSON or rechecking the entries in a fresh instance of the utility.' ITR-2 online filing utility Suresh Surana Source: CA (Dr.) Suresh Surana ITR-2 excel utility Suresh Surana Source: CA (Dr.) Suresh Surana Also read: Step-by-step guide on how to file ITR-1 using excel utility with non-taxable LTCG income, salary, others What can happen if the income tax department does not fix this? Surana explains that if the tax department does not fix this error with ITR-2 online utility, the following may happen: Risk of Scrutiny or Notices: Despite this error, if the taxpayers file their returns it may lead to incorrect carry-forward of losses, leading to adjustments during the assessment u/s Section 143(1) including rejection or modification of the return. Due to this, taxpayers may need to provide additional clarifications or file rectifications, increasing compliance burden and risk exposure. Despite this error, if the taxpayers file their returns it may lead to incorrect carry-forward of losses, leading to adjustments during the assessment u/s Section 143(1) including rejection or modification of the return. Due to this, taxpayers may need to provide additional clarifications or file rectifications, increasing compliance burden and risk exposure. Issue in set-off of losses in future AY's - Incorrect carry forward of losses may cause issues in subsequent AY, especially when the taxpayer attempts to set off losses which had been already utilized in the prior years. N.R. Narayana Murthy Founder, Infosys Watch Now Harsh Mariwala Chairman & Founder, Marico Watch Now Adar Poonawalla CEO, Serum Institute of India Watch Now Ronnie Screwvala Chairperson & Co-founder, upGrad Watch Now Puneet Dalmia Managing Director, Dalmia Bharat group Watch Now Martin Schwenk Former President & CEO, Mercedes-Benz, Thailand Watch Now Nadir Godrej Managing Director, of Godrej Industries Watch Now Manu Jain Former- Global Vice President, Xiaomi Watch Now Nithin Kamath Founder, CEO, Zerodha Watch Now Anil Agarwal Executive Chairman, Vedanta Resources Watch Now Dr. Prathap C. Reddy Founder Chairman, Apollo Hospitals Watch Now Vikram Kirloskar Former Vice Chairman, Toyota Kirloskar Motor Watch Now Kiran Mazumdar Shaw Executive Chairperson, Biocon Limited Watch Now Shashi Kiran Shetty Chairman of Allcargo Logistics, ECU Worldwide and Gati Ltd Watch Now Samir K Modi Managing Director, Modi Enterprises Watch Now R Gopalakrishnan Former Director Tata Sons, Former Vice Chairman, HUL Watch Now Sanjiv Mehta Former Chairman / CEO, Hindustan Unilever Watch Now Dr Ajai Chowdhry Co-Founder, HCL, Chairman EPIC Foundation, Author, Just Aspire Watch Now Shiv Khera Author, Business Consultant, Motivational Speaker Watch Now Nakul Anand Executive Director, ITC Limited Watch Now RS Sodhi Former MD, Amul & President, Indian Dairy Association Watch Now Anil Rai Gupta Managing Director & Chairman, Havells Watch Now Zia Mody Co-Founder & Managing Partner, AZB & Partners Watch Now Arundhati Bhattacharya Chairperson & CEO, Salesforce India Watch Now
