CBDT Introduces Enhanced Feature in Income Tax AIS: Track Your Correction Request Status Now
Many taxpayers who identified inaccuracies in their Annual Information Statement (AIS) had provided feedback but were unsure if the reporting entities, like banks, addressed their concerns. However, the Central Board of Direct Taxes (CBDT) has updated the AIS functionality to show real-time status updates on the information confirmation process.
According to a press release dated May 13, 2024, the CBDT announced the rollout of a new feature in AIS that reveals the status of the information confirmation process. This feature indicates whether the taxpayer’s feedback has been acknowledged by the source, either partially or fully accepted or rejected.
Explaining the Mechanism of the New AIS Feature
All registered income taxpayers can access the AIS using the compliance portal. You must first log in to the ITR e-filing portal and then browse to the compliance portal, which is located under the ‘Pending Actions’ page. The compliance portal is not directly accessible.
“The Annual Information Statement (AIS) is available to all registered Income Taxpayers through the compliance portal, accessible through the e-filing website (www.incometax.gov.in),” stated CBDT in a press statement.
Understanding the Operation of the Enhanced AIS Feature
According to the CBDT’s press release, if the feedback is partially or fully accepted, the source is required to correct the information by submitting a correction statement.
The following details will be visible in the AIS to show the status of feedback confirmation from the source:
- Whether feedback is shared for confirmation: This will let you know if the feedback has been shared with the reporting source for confirmation or not.
- Feedback Shared On: This will let the taxpayer know the date on which the feedback has been shared with the reporting source for confirmation.
- Source Responded On: This will tell you the date on which the reporting source responded to the feedback shared with it for confirmation.
- Source Response: This will tell you what the response is provided by the source based on the taxpayer’s feedback (if any correction is required or not).
According to CBDT’s news release, “this new functionality is expected to increase transparency by displaying such information in AIS to the taxpayer.”
What Benefits Does the Enhanced AIS Functionality Offer?
You have to report inaccurate AIS data so that it can be corrected. Unfortunately, there have been instances in the past when the taxpayer got an income tax intimation letter because of a discrepancy between the AIS and ITR data because the reporting source failed to act promptly to make this repair.
Read more: Understanding the Consequences of Incorrect HRA Declarations
We have noticed that when the income tax agency notified numerous legitimate taxpayers about the discrepancy between the data in their filed ITR and the incorrect information in AIS, they became quite alarmed. We had previously encountered problems with a few clients in which the sale and purchase of shares was recorded in AIS even though our client did not actually complete the transaction. As a result, we have given feedback on the AIS tab, however we are unsure of whether the reporting body took the required action or not.
Related Post
CBDT Introduces Enhanced Feature in Income Tax AIS: Track Your Correction Request Status Now
Understanding the Consequences of Incorrect HRA Declarations
Understanding HUF in Income Tax: Benefits, Exemptions, and Rules
Book A One To One Consultation Now For FREE
How can we help? *
Related Articles
This post first appeared on Startup Company Registration | Procedures | Contact Experts | Certicom, please read the originial post: here
