CBDT Adds New Feature in Annual Information Statement (AIS). How Will it Help Taxpayers?

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The Central Board of Direct Taxes (CBDT) has added a new feature to the Annual Information Statement (AIS) that will allow taxpayers to furnish feedback on every transaction displayed therein. It will help the taxpayer to comment on the accuracy of the information provided by the source of such information.

“In AIS, taxpayer has been provided with a functionality to furnish feedback on every transaction displayed therein. This feedback helps the taxpayer to comment on the accuracy of the information provided by the Source of such information. In case of wrong reporting, the same is taken up with the Source for their confirmation, in an automated manner. It may be noted that, information confirmation is currently made functional with regard to information furnished by Tax Deductors/Collectors and Reporting Entities,” the Ministry of Finance said in a press release on May 13, 2024.

The new feature will enable taxpayers to confirm any transaction presented, and can share feedback on any transaction displayed.

Additionally, before submitting their income tax returns, taxpayers will be able to check and update the data they entered in the AIS.

Taxpayers can submit feedback on each transaction displayed in the Annual Information Statement (AIS). This feedback allows the taxpayer to comment on the reliability of the information provided by the source of the information.

In case of incorrect reporting, an automated notification is sent to the source for confirmation.

Features Accessible to Taxpayers

According to CBDT, the taxpayer will now be able to see the following features, which are added to AIS for the status of feedback confirmation from the source.

Whether feedback is shared for confirmation: This will let the taxpayer 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 let the taxpayer know the date on which the Reporting Source has responded on the feedback shared with it for confirmation.

Source Response: This will let the taxpayer know the response provided by the Source on the taxpayer’s feedback (if any correction is required or not).

Also Read: New Feature on e-Filing Portal Makes It Easy To Deal With Multiple Tax Proceedings

By providing such data to the taxpayer in AIS, this new feature is expected to improve transparency. This is just another effort by the Income Tax Department to improve taxpayer services and make compliance easier, CBDT said.

All registered income taxpayers can now access AIS via the compliance portal by visiting the income tax e-filing website.

AIS gives information about financial transactions made by the taxpayer in a financial year that may have tax implications. AIS is loaded with financial data gathered from multiple information sources.

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