WHAT IS FORM 26AS?
Form 26AS is a consolidated annual information statement that includes information on tax deducted/collected at source, advance tax, Refund,self-assessment that is available on the Income Tax website against a taxpayer’s Permanent Account Number (PAN).
In May, the Income Tax Department notified the new annual information statement in Form 26AS, effective 1 June 2020. Going beyond the details of tax deducted or collected at source, the revised Form 26AS will reflect all details provided by banks and financial institutions, which were earlier recorded in their Statement of Financial Transactions (SFTs).
The department in its Press Release dated 18/07/2020 said that this will help honest tax payer with updated financial transactions while filing their return of income whereas it will desist those tax payer who inadvertently conceal financial transactions in their returns.
TRANSACTIONS REFLECTED IN PART-E OF FORM 26AS ?
1) Cash deposit/ Withdrawal/ Fixed deposit made in bank account of Rs.10 lakhs or more in all bank accounts and Rs.50 lacs made in all Current accounts.
2) Time deposits made, Purchase of Debentures or bonds, investments made in shares and Mutual Funds, buy back of shares by company, purchase of foreign currency of Rs.10 lacs or more.
3) Payment made from credit card of Rs.10 lacs or more and Rs.1 lacs in Cash.
4) Purchase or sale of immovable property of Rs.30 lacs or more.
5) Cash received for 2 lacs or more against sale of goods or services.
if taxpayer enters into above transactions exceeding the above limits, then such information shall be reflected i.e. Date, Amount, Type of transaction, mode of payment, number of parties, single/joint transaction, name of filer, etc.
SOME IMPORTANT POINTS ABOUT FORM 26AS
- Name of new form 26AS is Annual Information Statement.
- Director General of Income tax (Systems) provide form 26AS to registered account of tax payer within 3 months from the end of the month in which information is received.
- New form 26AS Will provide details of demand outstanding so that tax payer can timely verify whether demand shown in his registered income tax account is correct or not.
- New form 26AS Will provide Details of pending proceedings and competed assessments will be reflected in Form 26AS to keep taxpayer aware.
- New form 26AS contains more information about assessee like-
Date of Birth Contact No Aadhar Number Registered Email ID