In India, one of the more significant tax forms is Form 26AS, which provides a consolidated report of the tax credit. In this article, I will explain what form 26AS is, its features, and how to file an income tax return using this form.
What is Form 26AS?
Form 26AS is a consolidated tax credit report that provides information about taxes paid by the taxpayer, taxes deducted at source (TDS), and taxes received at source (TCS). It also includes detailed information about advance tax, self-assessment tax, and simple assessment tax that was deposited by the taxpayer. In short, it is a consolidated view of a taxpayer’s tax credit associated with their PAN.
Features of Form 26AS
Form has a wide range of information that can help taxpayers file their tax returns. Some of the main features of Form 26AS:
1. Detailed information about tax deductible at source (TDS):
Form gives details of the TDS that was deducted by the taxpayer’s employer or otherwise. This includes the name of the subtractor, the amount of TDS to be subtracted, and the minus date.
2. Detailed information about tax withheld at source (TCS):
Form 26AS also provides information about the withholding tax (TCS) collected by the taxpayer. This includes the name of the collector, the required amount of tax collected, and the date of collection.
3. Detailed information about the advance tax paid:
If the taxpayer has paid any advance tax in the direction of the monetary year, this will become prescribed on Form 26AS. This includes the amount of advance tax paid, the date of payment, and the branch of the bank where the payment was made.
4. Detailed information about paid income tax:
Form 26AS also has information about the self-assessment of tax paid by the taxpayer. This includes the required amount of tax paid, the date of payment, and the branch of the bank where the payment was made.
5. Detailed information about the periodically paid tax:
If the taxpayer has paid any tax as a result of the permanent assessment, this will be shown on Form 26AS. This includes the required amount of tax paid, the date of payment, and the branch of the bank where the payment was made.
6. Information about big deals:
Form 26AS still has information about large transactions made by the taxpayer in the direction of the monetary year. This includes these details like transaction date, payment method, and transaction amount.
7. Tax credits test:
Form functions as a test of the tax credits claimed by the taxpayer. This can help ensure that the taxpayer does not claim extra tax credits, which could lead to fines or lawsuits.
Filing a tax return using Form 26AS
Filing an income tax return using Form 26AS is a relatively simple process. Here are the required steps:
Step 1: Download Form 26AS
The first step is to download Form from the Department of Income Tax website. This can be done by logging into the eFiling portal using the TIN and taxpayer password.
Step 2: Check the correctness of Form 26AS.
Once a taxpayer has downloaded Form, they should review it carefully to ensure all information is accurate. This includes checking TDS, TCS, advance tax, self-assessment tax, and recurring tax details.
Step 3: File your income tax return
After the taxpayer verifies the information on Form, they can file their return using the information on the form. This includes entering details of taxes paid, income received, and any claimed deductions.
Step 4: Check your tax return
After filing an income tax return, the taxpayer must check it using one of the available verification methods. This can be done electronically using Aadhaar OTP, internet banking, or by sending a physical signed copy of the ITR-V to the income tax office.
Step 5: Save form 26AS for future reference.
Taxpayers need to retain a copy of Form for future reference as it provides proof of taxes paid and tax credits claimed. This can be helpful in case of any disputes or disagreements that may arise in the future.
Lines for completing Tax Form 26AS
Tax Form 26AS is an important document for individuals confirming their tax liability and claiming a tax refund. Form can be accessed online through the Department of Income Tax website using a PAN number.
When filling out tax form 26AC, there are certain lines that an individual must complete accurately. These lines include:
1. Personal Information:
The first line of Tax Form 26AS requires an individual to enter their personal information such as name, PAN number, address, and contact details. It is important to ensure that this information is accurate and up to date as it is used to identify the taxpayer.
2. Income Details:
The next set of rows requires people to enter their income details such as wages, interest income, rental income, and capital gains. It is important to accurately report all sources of income, as failure to do so can result in fines and legal consequences.
3. Details of TDS:
Withholding tax (TDS) is the amount deducted by the payer when making payments such as wages, rent, or commissions. The TDS details line requires individuals to enter details of all TDS deducted during the fiscal year, including the name of the deductible, TAN number, TDS amount, and date of deduction.
4. Advance and self-assessment tax details:
If an individual paid advance or self-assessment taxes during the fiscal year, they must enter that information on Form 26AS. This includes the amount of tax paid, the date of payment, and the method of payment.
5. Tax Refund:
If an individual received a tax refund during the fiscal year, they must provide details of that person on tax form. This includes the refund amount, the refund date, and the refund method.
6. Verification:
The last line of Tax Form requires individuals to sign and verify the accuracy of the information provided on the form. Before signing and submitting a form, it is important to ensure that all information entered on the form is accurate and complete.
Form 26AS is a guarantee of the correct filing of tax returns
Form 26AS is considered a required tax document that highlights a summary view of a taxpayer’s tax credit for that economic year. It includes detailed information about taxes paid, taxes deductible at source, taxes withheld at source, and other significant information, such as transactions with large amounts.
By applying Form 26AS, taxpayers have every chance to be sure that their tax returns are filled out correctly and avoid fines or lawsuits. Taxpayers need to review and verify the information on Form and keep a copy for future reference. As a tax professional, I strongly advise taxpayers to familiarize themselves with Form and use it to their advantage when filing their tax returns.
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