Revised Form 26AS for the faceless hand-holding of the Taxpayers

The Central Board of Direct Taxes (CBDT) issued a press release dated 18 July 2020, wherein the CBDT reiterates the amendments made in Form 26AS vide Notification No. 30 of 2020 dated 28 May 2020 expanding the scope of Form 26AS. The Press Release clarifies that the revised Form 26AS will provide additional details on taxpayer’s financial transactions as specified in Statement of Financial Transaction (SFT) in various categories.

Earlier Form 26AS provides information regarding tax deducted at source (TDS) and tax collected at source (TCS) relating to a Permanent Account Number (PAN) besides certain additional information such as details of other taxes paid, refunds and TDS defaults. In addition to these information, Part E of the revised Form 26AS would also provide information about specified financial transactions to facilitate voluntary compliance, tax accountability and ease of e-filing of the income tax returns to ensure proper and accurate compliances by the taxpayers resulting in transparency and accountability in the tax administration.

The revised Form 26AS will display type of transaction, name of SFT filer, date of transaction, single/joint party transaction, number of parties, amount, mode of payment and remarks, etc. It would also have information of transactions which used to be received up to Financial Year 2015-16 in the Annual Information Returns (AIR).

Revised Form 26AS might help the honest taxpayers with updated financial transactions while filing their Income Tax Returns and will abstain those taxpayers who conceal information about specified financial transactions.

Tag: CBDT