Form 26AS, Income Tax Return Filing: The Central Board of Direct Taxes (CBDT) has said that from this Assessment Year, taxpayers will see an improved Form 26 AS
Form 26AS, Income Tax Return Filing: The Central Board of Direct Taxes (CBDT) has said that from this Assessment Year, taxpayers will see an improved Form 26 AS which would carry some additional details on taxpayers financial transactions as specified Statement of Financial Transactions (SFTs) in various categories. The CBDT said in a statement that the new Form 26AS is “the faceless hand-holding of the taxpayers to e-file their income tax returns quickly and correctly.
“The information being received by the Income Tax Department from the filers of these specified SFTs is now being shown in Part E of Form 26AS to facilitate voluntary compliance, tax accountability and ease of e-filing of returns so that the same can be used by the taxpayer to file her or his income tax return (ITR) by calculating the correct tax liability in a feel-good environment,” CBDT said.
FORM 26AS: What has changed
Earlier, Form 26AS relating to a PAN used to provide information regarding tax deducted at source and tax collected at source besides certain additional information including details of other taxes paid, refunds and TDS defaults: Central Board of Direct Taxes (CBDT) (1/2)
However, the modified Form 26AS will now have Statement of Financial Transactions (SFTs) to help the taxpayers remind all her/his major financial transactions so that s/he has a ready reckoner to enable her/him while filing the ITR, the CBDT said.
New Form 26AS will show information like cash deposit/withdrawal from saving bank accounts, sale/purchase of immovable property, time deposits, credit card payments, purchase of shares, debentures, foreign currency, mutual funds, buyback of shares, cash payment for goods and services etc.
For any taxpayer, Form 26AS will now display in part E of the Form details like type of transaction, name of SFT filer, date of transaction, single/joint party transaction, number of parties, amount, mode of payment and remarks etc.