Detailed Explanation
How it works
It is used to verify that tax deducted on your income has reached the government, and to reconcile credits before filing the return.
What lives in 26AS versus AIS now
Form 26AS remains the tax-credit statement: TDS/TCS deducted against your PAN, advance tax and self-assessment challans, refunds issued, and specified high-value transactions. The Annual Information Statement (AIS) is the wider net — interest, dividends, securities trades, mutual funds, foreign remittances, property transactions, GST turnover — with the Taxpayer Information Summary (TIS) as its processed layer used for pre-filling. Reconcile all three before filing; the CPC matches your return against them automatically.
Worked example
Your books show Rs.2,40,000 professional TDS credit, but 26AS shows Rs.2,16,000. The usual causes, in order: a client deducted in March but deposited late (credit appears after their return is processed), a client filed with the wrong PAN, or a client deducted and never deposited. Claim only what 26AS supports at filing, chase the differential with the client (their Form 16A and a TRACES correction fix it), and revise the claim later — claiming unmatched credit produces an automatic 143(1) demand.
Practice discipline
Pull 26AS/AIS quarterly, not annually: mid-year mismatches are fixable while the deductor still cares; discovering them in July means chasing a closed loop. For businesses, tie the 26AS TDS-suffered figure into revenue reconciliation — the department's 26AS-to-turnover comparison is a standard scrutiny opener, and AIS now carries your GST turnover for the same cross-check.
Frequently asked questions
What does Form 26AS show?
TDS, TCS, advance and self-assessment tax, refunds and certain high-value transactions linked to your PAN.
Why reconcile Form 26AS?
To ensure all TDS credits are reflected and to avoid mismatches that trigger notices.
This content is for general guidance only and does not constitute professional advice. Tax law changes frequently — verify the current position and consult a qualified Chartered Accountant before acting. Last reviewed: June 2026.