Every taxpayer before filing tax must check their Form 26AS. Form 26AS is a document that shows any advance paid tax of the taxpayer or any tax is paid on behalf of the taxpayer on any income earned by the taxpayer. In Form 26AS all advance taxes or self-assessment tax during the financial year is reflected in the taxpayer’s Form 26AS.
In this Form, all information regarding the taxpayer is mentioned. It also contains the details of the person who deducted the tax, his TAN number, the amount on which tax was deducted, and on what amount the tax has been calculated. It shows any refund which is received by the taxpayer during a particular financial year. If any interest has been received on that refund or amount of TDS is deducted from the amount of refund.
IMPORTANCE OF FORM 26AS
It is very important before filing the return to check how much amount of TDS has been deducted by the other person. TDS is deducted on various things for eg. salary, TDS on immovable property, rental income, interest, TCS on purchase of a car, etc.
NEW FORM 26AS
From 1 June 2020, Form 26AS is a combined annual tax return that includes information on taxes withheld at source, taxes received at source, advance tax. This data pertains to Permanent Account Number (PAN).
The form also includes information on the selling or acquisition of real estate, mutual funds, cash contributions or withdrawals from a bank account, and so on. When filing the ITR for the year, and assessed will claim the tax deducted on their Form 26AS.
Before filing the return, it is recommended that this form must be checked because if any deductor deducts TDS or TCS more than the actual amount or if there is any discrepancy, then it must be informed to the deductor so that he can rectify the discrepancy.
If the taxpayer does not inform the deductor and wants to rectify the amount or want to claim any amount which is not stated in the form, after filing the ITR it will be very difficult to get any such amount. If the deductor rectifies any amount or the taxpayer gets any amount then the taxpayer can download the new 26AS Form from the website.
HOW TO DOWNLOAD FORM 26AS
STEP 1: To open the website of Income Tax i.e. incometaxindiafiling.gov.in.
STEP 2: Login in the Income Tax User, if the taxpayer is an old user but if it was the first time the taxpayer came, he must have to create a User ID or an account by applying for his PAN Number and make an account.
STEP 3: By clicking on My Account, the first option will be Form 26AS
STEP 4: By accepting all disclaimers and choosing the assessment year, the taxpayer can easily download Form 26 AS in a PDF file.
PARTS UNDER FORM 26AS
Part A: Information on Taxes Deducted at the Source, Form 15G/Form 15H,
Part A1: Details of Tax Deducted at Source
Part A2: Tax Deducted at Source on Immovable Property Sales u/s 194(IA) (For the seller of Property)
Part B: Information on Taxes Collected at the Source
Part C: Payment of Taxes (Other than TDS or TCS)
Part D: Information of Refund Already Paid
Part E: AIR Transaction Specifications
Part F: Tax Deducted on Selling of Immovable Property under Section 194IA (For land purchasers)
Part G: TDS Defaults
So in nutshell, Form 26AS is a document that captures all the taxes paid by the Taxpayer by way of deduction or otherwise is one place making it easier for the taxpayer to claim the credit of taxes paid at the time of filing for your tax return.