AIS Feedback Functionality

Introduction of Feedback Functionality in AIS by CBDT

The Central Board of Direct Taxes (CBDT) has introduced a new feedback facility in the Annual Information Statement (AIS). The AIS, available to all registered taxpayers through the compliance portal on the e-filing website (www.incometax.gov.in), provides details of numerous financial transactions undertaken by the taxpayer which may have tax implications. This statement is generated based on financial data received from multiple sources.

Feedback Functionality in AIS

Taxpayers can now furnish feedback on every transaction displayed in the AIS. This functionality allows taxpayers to comment on the accuracy of the information provided by the source. In case of incorrect reporting, the issue is taken up with the source for confirmation in an automated manner. Currently, information confirmation is functional concerning data furnished by tax deductors/collectors, and reporting entities.

The following attributes shall be visible to the taxpayer for status of Feedback confirmation from Source:

CBDT has now rolled out a new functionality in the AIS to display the status of the information confirmation process. This functionality shows whether the feedback provided by the taxpayer has been acted upon by the source, either by partially or fully accepting or rejecting it. In case of acceptance, the information must be corrected by filing a correction statement by the source. The following attributes will be visible to the taxpayer regarding the status of feedback confirmation:

1. Feedback Shared for Confirmation: Indicates if the feedback has been shared with the reporting source for confirmation.

2. Feedback Shared On: Displays the date when the feedback was shared with the reporting source.

3. Source Responded On: Shows the date when the reporting source responded to the feedback.

4. Source Response: Provides the response from the source on the taxpayer's feedback, indicating whether any correction is required.

Let’s take an example: -

A dividend payment of above Rs. 5,000 is required to be reported under TDS statement. However, under SFT, all the dividend payments are required to be reported.

Dividend received was of Rs 25,210 and the reporting entity reported the same with the amount of Rs.2,25,210 in their SFT.

Earlier, in this case, the taxpayer has been provided a facility to provide a feedback against the said reporting. Taxpayer can provide a feedback on the same by giving response from the dropdown menu. With the intorduction of the new facility, on receipt of such feedback, the taxpayer will now be able to check the status of the feedback.

Conclusion

This new functionality is expected to facilitate taxpayers to share feedback and track the status of their feedback on various informations as reported in their AIS and will provide mechanism to quick resolution of errors made by the reporting entities  It is another initiative by the Income Tax Department towards ease of compliance and improved taxpayer services.

Reference: Press release dated May 13 2024. You can access this press release at https://shorturl.at/ySyYP

Disclaimer: This material and the information contained herein is intended for clients and other Chartered Accountants to provide updates and is not an exhaustive treatment of such subject. We are not, by means of this material, rendering any professional advice or services. It should not be relied upon as the sole basis for any decision which may affect you or your business.