AIS, TIS and Form 26AS Do Not Match the Books: How to Reconcile Them
Different information statements have different purposes. Investigate mismatches with underlying evidence rather than changing books to match every prefilled value.
AI Summary
Scope: FY 2025-26 / AY 2026-27 under the Income-tax Act, 1961; use the AY-specific notified return, schema and validation rules. Verification date: 11 October 2026.
Understand what you are comparing
AIS provides broader information available with the Income Tax Department, while TIS summarises processed information for relevant categories. Form 26AS serves the tax-information and credit reconciliation process. None should be treated as a complete replacement for the taxpayer's books and supporting records.
Download the relevant year and record the retrieval date. A later deductor correction or information update can change the statements. Keep a clear record of which version was used for the filing review.
Create an exception register
Record information category, reporting entity, transaction/reference, statement value, book value, difference, evidence and conclusion. Separate income reconciliation from tax-credit reconciliation so the same mismatch is not investigated twice without purpose.
| Difference type | Evidence to inspect |
|---|---|
| Gross versus net amount | Invoice, settlement and TDS certificate |
| Different period | Credit/payment dates and relevant recognition facts |
| Duplicate information | Reporting references and underlying transaction |
| Missing credit | Deduction evidence and deductor statement status |
| Incorrect reporting | Source documents and correction/feedback records |
Example: a net receipt is not gross income
Assume a fictional bank credits ₹90,000 after deducting ₹10,000 of TDS from ₹1,00,000 of interest. The bank statement shows ₹90,000, while the interest record shows ₹1,00,000 and tax deduction is ₹10,000.
If books contain only ₹90,000 of interest, investigate the missing gross-up and credit record. Subject to the applicable recognition and credit rules, the reconciliation should distinguish ₹1,00,000 income from ₹10,000 TDS. Do not label the ₹10,000 difference as a duplicate transaction without checking the settlement.
Example: the same reported amount appears twice
Suppose AIS displays two records that seem to relate to one ₹5 lakh transaction. Compare reporting entity, account, date and transaction reference. One may be a correction, a different information category or a genuinely separate transaction.
Only after identifying the facts should the preparer conclude whether duplication exists and submit appropriate feedback. Keep the supporting document and feedback acknowledgement. Feedback does not itself establish the correct tax treatment or guarantee that a tax credit is immediately available.
Missing TDS needs deductor follow-up
Match the deductor identity, PAN, amount and period against certificates and books. Ask the deductor to review the reporting where relevant. Track whether a correction was submitted and whether the updated statement reflects it.
Do not claim a credit solely because an expense or receipt working contains a TDS assumption. Conversely, do not ignore a substantiated deduction merely because a first download is incomplete. Establish the relevant entitlement and reporting position using evidence and applicable law.
Resolve the return treatment
Document whether the issue requires a book correction, information feedback, deductor correction or only an explanatory reconciliation. Keep the chosen income and credit amounts aligned with the return's applicable schedules and conditions.
- Confirm the taxpayer and assessment year.
- Compare detailed records rather than totals alone.
- Use invoices, certificates and bank evidence.
- Track corrections and feedback separately.
- Review unresolved differences before filing.
For a company whose financials are prepared in assureOffice, reconcile interest, revenue and tax-credit balances with the approved statements. Keep this exception register in the ITR file. The strongest result is a supported return position, not a forced match with every prefilled field.
Keep feedback and return decisions traceable
Record the original reported information, your feedback, the supporting document and the final return conclusion in separate columns. Feedback submission is not proof that the source has been corrected or that a tax-credit claim has become available. Track the response and follow up where necessary.
Review the gross-versus-net distinction consistently across receipts. A bank deposit reduced by withholding can be smaller than the underlying income. Conversely, a reported item may belong to a different period or reflect a duplication. Resolve the actual facts instead of mechanically increasing income until the books match the information statement's total.
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