AIS and Form 26AS Mismatch: How to Fix Errors Before Filing Your ITR

As the July 31st deadline for Tax Year 2026-27 approaches, millions of taxpayers are logging into the Income Tax portal to file their returns. However, a growing number of people are facing a mini heart attack right at step one: their tax portal shows a higher income than they actually earned!

Under the new Income-tax Act, 2025, the tax department’s Faceless Assessment algorithms are sharper than ever. They rely heavily on two master documents: Form 26AS and the Annual Information Statement (AIS).

If there is an AIS and 26AS mismatch, or if your AIS displays duplicate entries, filing your ITR blindly will almost certainly trigger an automated scrutiny notice. Here is your step-by-step guide to understanding why this happens and how to fix it immediately.

Why Does an Annual Information Statement Error Occur?

Your AIS tracks almost every significant financial move you make—from mutual fund purchases and property registrations to savings account interest. However, the system isn't flawless. Errors usually happen due to:

1. Duplicate Bank Entries: This is the most common issue. A bank might report your Fixed Deposit interest under your PAN, and then report the exact same amount again during a quarterly reconciliation, doubling your apparent income.
2. Joint Account/Property Issues: If you sold a property jointly with your sibling, the registrar might accidentally report 100% of the sale value under your PAN, instead of splitting it 50/50.
3. Clerical Typos: A former employer or client might have made a typo while filing their TDS returns, accidentally attributing someone else's income to your PAN.

How to Correct AIS Online: A Step-by-Step Guide

The good news is that the Income Tax Department knows these reporting errors happen. They have built a direct feedback mechanism allowing you to flag and correct an Annual Information Statement error entirely online.

Here is how you do it:

Step 1: Log in to the Portal Go to the official Income Tax e-filing portal and log in using your PAN and password.

Step 2: Access your AIS On the top menu, go to the "Services" tab and click on "Annual Information Statement (AIS)". A new tab will open.

Step 3: Spot the Error Click on the AIS tab (next to TIS - Taxpayer Information Summary). Browse through "Part B," which lists TDS, SFT (Specified Financial Transactions), and Payment of Taxes. Locate the specific entry that is inflated or duplicate.

Step 4: Submit Feedback Click on the specific incorrect entry. You will see an "Optional" button to submit feedback. Select it, and you will be presented with a drop-down menu of options:

1. Information is correct
2. Information is not fully correct
3. Information relates to other PAN/Year (Use this if a joint property sale was fully attributed to you).
4. Information is duplicate / included in other information (Use this for double-counted FD interest).
5. Information is denied (Use this if you have absolutely no idea what the transaction is).

Step 5: Confirm Once you submit the feedback, the system updates your TIS (Taxpayer Information Summary) in real-time, reducing the inflated income. You can now use this corrected TIS figure to file your ITR!

What if the Mismatch is in Form 26AS?

While correcting the AIS is quick and in your control, Form 26AS is a bit trickier. Form 26AS is essentially your "tax passbook" that records the actual TDS deducted.

1. You cannot edit Form 26AS directly.
2. If your employer or a client deducted TDS but it is not showing in your 26AS, or if they reported the wrong amount, you must contact the deductor (the person/company who paid you).
3. They will need to file a "Revised TDS Return" from their end. Once they do, your Form 26AS will update automatically in a few days.

Final Thoughts

Do not treat an AIS and 26AS mismatch lightly. In the 2026 tax environment, the system auto-populates your ITR based on these exact documents. If you edit your ITR to show less income than what the AIS dictates without first submitting online feedback, the algorithm will instantly flag your return for under-reporting income.

Take 15 minutes to review your AIS today. If you spot a duplicate entry, submit your feedback, wait for the TIS to update, and then file your tax return with total peace of mind.

Frequently Asked Questions (FAQs)

Q1. How long does it take for AIS to update after submitting feedback? The update to your Taxpayer Information Summary (TIS) is usually instantaneous after you submit feedback on the AIS portal. However, the income tax processing algorithms will verify your claim against the reporting entity (like the bank) during assessment.

Q2. Should I rely on AIS or Form 26AS for filing my ITR? You should reconcile both. Form 26AS is crucial for claiming your exact TDS credits, while AIS is much broader and includes non-TDS transactions (like mutual fund purchases, huge cash deposits, and savings interest). Both must align with your actual books of account.

Q3. Can I file my ITR if my client refuses to correct my Form 26AS? If a deductor fails to revise their TDS return, you can still file your ITR declaring the correct income. However, you will only be able to claim the TDS credit that actually reflects in your Form 26AS. Keep all invoices and bank statements handy, as you may need to respond to a defective return or scrutiny notice down the line.