6 incomes that your Annual Information Statement shows the tax department
January, 07th 2022
1. AIS: Consolidated tax statement
The income tax department collects information about the income received and material transactions carried out by an individual in a particular financial year from various sources. A compiled version of this information is available in the annual information statement or AIS and this can be accessed by an individual. Here is a look at 6 income categories that reflect in the AIS.
AIS will show information about the salary amount paid to you along with the tax deducted, if any. It will show the TAN of employer and PAN of employee. The amount mentioned in the AIS will be gross salary including all exempt allowances. Individual will be required to claim exemption and deductions as applicable while filing income tax return.
3. Rental income
This section includes rent received from various sources, including:
If you have given your PAN to your tenant and your tenant has given PAN to his employer to claim HRA exemption.
If you are receiving rent of Rs 50,000 or more per month;
If you have received rent from land, building, machinery etc. where TDS has been deducted at the rate of 10%.
As per the new income tax portal, information for rent received will be summed up at PAN level. Similarly, employer reports the PAN of landlord to whom rent is paid by an employee in Annexure II of the TDS statement. The sum of rent received from all tenants will be reflected in the Taxpayer Information Summary (TIS).
4. Dividend income
It will show dividends received by you from equity shares, mutual funds. Further, tax deducted by the companies, mutual fund houses will also be reflected in the AIS. Dividend income will be listed on the basis of PAN of the reportee, information source and value.
5. Interest from savings bank
Interest paid, credited or accrued on savings account held by you during the financial year is reported in the AIS. Do keep in mind that interest earned from savings account is taxable in your hands. However, you are allowed to claim deduction of up to Rs 10,000 under section 80TTA except for senior citizens and super citizens.
6. Interest from deposits
This section includes interest received by individuals from various deposits like fixed deposits, recurring deposits. If any tax has been deducted, then it will be reflected as well. Reporting entities, such as banks inform the income tax department about the interest paid/credited/accrued on fixed deposits and recurring deposits. Reporting entities include banks, post office etc. Interest from fixed deposits and recurring deposits are fully taxable. However, senior citizens and super senior citizens can claim deduction of Rs 50,000 under section 80TTB. This section covers interest received from savings account, fixed deposits, recurring deposits, post office schemes etc.
7. Interest from other sources
If you have received the interest from sources other than savings account, term deposits, recurring deposits, then such interest information will be reported to the income tax department by the paying entity. This interest income received from these other sources will also be listed in your AIS.