The Taxpayer Information Summary (TIS) and Annual Information Statement (AIS) are essential documents that offer taxpayers a concise overview of their financial activities and tax-related details. Created by tax authorities, these documents serve as a valuable tool for taxpayers to assess and align their income, deductions, and tax payments.

Taxpayer Information Summary (TIS)

The Taxpayer Information Summary offers a concise summary of the taxpayer’s financial activities and obligations for taxes.

It includes details such as:

• Total income: The subsequent segment presents an overview of the individual’s complete earnings derived from diverse origins, including remuneration, entrepreneurial profits, profits from investments, revenue from renting properties, and other forms of taxable revenue.
• Deductions: The Tax Information System (TIS) displays the deductions that the taxpayer has claimed, including deductions for investments in specified instruments under Section 80C, health insurance premiums under Section 80D, and any other relevant deductions.
• Tax Payments: The content provides details regarding the taxpayer’s tax payments, encompassing advance tax, self-assessment tax, and tax deducted at source (TDS) from different sources of income.
• Refunds: In case the taxpayer is eligible for a tax refund, the TIS might provide information regarding the amount of the refund and the method of reimbursement.

Taxpayers can use the TIS to review their financial information and verify that their reported income and deductions match the records maintained by tax authorities. This tool also enables taxpayers to identify discrepancies and make necessary corrections.

Annual Information Statement (AIS)

The Annual Information Statement is an all-inclusive record that presents taxpayers with a merged outlook of their monetary dealings as registered by diverse third-party organizations.

It includes details of transactions such as:

• Income from salary: Details of the taxpayer’s salary income, encompassing information about allowances, perquisites, and deductions.
• Income from other sources: The following section comprises information regarding revenue generated from sources apart from wages, encompassing interest earnings, dividends, rentals, and profits on capital investments.
• TDS and TCS: The AIS displays the TDS and TCS amounts deducted from the taxpayer’s income by various deductors and collectors.
• Other financial transactions: The content offers details regarding various financial transactions, including the buying or selling of real estate, investing in specific financial instruments, making credit card payments, and other notable transactions.

The Annual Information Statement holds significant value for taxpayers as it allows them to compare their financial information, as reported by third parties, with their own records. This document plays a crucial role in ensuring the accuracy of tax filings and adherence to tax regulations.

The Taxpayer Information Summary (TIS) and the Annual Information Statement (AIS) are both essential for taxpayers to reconcile their income, deductions, and tax payments accurately. These documents help ensure the correctness of their tax returns.

Hi, I am Nikesh Mehta, owner and writer of this site. I’m an analytics professional and also love writing on finance and related industry. I’ve done online course in Financial Markets and Investment Strategy from Indian School of Business. I can be reached at [email protected].