How to verify and reconcile stock market transactions in AIS before filing your ITR

The Annual Information Statement (AIS) provides a comprehensive view of financial information available with the income tax department for a taxpayer. It is displayed under Form 26AS and allows taxpayers to review, verify, and provide feedback on reported data.

• Reported value (as submitted by banks, brokers, etc.)

• Modified value (after taxpayer feedback is processed)

It covers details across various sections such as TDS, SFT, and other financial information.

Taxpayers can access AIS under the “Services” menu after logging into the income tax portal.

How to reconcile stock market transactions in AIS?

"When reconciling stock trading transactions shown in your AIS with your broker statement, your broker statement should generally be treated as the primary source for tax reporting, as it contains transaction-level details including purchase cost, sale value, brokerage charges, and corporate actions," said CA Abhishek Soni, CEO & Co-founder, Tax2win.

To ensure accuracy, follow these steps:

• Download your transaction report or profit & loss statement from your broker for the relevant financial year

• Date of purchase and sale

• Quantity of shares

• Sale consideration

• Purchase cost

• ISIN or security details

Common discrepancies in AIS

• Missing purchase cost details

• Duplicate or repeated entries

• Incorrect quantity or transaction value

• Corporate actions like bonuses, splits, mergers, or gifted/inherited shares not reflected correctly

• Older transactions (before 31 January 2018) requiring grandfathering adjustments for LTCG calculations

What to do in case of mismatch?

If AIS matches your broker records, you can proceed with filing your return confidently.

"If there is a mismatch, you should rely on the broker statement and your actual records while filing your ITR. The Income Tax Department itself clarifies that AIS may not contain all information relating to a taxpayer and taxpayers are expected to verify the information and report correct income in their return," said CA Abhishek Soni.

In case of incorrect reporting, taxpayers can submit feedback directly on the AIS portal by selecting the relevant entry and choosing options such as:

“Information is not fully correct”

“Information relates to another PAN/year”

Once processed, the updated values are reflected in AIS/TIS.

As CA Abhishek Soni, CEO & Co-founder, Tax2win, explains, AIS should be used as a reference tool, but final reporting must always be verified with actual financial records.

To ensure accurate ITR filing for Assessment Year 2026-27, taxpayers should reconcile:

• Form 16

• AIS

• Form 26AS

They should also verify income using bank statements, broker statements, and other financial documents before filing.