Recently, the income tax department has rolled out two new statements, namely, ‘Annual Information Statement’ and ‘Taxpayers Information Summary’. ‘Annual Information Statement’ provides a comprehensive view, whereas, ‘Taxpayers Information Summary’ provides the summarized view of all the financial transaction of the taxpayer.
‘Annual Information Statement’ collects information about the financial transaction of the taxpayer from various sources like TDS return/ statement; Statement of Financial Transaction etc. One such information category of ‘Annual Information Statement’ i.e., ‘Sale of Vehicle’ is taken up and explained in the current article.
Source of information and processing of the information category ‘Sale of Vehicle’ under Annual Information Statement-
As and when PAN is not provided by the transacting party, the reporting entity is required to report the details of transactions via Form 61. Accordingly, details so provided in Form 61 will be taken up as source information under the information category ‘Sale of Vehicle’.
‘Annual Information Statement’ will process the information grabbed from Form 61 and tax according to the applicable category.
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