Forgot to claim TCS credit while filing ITR before 31 July deadline? You can still claim the refund; here’s how
If you filed your income tax return for AY 2026-27 within the July 31 deadline but failed to claim a tax collected at source (TCS) credit because of a mismatch in your Form 26AS and AIS, you still have options to claim the refund.
In such cases, you can set things right by filing a revised return within the stipulated deadline. This provision also applies to those who reported incorrect tax credit details in their ITR due to an information mismatch.
Apart from that, the tax department also allows taxpayers to file a rectification request through the e-filing portal, only if they have received an intimation under Section 143(1) of the Income-tax Act, 1961.
For example, a taxpayer named Sheena filed her ITR just hours before the return filing due date, hence could not claim the TCS credit of ₹18,000 collected on a foreign remittance because there was a tax-credit mismatch in her Form 26AS and Annual Information Statement (AIS). In such a situation, she can simply file a revised return to add a tax credit claim later.
When is the deadline to file a revised return?
Under Section 139(5) of the Income-tax Act, 1961, an individual can file a revised return to correct any omission or wrong information. The window to file a revised return remains open until December 31, 2026. However, taxpayers can also file revised return till March 31, 2027, along with the prescribed late fee.
This means taxpayers who filed their original return but forgot to include TCS credits can still file a revised return and claim the refund, provided they do so within the stipulated deadline.
However, make sure you quote the challan details correctly while filing the revised ITR. The tax credit you can claim in the return is restricted to the amount reflected in your Form 26AS and AIS.
How to know if there is a tax credit mismatch?
On the income tax e-filing portal’s tax credit mismatch page, enter your details and check whether the TDS, TCS any other challan amounts match the figures mentioned in Form 26AS. If the amounts differ, it indicates a tax credit mismatch, and the portal will display the message, “There is a mismatch,” according to I-T department’s FAQs section.
If there is no tax credit mismatch, the message “tax credit claimed is fully matched with tax credit available in 26AS” will be displayed.
What is tax collected at source?
TCS is collected by sellers on specified transactions, such as overseas tour packages, foreign remittances under the Liberalised Remittance Scheme (LRS), purchase of motor vehicles costing more than ₹10 lakh, and certain other high-value transactions.
It is important not to confuse TCS with tax deducted at source (TDS). Both are reflected separately in Form 26AS. While TDS is deducted by the payer or deductor, TCS is collected by the seller. However, both can be claimed as a tax credit if the total tax liability is lower than the amount collected.
