How to download Form 26AS-matching reports on Zerodha
Before filing an income tax return, every investor and trader should reconcile the trading data from Zerodha Console with the Annual Information Statement (AIS) and Form 26AS on the income tax portal. The AIS aggregates income data reported by all third-party filers (stock exchanges, depositories, companies, mutual funds), while Form 26AS records TDS and advance tax payments. Filing without reconciling these sources can trigger a notice under section 143(1) for mismatch. This guide covers the complete reconciliation procedure.
Why reconciliation matters
The income tax portal’s automated processing system under section 143(1) compares the income declared in your ITR against the AIS entries. If your declared income is lower than what the AIS reports, the department can:
- Issue a notice under section 143(1)(a)(vi) proposing to add the difference to income.
- Issue a notice under section 142(1) or 148 for more serious cases.
Reconciling before filing allows you to either correct your figures or submit feedback on incorrect AIS entries, both of which reduce the risk of post-filing notices.
Understanding how Zerodha reports to the tax department
Zerodha, as a stock broker and depository participant, reports the following to the Income Tax Department under the SFT (Statement of Financial Transactions) framework under section 285BA:
- SFT-17: cash purchase of mutual fund units above Rs 10 lakh.
- SFT-18: purchase of bonds or debentures above Rs 10 lakh.
- SFT-020 / capital gains SFT: sale of securities; the exchange (NSE/BSE) reports this rather than the broker directly, but the data flows to AIS.
Additionally, listed companies deduct TDS on dividends under section 194 and mutual funds deduct TDS under section 194K; these appear in Form 26AS.
Prerequisites
- The Zerodha Tax P&L and capital gains CSV from Console.
- Access to incometax.gov.in with your PAN-linked login.
- Bank statements showing dividend credits and TDS deductions.
- Form 16 / Form 16A (if applicable) for salary and other TDS.
Step-by-step procedure
Step 1: Download the Zerodha Tax P&L and capital gains CSV
Log in to console.zerodha.com. Navigate to Reports → Tax P&L and select the financial year 2024-25.
Download:
- Capital Gains Report (CSV): shows each buy-sell pair with ISIN, buy date, sell date, buy value, sell value, gain/loss, and holding period classification.
- Tax P&L page figures: note the total sell value for equity delivery, total F&O turnover, intraday turnover, dividend income, and charges.
See How to download the capital gains statement on Zerodha for the detailed download procedure.
Step 2: Download the AIS from the portal
- Log in to incometax.gov.in with your PAN as the user ID.
- Navigate to e-File → AIS.
- Select the assessment year (AY 2025-26 for FY 2024-25).
- Click Download to get the AIS in PDF or click AIS Utility to export as JSON for spreadsheet analysis.
The AIS is organised into:
- Part A: General Information (PAN, name, address).
- Part B: Tax Information, the core data section showing all income reported by third parties.
Key sections in Part B for equity investors:
| AIS Section | What it shows | Source filer |
|---|---|---|
| SFT-017 | Purchase of mutual fund units | AMFI / fund houses |
| Capital Gains | Sale consideration from listed equity and mutual funds | Stock exchanges (NSE/BSE) via depository data |
| Dividend | Dividends paid by companies and mutual funds | Companies and fund houses |
| Interest | Interest from savings accounts, FDs | Banks |
| Securities Transaction Tax | STT collected | Exchanges |
Step 3: Download Form 26AS
Navigate to e-File → Income Tax Returns → View Form 26AS (or go via the TRACES portal). Download Form 26AS for AY 2025-26.
Key sections:
- Part A: TDS on salary, rent, professional fees, commission, dividends, etc.
- Part B: TCS.
- Part C: Advance tax and self-assessment tax paid.
- Part F/G: Details of high-value transactions (SFT).
Step 4: Compare total sale consideration (Zerodha vs AIS)
Create a reconciliation sheet with three columns: Zerodha Console, AIS, and Difference.
Row 1: Equity delivery sale consideration
- Zerodha Console: sum of sell value in the capital gains CSV for equity delivery trades.
- AIS: total sale consideration under the Capital Gains section (or Equity / Securities sub-category).
- Expected result: should match if all equity delivery trades in the year were through Zerodha.
Possible differences and causes:
| Difference | Likely cause |
|---|---|
| AIS > Zerodha | You have trades at another broker; or demat-level events (rights renunciation, off-market transfers) not reflected in Console |
| Zerodha > AIS | AIS is not yet updated (refresh lag); exchange reporting delay |
| AIS shows different ISINs | Bonus shares credited to demat without a corresponding buy in Console |
Step 5: Compare dividend income
Zerodha Console: the dividend figure on the Tax P&L page (if shown), or from the Zerodha Coin IDCW statements.
AIS: the Dividend section in Part B showing company-wise dividend receipts.
Form 26AS Part A: TDS deducted under section 194 and section 194K.
Cross-check that the sum of dividends in AIS matches what you received in your bank account. Sum of TDS in Form 26AS should equal 10% of dividends exceeding Rs 5,000 per company.
Step 6: Compare F&O turnover
Zerodha Console: total F&O turnover from the Tax P&L page.
AIS: the AIS generally does not show the ICAI-method F&O turnover (absolute P&L method). It may show gross contract values or exchange-reported figures. Do not use the AIS figure as your F&O turnover for ITR purposes; use the Zerodha Console and independently computed figure.
The AIS comparison for F&O is mainly useful to confirm that F&O income/loss is not being misclassified.
Step 7: Compare TDS credits
TDS deducted by Zerodha (if any): Zerodha is not required to deduct TDS on equity delivery gains or F&O profits. TDS on dividends is deducted by the company, not Zerodha.
Check Form 26AS for any TDS deducted under:
- Section 194 (dividends).
- Section 194K (mutual fund IDCW).
- Section 194A (interest from demat account credit balance, if any).
Ensure each TDS entry in Form 26AS matches a corresponding credit in your bank account.
Step 8: Resolve discrepancies
If AIS shows more income than you have records for:
- Check if you have trades at other brokers (Upstox, Groww, ICICI Direct, etc.).
- Check for demat events: bonus shares issued and sold, rights issue shares sold, off-market transfers.
- Check for mutual fund redemptions not through Zerodha Coin.
- If the AIS entry is genuinely incorrect (e.g., showing a sale that you did not make), file feedback on the AIS portal by clicking Feedback next to the relevant entry. Categories include Information is correct, Information is not fully correct, Information is duplicate/repeated, and Information is denied.
If AIS shows less than Zerodha Console:
This is less common but can arise from reporting lags. File the return using the Zerodha Console figures (which are transaction-level and accurate). The AIS is likely to be updated before assessment.
If TDS in Form 26AS does not appear:
Contact the company or mutual fund’s registrar. The payer must deposit TDS by the 7th of the following month. Late deposit delays the Form 26AS credit.
Step 9: Prepare the reconciliation note
Before filing, document the reconciliation in a working paper:
| Item | Zerodha Console | AIS | Difference | Explanation |
|---|---|---|---|---|
| Equity sale consideration | Rs X | Rs X + Rs Y | Rs Y | Y = trades at Upstox account |
| Dividend | Rs A | Rs A | Nil | Match |
| TDS on dividend | Rs B (from Form 26AS) | Rs B | Nil | Match |
Retain this reconciliation for seven years in case of scrutiny.
Step 10: File the return using reconciled figures
Use the higher of the two figures (Zerodha Console and AIS) when there is a genuine difference from other brokers. Declare all income regardless of whether it appears in AIS; under-reporting AIS-flagged income is a key trigger for notices.
For the full filing procedure, see:
What can go wrong
Filing before AIS is fully populated: The AIS may be updated by the exchange or depository weeks after the financial year ends. Check the AIS in April–May before filing to ensure it reflects all FY 2024-25 transactions.
Ignoring AIS differences: An unresolved AIS mismatch filed without a reconciliation note increases the likelihood of an intimation under section 143(1). Address differences before filing.
Using AIS turnover for F&O: The AIS does not use the ICAI absolute-profit method for F&O. The AIS figure is not suitable as the ITR turnover figure.
Relying solely on Zerodha for multi-broker portfolios: If you have accounts at other brokers, you must also download their capital gains statements and combine them with Zerodha data.
Related guides
- How to download the Tax P&L statement from Zerodha Console
- How to download the capital gains statement on Zerodha
- How to file ITR-2 with Zerodha capital gains
- How to compute dividend tax on Zerodha
- Annual Information Statement (AIS)
- Zerodha ITR capital gains statement
References
- Income Tax Act 1961, section 285BA, obligation to furnish statement of financial transactions.
- Income Tax Act 1961, section 285BB, Annual Information Statement.
- Income Tax Act 1961, section 143(1)(a)(vi), adjustment for mismatch with AIS.
- CBDT Notification No. 3/2021, Annual Information Statement framework.
- CBDT Circular, reporting under SFT by stock exchanges.
- Zerodha Console Tax P&L and capital gains documentation, console.zerodha.com/reports/tax-pnl.