A TDS mismatch notice means the tax credit you claimed in your return doesn't match what the department's records (Form 26AS and AIS) show was deducted in your name. The department then cuts the credit and raises a demand or shrinks your refund. The fix usuall…
When your return is processed, the Centralised Processing Centre compares the TDS you claimed with the TDS reported against your PAN by deductors. If you claimed more, it does one of two things:
The intimation's computation table shows the gap in the "TDS" or "Taxes paid" row. Our guide to reading a 143(1) intimation walks through it.
| Cause | How to spot it |
|---|---|
| Deductor didn't file the TDS return, or filed it late | The deduction is missing from 26AS entirely |
| Wrong PAN quoted by the deductor | Missing from your 26AS; the deductor's records show a different PAN |
| Wrong quarter or financial year | The entry appears in 26AS for another year |
| TDS deducted but not deposited | 26AS shows the entry with a status other than "F" (final) |
| You claimed TDS for income offered in a different year | The credit relates to income you showed earlier or will show later |
| Typo in your return | Wrong TAN or amount in the TDS schedule |
| Two employers in one year, both giving the basic exemption | Usually a tax shortfall, not a TDS mismatch, but often confused with one |
Start by downloading Form 26AS and the AIS for the year from the e-filing portal and comparing them line by line with your Form 16, Form 16A and the TDS schedule in your return.
An important protection: where tax was actually deducted from your payment, you can't be made to pay that same tax again just because the deductor didn't deposit it. The department should recover it from the deductor. Your TDS certificate or salary slips showing the deduction are your evidence.
The broader steps for any notice are in the income tax notice guide. If a mismatch has left you with a demand, TaxQue's notice resolution service chases the deductor's correction and files the rectification for you.
This article is published by TaxQue (ARB FinTech LLP) for general informational, educational, and business guidance purposes only. Tax laws, GST rules, MCA circulars, and judicial precedents are subject to frequent statutory revisions. This content does not constitute formal individualized tax, accounting, or legal counsel.
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