AIS Mutual Fund Transactions: How to Read Purchases, Redemptions, and Dividends

TL;DR

• AIS captures mutual fund purchases, redemptions, switches, and dividend payouts reported by RTAs like CAMS and KFintech under SFT-014 and SFT-015.
• The reporting threshold is aggregate of Rs. 10 lakh or more per AMC per financial year, but in practice many fund houses report below this threshold too.
• AIS gross value can differ from actual net value after exit load and STT, leading to common reconciliation gaps.
• For ITR, you compute capital gains using the AMC capital gains statement, not AIS. AIS is only a cross-check.
• Equity mutual fund LTCG above Rs. 1.25 lakh is taxed at 12.5%, and STCG at 20% for redemptions after 23 July 2024.

What this means in plain terms

If you invest in mutual funds, AIS will show every meaningful purchase and redemption against your PAN. The data comes from the registrar and transfer agents that maintain investor records for AMCs. Computer Age Management Services and KFintech together cover almost all retail mutual fund transactions in India. They file Form 61A annually with the income tax department, and that data populates the Mutual Fund section of your AIS.

The challenge is that AIS shows gross values. So if you redeemed an ELSS for Rs. 5,00,000 and the AMC deducted exit load of Rs. 18,000 leaving you Rs. 4,82,000 in your bank, AIS shows Rs. 5,00,000. Your bank statement shows Rs. 4,82,000. Your capital gains statement from the AMC will reconcile this correctly, but your AIS reading will look off. This blog explains what AIS shows, what it does not, and how to use it correctly when filing ITR for AY 2026-27.

What AIS shows for mutual funds

Purchase of units

SFT-014 captures purchases of mutual fund units. Every SIP installment, lump sum purchase, and switch-in is recorded. The entry shows fund scheme, folio number, purchase date, units, and amount.

Redemption of units

Redemptions, switches-out, and SWPs all appear under sale of mutual fund units. AIS shows the redemption amount before exit load and STT but does not show the cost basis.

Dividend income

Income Distribution cum Capital Withdrawal, the new name for dividends from mutual funds, appears in AIS under dividend section. From FY 2020-21, IDCW is fully taxable in the hands of the investor, so it must be reported in Schedule OS.

TDS on mutual funds

For non-residents, TDS on mutual fund redemptions appears in Part A of Form 26AS. For residents, no TDS on mutual fund redemptions, so only the income side shows in AIS.

Common reconciliation issues

AIS shows gross, your bank shows net

AIS reports the gross redemption value. You receive net of exit load and STT. The difference can be Rs. 5,000 to Rs. 25,000 on a Rs. 5 lakh redemption depending on fund type and holding period.

Multiple folios under one PAN

Joint folios where you are the first holder are reported against your PAN. Where you are the second holder, they go against the first holder's PAN. Mismatched folio classification can cause double or zero reporting.

Bonus units and capital reorganisation

When an AMC declares a stock split or merges two schemes, the resulting unit allocation can appear as a purchase in AIS. This is not a tax event for you but looks unusual.

Folio consolidation

When you consolidate two folios into one, the transferred units can appear as a redemption and purchase pair, even though no money moved. AIS does not distinguish.

How to reconcile

Pull AMC capital gains statement

Both CAMS and KFintech provide free consolidated capital gains statements at camsonline.com and kfintech.com. The statement shows each redemption with purchase date, sale date, purchase price, sale price, exit load, STT, and computed gain.

Cross-check redemption amounts

For each redemption in AIS, find the matching entry in the AMC capital gains statement. The AIS amount should equal the AMC's sale value before exit load.

Compute LTCG and STCG

For equity funds, units held for more than 12 months are LTCG, taxed at 12.5% above Rs. 1.25 lakh annual exemption. Less than 12 months is STCG, taxed at 20%. For debt funds purchased after 1 April 2023, all gains are taxed at slab rate regardless of holding period.

Submit AIS feedback for gross-net gaps

If AIS materially overstates the redemption, use "information is not fully correct" to flag with the net value. While the AMC may not be obligated to refile, the feedback creates a record.

A real example

Aditya, 39, Rs. 32L CTC, Bengaluru, has a portfolio across four mutual funds and is filing ITR for AY 2026-27.

1. He pulls AIS. The Mutual Funds section shows four redemption entries totaling Rs. 11,20,000 across HDFC, ICICI Prudential, Axis, and Mirae.
2. He downloads the CAMS and KFintech consolidated capital gains statements. The CAMS statement covers HDFC, ICICI, and Mirae. The KFintech statement covers Axis.
3. The CAMS statement shows total redemptions of Rs. 8,70,000 against AIS-reported Rs. 8,72,000. Difference of Rs. 2,000 is the exit load deducted on one redemption.
4. The KFintech statement shows Rs. 2,48,000 against AIS-reported Rs. 2,48,000. No difference.
5. The CAMS statement computes LTCG of Rs. 1,42,000 across his three equity funds, all held above 12 months. He claims the Rs. 1,25,000 LTCG exemption and pays 12.5% on the balance Rs. 17,000, i.e. Rs. 2,125.
6. He fills Schedule CG of ITR-2 with the breakup, attaches the AMC capital gains statements as supporting record, and files on 18 August 2026. CPC processes the return without notice.

What to do this week

1. Pull your consolidated AMC capital gains statements from camsonline.com and kfintech.com for FY 2025-26.
2. Match each entry to your AIS Mutual Funds section.
3. For gross-net gaps above Rs. 5,000, submit AIS feedback with the net value.
4. Compute LTCG and STCG separately for equity and debt funds, applying the post-23 July 2024 rates where applicable.
5. Run the 6-step assessment at https://myfinancial.in to see your old-vs-new regime delta, unused deductions, and insurance gap in under 10 minutes.

FAQ

Does AIS show SIP installments?

Yes. Every SIP installment that goes through is recorded as a purchase in AIS, even small Rs. 1,000 monthly SIPs.

Why does my AIS show higher mutual fund value than my bank credit?

AIS shows gross redemption. Exit load and STT are deducted by the AMC before crediting your bank. The difference is usually 0.5% to 1% of the redemption.

Is IDCW the same as old dividend?

Yes. SEBI renamed dividend to Income Distribution cum Capital Withdrawal in April 2021. It is fully taxable in the investor's hands at slab rate, unlike pre-2020 dividend.

How is debt mutual fund capital gain taxed post April 2023?

For units purchased on or after 1 April 2023, all gains are added to income and taxed at slab rate. The earlier LTCG benefit with indexation was removed by Finance Act 2023.

Do international mutual funds appear in AIS?

Yes, Indian-domiciled funds investing internationally are reported by their RTA. Direct foreign fund investments through LRS appear under Schedule FA in the ITR.

What if my mutual fund is missing from AIS?

You still report the gain in your ITR using the AMC capital gains statement. Missing from AIS does not mean exempt from tax.

Does AIS show exit load?

No. AIS shows the gross redemption amount. Exit load shows only in the AMC capital gains statement.

Sources

• AIS user guide on mutual fund transactions: https://www.incometax.gov.in/iec/foportal/help/annual-information-statement
• SFT-014 and SFT-015 under Rule 114E: https://incometaxindia.gov.in/
• Finance Act 2024 changes on capital gains tax rates: https://incometaxindia.gov.in/
• CAMS and KFintech consolidated statement portals
• E-filing portal: https://www.incometax.gov.in/iec/foportal/

This is general information, not personalised advice. For your situation, consult a Certified Financial Planner.