The Aadhaar PAN link process involves linking your Permanent Account Number (PAN) with your Aadhaar number. PAN is a 10-digit alphanumeric number issued by the Income Tax Department of India to individuals and entities for the purpose of income tax assessment. Aadhaar is a 12-digit unique identification number issued by the Unique Identification Authority of India (UIDAI) to Indian residents.
Linking of PAN with Aadhaar Number
As per section 139AA in the Income-tax Act, 1961, it is mandatory for every person, who is eligible to obtain Aadhaar, to quote his Aadhaar number while applying for PAN or furnishing return of income with effect from July 1, 2017.
Also Read: Aadhaar-PAN Link: Impact On TDS Rate; Know This To Protect PAN Card Before June 30
If any person does not possess the Aadhaar Number but he/she has applied for the Aadhaar card then the person can quote the Enrolment ID of Aadhaar application Form in the ITR.
PAN-Aadhaar Link Last Date
The last date for linking PAN with Aadhaar has been extended to June 30, 2023. The Central Board of Direct Taxes (CBDT) announced the extension on March 30, 2023.
Earlier, the deadline for linking PAN with Aadhaar was March 31, 2023. However, the government extended the deadline by three months to provide more time to taxpayers to link their PAN with Aadhaar.
From July 01, 2023, the PAN of taxpayers who have failed to intimate their Aadhaar, as required, shall become inoperative and the consequences during the period that PAN remains inoperative will be as follows:
– No refund shall be made against such PANs
– Interest shall not be payable on such refund for the period during which PAN remains inoperative; and
– TDS and TCS shall be deducted /collected at a higher rate, as provided in the Act.
– The PAN can be made operative again in 30 days, upon intimation of Aadhaar to the prescribed authority after payment of fee of Rs.1,000.
Aadhaar PAN Link: Reasons For Which It Is Necessary To Link PAN Card With Aadhaar
If PAN becomes inoperative, you will not be able to furnish, intimate or quote your PAN and would be liable to all the consequences for such failure.
This will have a number of implications such as:
1. You will not be able to file return using the inoperative PAN
2. Pending returns will not be processed
3. Pending refunds cannot be issued to inoperative PANs
4. Pending proceedings as in the case of defective returns cannot be completed once the PAN is inoperative
5. Tax will be required to be deducted at a higher rate as PAN becomes inoperative.
Those persons who have been exempted from PAN-Aadhaar linking will not be liable to the consequences mentioned above. This category includes those residing in specified States, a non-resident as per the Act, an individual who is not a citizen of India or individuals of the age of eighty years or more at any time during the previous year.
Comments
0 comment