PAN-Aadhaar Link: PAN Card stands for Permanent Account Number Card. It is a unique ten-digit alphanumeric identification number issued by the Indian Income Tax Department of India to individuals, companies, and other entities. It serves as a proof of identity and is mandatory for various financial transactions in India, such as opening a bank account, investing in the stock market, and filing income tax returns. It helps in monitoring and regulating financial transactions and preventing tax evasion.
Also Read: What Is A Masked Aadhaar Card? Know Benefits And Steps To Download Online
The PAN Card contains details such as the individual’s name, date of birth, and photograph, along with the PAN number. It is important to keep the PAN Card safe and secure, as it is considered a sensitive document and can be misused for identity theft or financial fraud if it falls into the wrong hands.
Linking of PAN with Aadhar 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.
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 Aadhaar with PAN is June 30, 2023.
How To Link PAN With Aadhaar?
Linking Via the Income-Tax Department Portal
Step 1: Go to incometaxindiaefiling.gov.in, the e-filing portal of the I-T department.
Step 2: Click on the ‘Link Aadhaar’ option under the ‘Quick Links’ section of the webpage.
Step 3: This will redirect you to a new page where the PAN number, Aadhaar number and other required details like your name need to be entered.
Linking Via SMS
Step 1: Dial 567678 or 56161 on a mobile device to send an SMS. The format should be UIDPAN (10-digit PAN card number), 12-digit Aadhaar card number, and space.
Step 2: Following that, an SMS will inform you of the PAN-Aadhaar link status. The Aadhaar and PAN will only be linked if the taxpayer’s date of birth matches both documents.
What Will Happen If You Don’t Link Aadhaar and PAN?
If you do not link your Aadhaar with PAN by June 30, 2023, your PAN will become inoperative. This means that you will not be able to use your PAN for any financial transactions, such as filing income tax returns, opening bank accounts, or investing in securities.
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.
In addition to the above, the taxpayer might face difficulty at banks and other financial portals, as PAN is one of the important KYC criteria for all kinds of financial transactions.
For all the latest business News Click Here
