PAN-Aadhaar linking is crucial by March 31, here’s why
New Delhi: By March 31, 2022, Indians should link their Permanent Account Number (PAN) to their Aadhaar card. If the PAN card is not linked to Aadhaar by the deadline, it may become invalid, and a cost of Rs 1,000 may be required to link the PAN card to Aadhaar.
If a PAN card is not connected to Aadhaar, an individual will be unable to invest in mutual funds, stocks, or create a bank account, among other things, as all of these activities need the presentation of a PAN card.
“Previously, there was no punishment provision in the Aadhaar-PAN linking guidelines. Failure to link the two IDs, according to the new rule, will render the PAN invalid, making it impossible to conduct financial operations that require PAN information. Filing a tax return and opening a bank account are two examples. Also, if the aforementioned individual fails to quote PAN as and when required, a penalty of Rs 10,000 will be imposed under section 272B of the Income Tax Act,” according to Mint, citing Amit Gupta, the Managing Director of SAG Infotech, a SEBI-registered income tax solution provider business.
How to link PAN and Aadhaar card:
Step 1: Visit www.incometax.gov.in for further information.
Step 2: On the homepage, select ‘Our Services’ from the drop-down menu.
Step 3: Now, fill in your personal information, such as your PAN card and Aadhaar numbers, as well as your name, address, and phone number.
Step 4: If necessary, choose “I only have my year of birth on my Aadhaar card.”
Step 5: To validate your Aadhaar details, check the box that says “I agree to validate my Aadhaar details.” Continue by pressing the enter key.
Step 6: On your registered phone number, you will receive a six-digit One Time Password (OTP). On the verification page, enter the OTP.
Step 7: On the screen, select the ‘Validate’ option.
In the meantime, the deadline to file income tax returns for the fiscal year 2020-21 was December 31, 2021. The I-T department said on Saturday that around 5.89 crore income tax returns were filed on the new e-filing system by the December 31 deadline.
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