PAN-Aadhaar Linking: The Indian government has mandated the linking of Permanent Account Number (PAN) and Aadhaar latest by March 31. Failure to comply with the order will result in your PAN card becoming inoperative from Saturday, April 1. “It is mandatory. Don’t delay, link it today! As per the I-T Act, it is mandatory for all PAN-holders who do not fall under the exempt category, to link their permanent account numbers (PAN) with Aadhaar before March 31, 2023. From April 1, 2023, the unlinked PAN shall become inoperative,” a public advisory released by the Income Tax Department said. To link PAN with Aadhaar, individuals will have to pay Rs 1000 as a late fee.
It is compulsory for everyone, who is eligible to obtain an Aadhaar card, to mention their Aadhaar number while applying for PAN or furnishing a return of income with effect from July 1, 2017, as per section 139AA in the Income-tax Act.
The PAN card of taxpayers who do not link their Aadhaar as required will no longer be valid after March 31. If you fail to link your PAN and Aadhaar by the deadline, there could be several consequences. Here are some of the possible consequences:
-Invalidation of PAN: If you fail to link your PAN and Aadhaar, your PAN could become invalid. This means that you will not be able to use it for any financial transactions or official purposes.
-Inability to file Income Tax Returns (ITRs): Failure to link PAN with Aadhaar may result in you being unable to file your ITRs, which could result in penalties and other consequences.
-Loss of Tax Benefits: If your PAN becomes invalid, you may lose out on various tax benefits such as deductions, exemptions, and credits. This could result in a higher tax liability for you.
-Difficulty in opening bank accounts: Banks and other financial institutions always require PAN and Aadhaar for opening new accounts. So, if your PAN becomes invalid, you might face difficulty in opening new bank accounts in the future.
-Difficulty in obtaining loans and credit cards: If your PAN is invalid, you might also face difficulty in obtaining loans and credit cards from banks and other financial institutions. This could affect your creditworthiness and financial standing.
Those who are confused about PAN-Aadhaar linking status can easily check it in two ways. First through SMS or via the website of the Income Tax Department’s e-filing portal.
Through SMS:
Step 1: Type “UIDPAN” followed by the 12-digit Aadhaar and PAN number. (The SMS must be sent in the format – UDIPANAadhaar number.
Step 2: Send the text with all details to 56161 or 567678.
Step 3: You will instantly receive a message about whether your Aadhaar and PAN are linked.
Through the Income Tax e-filing portal:
-Go to incometax.gov.in/iec/foportal.
-Click the ‘Link Aadhaar Status’ option under the section ‘Quick Links’.
-Enter PAN and 12-digit Aadhaar number and select ‘View Link’.
-The Aadhaar number will appear on the screen if your PAN-Aadhaar is linked.
Individuals above 80 years of age are exempted from linking Aadhaar with PAN. Additionally, those living in Assam, Jammu and Kashmir and Meghalaya are also exempted.
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