All the Permanent Account Numbers (PAN) holders who do not fall under ‘exempt category’ should link their PAN card to Aadhaar before March 31, failure of which will make it ‘inoperative’ from April 1. The Central Board of Direct Taxes (CBDT) said, “Don’t delay, do it today!”
“As per Income-tax Act, 1961, it is mandatory for all PAN holders, who do not fall under the exempt category, to link their PAN with Aadhaar before 31.3.2023. From 1.04.2023, the unlinked PAN shall become inoperative,” an advisory by the Income Tax Department read.
According to a notification issued by the union finance ministry in May 2017, the ‘exempt category’ includes individuals residing in the states of Assam, Jammu and Kashmir, and Meghalaya; being a non-resident under the Income-tax Act, 1961; being 80 years of age or older at any time during the previous year, and not being a citizen of India.
What happens if PAN becomes ‘inoperative’
The person will be unable to file an I-T return using the inoperative PAN; pending returns will not be processed; pending refunds will not be issued to inoperative PANs; pending proceedings, such as in the case of defective returns, will be unable to be completed once the PAN is inoperative; and tax will be deducted at a higher rate.
Steps to link PAN-Aadhar via portal:
> Go to the Income Tax e-filing official websites- eportal.incometax.gov.in or incometaxindiaefiling.gov.in
> Register on the portal if you haven’t already. The PAN number will be the user ID.
> Log into the portal by entering your user id, password and date of birth.
> A pop-up window will appear, asking you to link your PAN with Aadhaar.
> If the window doesn’t appear, go to ‘Profile Settings’ on the Menu bar and click on Link Aadhaar.
> Information such as name, date of birth, and gender will already be mentioned as per your PAN card details.
> Verify the PAN details on the screen with the ones mentioned on Aadhaar.
> If there is a mismatch, you need to get the same corrected in either of the documents.
> If the details match, enter your Aadhaar number and click on the link now button.
> A pop-up message will inform you that your Aadhaar has been successfully linked to your PAN.
Other methods of linking PAN with Aadhar:
> People can also visit the following websites for the linking process- https://www.utiitsl.com/ and https://www.egov-nsdl.co.in/
>Through SMS: Type the following message UIDPAN. The message can be sent to 567678 or 56161.
>Visiting nearby PAN service centres: The linking process can also be done manually by visiting the nearby PAN service centre. A form named ‘Annexure-I’ needs to be filled and submitted along with a copy of the PAN card and Aadhaar card. This will be a paid service.