About 48 crore Individual Permanent Account Numbers (PANs) have been linked with Aadhaar so far out of the total 61 crore issued so far and those who do not link it by the announced deadline of March 31 not available CBDT Chairman Nitin Gupta said that benefits accrue during various business and tax related activities.
The government has mandated the linkage of the two databases and declared that individual PANs not linked to Aadhaar will be deactivated by the end of this financial year (March 31, 2023).
₹ 1,000 fee Will be payable For those who want to link their PAN and Aadhaar between now and March 31.
“So far around 61 crore individual PANs have been issued and out of this, around 48 crore have been seeded with Aadhaar. The gap is now around 13 crore, including the exempted category, and we expect the rest to be linked eventually. will be added till date,” Mr. Gupta told PTI In the post-budget interview.
We have run several public campaigns and have extended the deadline several times urging taxpayers to link the two… Those categories of taxpayers who are required to do so but do not link them, they are entitled to tax benefits. will lose as their PAN will expire. will not be valid after March, he said.
The CBDT chief said the budget announcement to make PAN a “common identifier” would be “beneficial” for the business sector.
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Finance Minister Nirmala Sitharaman in her budget speech on February 1 had said that PAN will now be a common identifier for business establishments for digital systems of government agencies.
A circular issued by the CBDT on March 30 states that once the PAN is inoperative, a person will be liable for all consequences under the Act (IT Act) and will face a number of implications such as: Will not be able to file return using inoperative PAN; Pending returns will not be processed; Refund pending for inoperative PAN cannot be issued; The pending proceedings in case of defective returns cannot be completed once the PAN is inoperative and tax will be required to be deducted at the higher rate.
The circular states, “In addition to the above, taxpayers may face difficulty at various other fora such as banks and other financial portals, as PAN is one of the important KYC (Know Your Customer) norms for all types of financial transactions.” is one of the
However, certain categories of taxpayers are exempted from carrying out this linkage.
Read also: What are the drawbacks of linking Aadhaar-PAN for tax purposes?
As per a notification issued by the Union Ministry of Finance in May 2017, the ‘exempted category’ includes persons who reside in the States/UTs of Assam, Jammu and Kashmir and Meghalaya; a non-resident as per the Income-tax Act, 1961; A person of the age of eighty years or more and not being a citizen of India at any time during the previous year.
The Central Board of Direct Taxes (CBDT) formulates the policy for the IT department.
While Aadhaar is issued by the Unique Identification Authority of India (UIDAI) to a resident of India, PAN is a 10-digit alphanumeric number allotted by the IT department to an individual, firm or entity.