PAN AADHAAR LINK: PAN card holders are advised to link their Permanent Account Number (PAN) with their Aadhaar card number by March 31, 2021. aadhar pan link last date Now there will be a late fee 1,000. As per the recently inserted section 234H of the Income Tax Act, if a PAN card holder fails to link his PAN with Aadhar card number on or before the given time limit, he will be liable to pay 1,000 late fee. This section was included in the budget session 2021 through a Finance Bill.
According to newly inserted section 234H of the Income Tax Act, “Without prejudice to the provisions of this Act, where a person is required to intimate his Aadhaar number under sub-section (2) of section 139AA and such person fails to do so on or before such date as may be prescribed, he shall be liable to pay such fee, as may be prescribed, not exceeding one thousand rupees, after the said section date at the time of giving the information under sub-section (2) of 139AA.”
Apart from 1,000 fee for linking PAN Aadhar, there are many other monetary pitfalls that a PAN card holder cannot miss. Failing to meet the deadline for Aadhaar PAN linking, one’s PAN card will become invalid, which means one will not be able to invest in mutual funds, shares, opening bank accounts, etc., where one’s PAN Presentation of card is required.
Under section 272B of the Income-tax Act, if a person produces an invalid PAN card, the Assessing Officer may direct that such person shall, by way of penalty, pay an amount 10,000. Also, an invalid PAN card holder will not be able to file Income Tax Return (ITR).
Therefore, it is important for a PAN card holder to link his/her PAN with his/her Aadhar card number and avoid any kind of penalty after failing to meet the deadline for PAN Aadhaar linking.
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