Have you linked your Permanent Account Number (PAN) with your Aadhaar number? If you haven’t done it yet, you have time till December 31, 2019 to link the two. The finance ministry, in September, extended the earlier deadline (September 30) by three months to December 31.
In this story we will tell you why you need to link the two and how to link your PAN with Aadhaar.
Why you need to link PAN with Aadhaar?
From April 1, 2019 it has become mandatory to quote and link Aadhaar number while filing income tax return (ITR), unless specifically exempted. According to chartered accountants, an individual cannot file ITR without linking the two first.
Another thing you to keep in mind is that if your PAN is not linked with Aadhaar by the extended deadline, then as per current laws your PAN will become inoperative.
Also, if you are planning on quoting your Aadhaar in lieu of PAN, you have to make sure the two are linked. This is because if you have not linked the two and you quote your Aadhaar in lieu of PAN, then you will be issued another PAN. In July 2019 Budget, the government had allowed quoting of Aadhaar number in lieu of PAN wherever quoting of PAN is mandatory.
The Central Board of Direct Taxes (CBDT), then issued a notification on August 30, where it stated that if someone without a PAN card quotes their Aadhaar number to make a financial transaction, then the income tax department will consider this an auto-application for PAN and it will be issued to the individual. You can read the full story here.
