How To Link PAN And Aadhaar With Penalty Before March 31, 2023?

The deadline to link PAN (Permanent Account Number) with Aadhaar has been extended several times, however, the current deadline is March 31, 2023 and this time if you do not link your PAN with Aadhaar, your PAN will become invalid from April 01, 2023.

It is mandatory to link your PAN with Aadhaar, in order to avail of certain key services, including filing the income tax return, KYC norms of financial transactions.

Capital markets regulator Sebi on Wednesday asked all investors to link their PAN with Aadhaar number by March-end for continual and smooth transactions in the securities market.

“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,” Income Tax department had said.

What Is A PAN Card?

PAN card is a unique 10-digit alphanumeric identity number issued by the Income Tax Department of India. PAN card is not only for individuals, but also for companies, partnerships, and other entities that generate taxable income in India.

What Is Aadhaar Number?

Aadhaar card is a 12-digit unique identification number issued by the Unique Identification Authority of India (UIDAI). It serves as a proof of identity and address for Indian citizens. The Aadhaar card contains biometric and demographic information.

How To Link Aadhaar and PAN?

Both registered and unregistered users can link their Aadhaar and PAN on the e-Filing portal of Income Tax Department, in both pre log in and post login mode.

Here is how one can link their PAN with Aadhaar online.

Linking Via the Income-Tax Department Portal

Step 1: Go to incometaxindiaefiling.gov.in, the e-filing portal of the I-T department.

Step 2: Click on the ‘Link Aadhaar’ option under the ‘Quick Links’ section of the webpage.

Step 3: This will redirect you to a new page where the PAN number, Aadhaar number and other required details like your name need to be entered.

Linking Via SM

Step 1: Dial 567678 or 56161 on a mobile device to send an SMS. The format should be UIDPAN (10-digit PAN card number), 12-digit Aadhaar card number, and space.

Step 2: Following that, an SMS will inform you of the PAN-Aadhaar link status. The Aadhaar and PAN will only be linked if the taxpayer’s date of birth matches both documents.

An individual shall be liable for all repercussions under the I-T Act when a PAN expires on March 30 according to a circular from the Central Board of Direct Taxes (CBDT), which sets policy for the Income Tax department.

What Will Happen If You Don’t Link Aadhaar and PAN?

If PAN becomes inoperative, you will not be able to furnish, intimate or quote your PAN and would be liable to all the consequences for such failure.

What Is The Amount Of Fee Payment For Aadhaar-PAN Linkage?

According to the IT Department, the prescribed fee was Rs 500 till June 30,2022 and Rs 1000 from July 01, 2022 to March 31, 2023 .

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