The Income Tax (I-T) department has extended the last date for linking the Aadhaar number with PAN (Permanent Account Number) from March 31, 2021 to June 30, 2021, in order to provide relief amid the COVID-19 pandemic.
Earlier, the government had notified that the deadline for linking the two identification cards was March 31, and one may be liable to pay a penalty of Rs 1,000 in case of non-linking as per the new section ’23H’ of the Finance Bill 2021.
In case, the PAN card is not linked with an Aadhaar card before the last date, it is likely to become inactive.
The Aadhaar is a 12-digit number issued by the Unique Identification Authority of India (UIDAI) and is also known as Unique Identity number. The PAN is a 10-digit alphanumeric number and is allotted by the Income Tax department.
The PAN Card can be easily linked to the Aadhaar number online. The Income Tax department allows users to link the two unique identification numbers through a simple tool on its website. The two identification numbers can also be linked through the official website of National Securities Depository Limited – https://www.tin-nsdl.com/
Also, it is compulsory to link the Aadhaar number with PAN to complete income-tax-related tasks such as filing returns on income.
The government had passed the Finance Bill 2021 in parliament last week, where it inserted a new section called ‘234H’. According to this section, a person will be liable to pay a late fee of up to Rs 1,000 in case of non-linking of the PAN number with Aadhaar card.