The Income Tax department might impose a penalty of Rs 10,000 on those who don't link their PAN card with Aadhaar card within the deadline of 31 March 2020. The I-T department had earlier said that un-linked PAN cards will become inoperative if not linked with Aadhaar by March 31.
If the PAN card becomes inoperative, then the assessing officer shall levy Rs 10,000 under section 272 B of the Income tax Act. As of February 15, nearly 17.58 crore PANs had not been linked to Aadhaar, according to Income Tax department.
In 2018, the Supreme Court of India declared Aadhaar as constitutionally valid and held that the biometric ID would remain mandatory for the filing of income tax returns and allotment of PAN cards.
Section 139 AA (2) of the Income Tax Act says that every person having PAN as on July 1, 2017, and eligible to obtain Aadhaar, must intimate his Aadhaar number to the tax authorities.
How to link PAN with Aadhaar:
There are two ways to link your PAN card to your Aadhaar card: through SMS and/or through the IT department website.
1. PAN-Aadhaar linking through SMS:
Send this message -- UIDPAN <space> <12-digit-Aadhaar no.> <space> <Alphanumeric 10-digit PAN number> -- either to 567678 or 56161.
2. PAN-Aadhaar linking from the website of Income Tax:
Step 1: Visit the Income Tax Department e-filing portal - incometaxindiaefiling.gov.in
Step 2: Go to 'Link Aadhaar' option on the left side of the homepage
Step 3: Enter your PAN, Aadhaar numbers and your name as per AADHAAR
Step 4: Mark 'I have the only year of birth in Aadhar card,' if you have only the birth year on the Aadhaar
Step 5: Mark 'I agree to validate my Aadhar details with UIDAI,' if you agree to do so
Step 6: Enter the captcha code on your screen
Step 7: Click on 'Link Aadhaar' option to request linking of PAN and Aadhaar