Pan Aadhaar Link – Why is it important to link your PAN card to Aadhaar and what do you need to know?

  • 2 min read
  • Apr 07, 2023
Why is it important to link your pan card with aadhaar

Pan Aadhaar Link: If you are an Indian taxpayer who has not yet linked your PAN card to Aadhaar, now is the time to act fast. Starting July 1, 2023, the government has announced that PAN cards that are not linked to Aadhaar will become inactive. In this article, we’ll explore why it’s important to link your PAN card to Aadhaar, how to do it, and what you need to know about the recent updates.

Linking your PAN card to Aadhaar is important for several reasons. First, it helps the government eliminate duplicate and counterfeit PAN cards, which are often used for fraudulent activities. By linking your PAN card to Aadhaar, you can ensure that your tax-related activities are secure and accurate.

Secondly, linking your PAN card to Aadhaar is mandatory under the Income Tax Act, 1961. If you do not link your PAN card to Aadhaar, you may face penalties and consequences such as TDS and TCS deductions.

Finally, linking your PAN card to Aadhaar can simplify your tax related activities. It can help you to electronically verify your income tax returns, as well as apply for a new PAN card or make changes to your existing PAN card.

Linking your PAN card to Aadhaar is a simple process that can be done online or offline. Here are the steps you need to follow:

Online Method:

Step 1: Visit the Income Tax Department’s e-filing portal at https://www.incometax.gov.in/.

Step 2: Click on the ‘Link Aadhaar’ button on the homepage.

Step 3: Enter your PAN card number, Aadhaar number, and name as per Aadhaar.

Step 4: Click on the ‘Link Aadhaar’ button.

Step 5: A message will appear on the screen confirming the linking of your PAN card to Aadhaar.

Offline Method:

Step 1: Visit the nearest PAN card center or Aadhaar enrollment center.

Step 2: Fill out the Aadhaar-PAN linking form.

Step 3: Submit the form along with a self-attested copy of your PAN card and Aadhaar card.

Step 4: The linking process will be completed by the authorities.

Recent Updates:

The government has extended the deadline for PAN card connectivity to Aadhaar several times in the past. As of March 2023, the deadline was set for June 30, 2023. However, the government has warned that if taxpayers do not connect their Aadhaar by July 1, 2023, their PAN cards will become inactive.

In addition, the government has imposed penalties for late linking. A late penalty of Rs 500 was introduced from April 1, 2022, and later increased to Rs 1,000 from July 1, 2022. The government has also warned that the penalty amount will be further increased if the deadline passes.

Linking PAN card with Aadhaar is a mandatory requirement under the Income Tax Act, 1961. It is also essential to ensure the accuracy and security of your tax related activities. By following the simple steps mentioned above, you can quickly and easily link your PAN card to Aadhaar. Remember to link your PAN card to Aadhaar before the deadline to avoid penalties and consequences.