Is your Permanent Account Number (PAN) linked to your Aadhaar card? If not, do it now because the deadline to link the two documents ends on March 31. If you fail to link your PAN card with your Aadhaar card within the allotted time, the income tax department may impose a penalty on you. You will not only be liable for a fine of up to ₹1000 but your PAN will also become invalid. When adopting the 2021 finance bill, the government inserted a new article (article 234H) in the 1961 income tax law to penalize people who do not link the PAN to the Aadhaar card. before March 31, 2021.
In addition to the fine, an individual’s PAN will also become inoperative.
In accordance with Section 139AA, it is mandatory for each person to cite the Aadhaar number in their tax return and PAN award application, provided they are eligible for Aadhaar.
How to link PAN with the Aadhaar card
Access the Income Tax Service e-filing portal.
Click on the Link Aadhaar section on the left.
You need to fill in PAN number, Aadhaar number and name.
Fill out the CAPTCHA.
Click on the ‘Link Aadhaar’ option and your PAN Aadhaar link will be terminated.
The IT department will validate your name, date of birth and gender against the Aadhaar details, after which the link will be made.
Having a PAN card is mandatory for several purposes like opening a bank account, buying mutual funds or stocks and even making cash transactions for more. ₹50,000.