PAN-Aadhaar Linking : The Indian government has made it mandatory to link your Permanent Account Number (PAN) with your Aadhaar card to ensure uniformity and reduce tax evasion. Failure to complete the PAN-Aadhaar linking before the final deadline could lead to penalties or even deactivation of your PAN card. With lakhs of citizens still unlinked, here’s a detailed guide explaining the process, applicable charges, and important dates.
Why PAN-Aadhaar Linking is Mandatory
To strengthen the financial ecosystem and reduce the chances of duplicate PANs, the Income Tax Department has mandated PAN-Aadhaar linking. This step also helps streamline tax filing and verification processes.
Key Reasons for PAN-Aadhaar Linking:
- Helps eliminate duplicate and fake PAN cards.
- Simplifies e-filing of income tax returns (ITRs).
- Enables seamless KYC compliance for financial transactions.
- Ensures transparency in financial systems.
- Mandatory for filing ITRs if you have a PAN.
Final Deadline for PAN-Aadhaar Linking
The government has extended the deadline several times in the past. However, a final date has now been declared. If PAN is not linked to Aadhaar by this date, the PAN card will become inoperative.
Latest Deadline:
- Current deadline for PAN-Aadhaar linking: June 30, 2024
- Consequence of non-linking: PAN will be declared inoperative and may attract a fine
How to Link PAN with Aadhaar Online – Step-by-Step
Linking your PAN and Aadhaar online is quick and user-friendly. Here’s a simple step-by-step guide:
Online Linking Process:
- Visit the official Income Tax e-Filing website:
- Click on the “Link Aadhaar” section under the “Quick Links”.
- Enter your PAN, Aadhaar number, name (as per Aadhaar), and mobile number.
- Tick the box to validate the Aadhaar details.
- Submit the OTP received on your registered mobile number.
- On successful verification, your Aadhaar and PAN will be linked.
See more : ₹300 Deposited to Customer Accounts
Charges for PAN-Aadhaar Linking
The government has set a fee for linking PAN with Aadhaar after a specified period. These charges are applicable if you are linking it post-deadline extensions.
Charges Applicable:
Category | Linking Timeline | Charges (₹) |
---|---|---|
Before 31st March 2022 | No charges | ₹0 |
1st April 2022 – 30th June 2022 | Late linking penalty | ₹500 |
After 1st July 2022 | Final penalty for late linking | ₹1,000 |
- Payment of the penalty must be done via TIN-NSDL portal under Challan No./ITNS 280 using Major Head 0021 and Minor Head 500.
Check PAN-Aadhaar Linking Status
You can also check whether your PAN is already linked to Aadhaar using the Income Tax Department’s portal.
How to Check Status:
- Go to
- Click on “Link Aadhaar Status” option.
- Enter your PAN and Aadhaar number.
- The portal will display the current status of your linking.
What Happens if You Don’t Link PAN with Aadhaar?
Non-compliance with the PAN-Aadhaar linking requirement can result in multiple issues related to your finances, especially related to taxation.
Possible Consequences:
- PAN card will be declared inoperative.
- You will not be able to file Income Tax Returns (ITRs).
- Refunds or tax benefits under section 87A will not be processed.
- You won’t be able to conduct financial transactions requiring PAN.
- Deduction at higher TDS rates could be applicable.
Common Errors and How to Fix Them
Users often face challenges due to mismatches or incorrect entries. Here are some common problems and solutions.
Troubleshooting Table:
Error Type | Reason | Solution |
---|---|---|
Name mismatch between PAN and Aadhaar | Different name spelling or initials | Update details on either PAN or Aadhaar card to match |
Invalid Aadhaar number | Typing error during entry | Re-check and re-enter the correct Aadhaar number |
OTP not received | Unregistered or inactive mobile number | Update your mobile number in Aadhaar at nearest Aadhaar Seva Kendra |
Payment not reflected | Technical delay in NSDL portal | Wait 4-5 working days or check status using acknowledgement receipt |
Table: Quick Summary of PAN-Aadhaar Linking
Topic | Details |
---|---|
Is it mandatory? | Yes |
Current Deadline | June 30, 2024 |
Charges | ₹1,000 if linked after July 1, 2022 |
Linking Website | |
Documents Required | PAN, Aadhaar, and mobile number |
Payment Mode for Fee | TIN NSDL Portal via Challan 280 |
Inoperative PAN Consequences | Not allowed to file ITR, higher TDS, invalid KYC |
If you haven’t yet linked your PAN with Aadhaar, act now to avoid a ₹1,000 penalty and potential deactivation. It’s a simple process that can be completed within minutes. Ensure your mobile number is linked with Aadhaar to receive OTPs for verification.
The PAN-Aadhaar linking is a government-mandated procedure aimed at boosting financial transparency and preventing tax fraud. While the process is straightforward, delays can lead to serious financial inconveniences. With the final deadline of June 30, 2024, approaching fast, it’s crucial for all PAN holders to complete the process and check their status at the earliest. Save yourself from unnecessary hassles and fines by acting now.