Come July 1, the Modi-government's measures to track tax evasion through multiple PAN cards will come into effect. It is now mandatory for you to link your existing Aadhaar numbers with PAN to be able to file your income-tax (I-T) returns.
Finance Minister Arun Jaitley, through an amendment to tax proposals in the Finance Bill for 2017-18, had made linking Aadhaar mandatory for filing I-T returns.
The revenue department has said "every person who has been allotted PAN as on July 1, 2017, and who in accordance with the provisions of sub-section (2) of section 139AA is required to intimate his Aadhaar number, shall intimate his Aadhaar number to the principal director-general of income tax (systems), or DGIT (systems)".
It's mandatory to link Aadhaar with PAN. Here's why.
1. Individuals with PAN will have to link it to their existing 12-digit biometric Aadhaar numbers from July 1
2. While applying for permanent account number (PAN), Aadhaar number or Aadhaar enrolment ID will have to be mandatorily quoted.
3. Linking of Aadhaar and PAN must for filing of income-tax returns (ITR)
Linking of your Aadhaar with your PAN is no longer a cumbersome exercise. You can do it by just an SMS. Your mobile number and e-mail id will help you receive alerts related to your Aadhaar and to access Aadhaar services easily. The Income Tax Department earlier this month issued advertisements and described how both the unique identity numbers of an individual can be linked by sending an SMS to either 567678 or 56161.
People can also visit the official e-filing website of the department to link the two identities, in both the cases-- identical names in the two databases or in case where there is a minor mismatch.
Linking the two numbers is the key to "seamlessly avail online, a world of income tax facilities", the I-T department said.
"Aadhaar can also be seeded into PAN database by quoting Aadhaar in PAN application form for new PAN allotment or by quoting Aadhaar in change request form used for reprint of PAN card," it said in the advertisement.
How to link your Aadhaar to PAN online:
3. A pop up window will appear. Enter your Aadhaar number, PAN number and name as per Aadhaar
4. Enter captcha and click on 'Link Aadhaar'.
In case of any minor mismatch in Aadhaar name provided, Aadhaar OTP (one-time password) will be required. The OTP will be sent on the registered mobile number in the Aadhaar database.
While Aadhaar is issued by the UIDAI to a resident of India, PAN is a ten-digit alphanumeric number issued in the form of a laminated card by the I-T department to any person, firm or entity.
As many as 2.07 crore taxpayers have already linked their Aadhaar with PAN. There are over 25 crore PAN card holders in the country while Aadhaar has been issued to 115 crore people.