Last date to link PAN-Aadhar cards on June 30: Know how to pay penalty here

Taxpayers who have not yet linked their Aadhaar with PAN are advised to complete the process by June 30 to avoid a penalty of Rs 1,000

The Income Tax (I-T) Department extended the deadline for linking Aadhaar with PAN card last month. Taxpayers who have not yet linked their Aadhaar with PAN are advised to complete the 1process by June 30 to avoid the deactivation of their PAN card.

“In order to provide some more time to the taxpayers, the date for linking PAN and Aadhaar has been extended to 30th June, 2023, whereby persons can intimate their Aadhaar to the prescribed authority for Aadhaar-PAN linking without facing repercussions," the Income Tax department had said in a statement.

“Both registered and unregistered users can link their Aadhaar and PAN on the e-Filing portal (www.incometax.gov.in), in both pre-log in and post login mode," it added.

Aadhaar-PAN link penalty fees

Starting July 1, 2023, a fee of Rs 1,000 will be required before submitting an Aadhaar-PAN linking request on an e-filing portal, and it must be paid in a single challan.

How to link Pan-Aadhaar with a penalty?

Step 1: Go to https://www.incometax.gov.in/iec/foportal/.Click Link Aadhar in the Profile Section of the Dashboard.

Step 2: Enter your PAN and Aadhar Number.

Step 3: Select Continue to Pay Through e-Pay Tax.

Step 4: Enter your PAN, confirm your PAN, and mobile number to receive an OTP.

Step 5: Following OTP verification, you will be redirected to the e-Pay Tax page.

Step 6: On the Income Tax Tile, click the Proceed button.

Step 7: Choose AY 2024-25 and Payment Type Other Receipts (500), then click Continue.

Step 8: The applicable amount will be pre-filled against Others.

After paying the fee, you can use the e-Filing Portal to link your Aadhaar number to your PAN.

What will happen if you do not link Aadhaar and PAN before June 2023?

If you do not link your Aadhaar with your PAN by June 30, 2023, your PAN will become inactive.

If your PAN becomes inoperative, you will be unable to furnish, intimate, or quote it and will be subject to all of the Act's consequences.

This will have several consequences, including:

1. Any amount of tax, or part thereof, due under the Act's provisions will not be refunded.

2. Interest on such refund shall not be payable for the period beginning with the date specified in sub-rule (4) and ending with the date on which it becomes operative.

3. Where tax is deductible under Chapter XVIIB in the case of such a person, such tax shall be deducted at a higher rate, in accordance with the provisions of section 206AA.

4. Where tax is collectible at source under Chapter XVII-BB in the case of such person, such tax shall be collected at a higher rate, in accordance with provisions of Section 206CC.