The Income Tax department has made it mandatory to link Permanent Account Number (PAN) with Aadhaar. The deadline to do the same was extended from March 31 to June 30, today.
It means that if you fail to link your PAN with your Aadhar by June 30, 2021, then your PAN will become inoperative. Failing to link your Aadhar with PAN could also invite a penalty of Rs 1000.
It was through the Finance Bill, 2021, that the central government announced a mandatory linking of Aadhar and PAN. For this purpose, the government added Section 234H in the Income Tax Act, 1961 to penalise those who fail to link their PAN with Aadhaar by the deadline.
It was in the year 2017 the government had first announced that it would require all individuals to link their PAN with Aadhaar. Since then, the deadline has been extended several times. However, this time it has finally been made mandatory.
In case you are wondering how can you link your Aadhar with your PAN, then you can follow these simple steps:
Step 1: Log on to the official website of Income Tax e-filing - incometaxindiaefiling.gov.in
Step 2: Click on the 'Link Aadhaar' option on the homepage menu bar
Step 3: Fill in details like PAN number, Aadhaar number, and holder's name
Step 4: Verify details and fill captcha code
Step 5: Click on link Aadhaar
Step 6: The I-T department will validate your details, thereafter your PAN- Aadhaar linking will be completed.