Comments
Last day heavy rush to link Permanent Account Number (PAN) with the Aadhaar number on Wednesday caused crashed type of situation.
BusinessLine talked to some of the tax consultants and taxpayers and all of them complained that site is not working. However, an official in the Income Tax Department said, “There was a problem earlier, but portal seems to be working fine as of now.”
Meanwhile, banks have started sending message to customer reminding them about linking PAN with Aaadhar number. One such message reads:”As per section 139AA of the Income Tax Act 1961, it is mandatory to link your Permanent Account Number (PAN) with your Aadhaar by 31-Mar-21. If not linked by 31-Mar-21, the PAN provided by you will become inoperative. Failure to link will also attract a higher TDS rate on interest earned and might also impact certain bank transactions where PAN is considered. Also note that TDS once deducted cannot be refunded by the Bank under any circumstances.”
There are two easy ways to link these two identities. One, visit http://www.incometaxindiaefiling.gov.in and complete the procedure. Alternatively, one can SMS 567678 or 56161 from your registered mobile number in the format:UIDPAN<SPACE><12 digit Aadhaar><Space><10 digit PAN>Example: UIDPAN 123456789123 ABCDE1234M. One can check status of linkage of PAN with Aadhaar by visting https://www1.incometaxindiaefiling.gov.in/eFilingGS/Services/AadhaarPreloginStatus.html .
After deciding to link the two by bringing in a provision in the Finance Act, 2017, the government has extended the deadline a number of times, with latest ending on Wednesday. Section 139AA of the I-T Act states, “Failure to intimate the Aadhaar number, the Permanent Account Number allotted to the person shall be made inoperative after the date so notified.” Use of an inoperative PAN can cost dearly.
One may have to pay penalty up to ₹10,000 under Section 272B of the Income Tax Act for not holding a valid PAN. Also, one will not be able to use the PAN for any financial transaction.
In terms of benefit, if PAN and Aadhaar are linked, then one can eliminate the final step of sending a hard copy of the acknowledgement to the IT Department. He can do the verification through Aadhaar OTP, saving his time and money. This linkage can speed up the document verification process also when applying for a loan.
Comments
COMMENT NOW
Comments
Comments have to be in English, and in full sentences. They cannot be abusive or personal. Please abide by our community guidelines for posting your comments.
We have migrated to a new commenting platform. If you are already a registered user of TheHindu Businessline and logged in, you may continue to engage with our articles. If you do not have an account please register and login to post comments. Users can access their older comments by logging into their accounts on Vuukle.