NEW DELHI: The government on Friday extended the date of linking of of PAN and Aadhar to 30 September from 30 June.
Under Section 139AA, it is now mandatory for every person to quote Aadhaar number in their income tax return and the application for the allotment of PAN, provided they are eligible to get Aadhaar.
Every person who has been allotted PAN as on 1 July 2017 and who is eligible to obtain Aadhaar number is required to link his PAN to Aadhar. In case a person fails to do so, his or her PAN card will become inoperative after 31 March 2021.
In case the PAN becomes inoperative, the person will have to face the consequences of the same. As per rule 114AAA, where a person is required to furnish or intimate his PAN and in case his or PAN become inoperative, it will be deemed that he or she has not furnished PAN and therefore bear the consequences of the same.
Under various provisions of the Income Tax Act if a person doesn’t furnish PAN or gives an inoperative PAN he or she may have to bear the consequences such as paying higher TDS (tax deducted at source) or TCS (tax collected at source), may not be able to file income tax return and may face the consequences of not filing the tax return. —PTI