Direct Tax Alert
Government Extends Deadline to Link PAN with Aadhaar till June 30th, 2023
April 05, 2023
As per provisions of the Income Tax Act 1961 (“ITA”), every person holding a Permanent Account Number (“PAN”) on 1st July 2017, shall link their Aadhaar with PAN on or before 31st, March 2023 on payment of a prescribed fee.
In order to provide give more time to the taxpayers, the date for linking PAN and Aadhaar has been extended to 30th June 2023.From 1st July 2023, the PAN of taxpayers who have failed to intimate their Aadhaar shall become inoperative and the following consequences during the period that PAN remains inoperative will arise:
- No refund shall be made against such PANs;
- Interest shall not be payable on such refund for the period during which PAN remains inoperative; and
- TDS and TCS shall be deducted /collected at a higher rate, as provided in the ITA.
A fee of one thousand rupees will continue to apply to make the PAN operative by intimating the Aadhaar number.
Further, PAN-Aadhar linking is not required in cases where persons:- Residing in the specified States;
- A non-resident as per the ITA;
- Of the age of eighty years or more at any time during the previous year; or not a citizen of India.
Last updated: 05/04/2023
Article contributed by:
Senior Executive – Direct Tax
