Link your PAN with Aadhaar by 31st March: Important news for all the PAN Cardholders, the Income-tax assessees are now going to fine you ₹10,000 if you have not linked your permanent account number (PAN) card with Aadhaar card, the deadline for which is before March 31.
Earlier in December 2019, the income tax department had extended the date of linking the PAN with Aadhaar to March 2020, and now they will now impose the penalty for having a non-operative PAN.
Last year as well, the income tax department had made the announcement that all unlinked PAN cards are going to be declared “inoperative.” At the present date, it has issued a new notification that states that strict action will be taken against those people who hold an inoperative PAN under the Income Tax Act for not furnishing PAN, as per the latest report.
One must take note that under Section 272B of the Income Tax Act, a person who is found using an invalid/inoperative PAN card will be fined Rs 10,000.
As per to Section – 272B, Income Tax Act, 1961, If any person fails to fulfill with the provisions of section 139A, then the Assessing Officer may possibly “direct that such person shall pay, by way of penalty, a sum of ten thousand rupees,”
The CEO of BankBazaar, Adhil Shetty told Livemint that when a PAN comes to be inoperative, it is assumed by the law that it has not been furnished/quoted as well as a fine of ₹10,000 may apply according to the Section 272B of the Income Tax Act.
In addition to that, there are many other complications that people might face for not linking their PAN card with Aadhaar as it is going to become inoperative from April 1, 2020.
While many of the people who fail to link PAN card with Aadhaar can use it as ID proof for non-tax purposes such as opening a bank account or for a driving license deprived of penalty, any financial transactions citing inoperative PAN (Amount above Rs 50,000) might attract a fine.
If any individual who misses the deadline for linking, his/her PAN card is going to become inoperative from April 1. On the other hand, it is again going to become operative as soon as the individual links it with the Aadhaar card.
As soon as the users link their PAN with Aadhaar, their PAN is going to become operative, along with that no penalties will be charged from the date of linking. While people with inoperative PAN cards, on the other hand, do not have to apply for a fresh PAN card in order to make it operative. Their inoperative is going to become valid as soon as the linking is done, as per the report.
As per to the previous report, the Supreme Court says in September last year, had announced the Centre’s flagship Aadhaar scheme as constitutionally lawful and specified that the biometric ID would continue to be essential for the filing of I-T returns as well as allotment of the PAN.