As per sec 139AA of income tax act 1961, every person who has been allotted PAN as on 01.07.2017 and who is eligible to obtain Aadhaar Number have compulsorily link their Aadhaar and pan on or before 31st March 2023 With paying late fee as per Circular No. 7/2022 dated 30/3/2022.
As per Income tax act 1961, it is mandatory for all pan holders, Who do not fall under the exempt category, to link their pan with Aadhaar on or before 31.03.2023.From 01.04.2023 Onwards, the unlinked Pan will become inoperative.
As per Notification Number 37/2017, dated 11th May 2017 those who do not comes under the exempt category and have not linked their Aadhaar with Pan yet, are requested to do so immediately.
Exemption From Linking Aadhaar With PAN
Linking of Aadhaar With Pan does not apply to Individuals Who is:
- Residing in the states of Assam, Jammu and Kashmir and Meghalaya
- Non-Resident as per income tax act, 1961
- Of the age of 80 years or more(i.e. super senior citizen) at any time during the previous financial year;
Not a citizen of India.
What if PAN becomes inoperative
As per Circular No. 7/2022 dated 30/3/2022, till 31st March 2023 the Pan of the assesses who have not intimated their Aadhaar, will continue to be functional for the procedures under the act, like furnishing of return of income, processing of refunds etc.
After 31st March 2023, the Pan of the Taxpayers who fail to intimate their Aadhaar, as required, shall become inoperative and all the consequences under the act for not furnishing ,intimating or quoting the Pan shall apply to such taxpayers.
Author Bio
Sir, I have purchased flats from NRI and deducted tax as per rebate certificate issued by the Income tax Office on 13.06.2023 to the deductee. When challan 27Q filed by me, the income tax intimated that the pan of deductees are inoperative. They also notice me higher rate of taxes. It is not my fault but I rely on certificates issued by the Income Tax Department. the Deductee also rectify their pan operative within 7 days being NRIs. Kindly clarifiy the same.
Whether Person can apply for New Pan after April if their old Pan became Inactive?
Yes you can apply new one, But make sure that Old one need to be Cancelled or surrendered.
I have erroneously made 2 PAN Card. PAN which is in use and recorded in my recod, but not linked with Aadhaar. Other PAN which is not in use and not recorded in my record linked with Aadhaar, but I want to surrender it and applying from last 6 month for surrender, but till date not surrendered. please advice me . what I can do
m applying for surrender from last 6 month, but till now not surrendered due to linked
what if PAN is not linked within specified time period. and applied for new PAN after first PAN became in-operative ..
Can I Do so??
Yes, You can apply it new one but there are practical issues like Changes Pan information in Bank data, GST registration issues (If it applies) as you know GST registration is a Pan based registration and some more issues will come after receipt of new Pan. As per My View Kindly Link the Pan before due date rather than applying for new one.