Linking of Aadhaar and PAN card is mandatory, says Income Tax Department

Linking of Aadhaar and PAN card is mandatory, says Income Tax Department

The Income Tax Department has now made it mandatory to link your Aadhaar and PAN card if you intend on filing your tax returns in the future. The policy-making body of the Income Tax Department, the Central Board of Direct Taxes (CBDT), released a statement last week which stated that every citizen of India who has been allotted a Permanent Account Number after the July 1st deadline will have to inform the Income Tax Department and intimate their Aadhaar Number to the tax authorities so that their Aadhaar and PAN card can be linked.

This clarification by the Income Tax Department comes after the Supreme Court announced that citizens of the country who have already been assigned Aadhaar IDs will have to use them to file their Income Tax Returns (ITR) and will also have to link the same to their PAN cards as well. This has become a mandatory requirement for individuals to file their returns. The CBDT has said that only a partial relief has been provided by the Supreme Court to individuals who do not currently possess an Aadhaar card. This reduction in the consequence of not having an Aadhaar Card was imposed to compensate the penalty of cancellation of their PAN.

Linking of Aadhaar and PAN card

The Income Tax Department has, in the recent past, done all it can to ensure that an individual links their PAN with their Aadhaar Card which is a 12-digit number that has been issued by the Unique Identification Authority of India (UIDAI). It is based on the biometric and demographic information of an individual. Linking of the Aadhaar Card with the PAN will ensure that the individual will be able to file their taxes next year without any hassle.

How to link your PAN with Aadhaar online

It is difficult to take time off from your busy work schedule to have your Aadhaar and PAN linked. This is why the Income Tax Department has removed the middle man involved in linking your Aadhaar with PAN by reducing the tedious procedure of manually providing your personal details needed to link these documents. Here are some of the simple steps which you will have to follow to link your Aadhaar and PAN online:

  • You will have to visit the e-filing website of the Income Tax Department which is www.incometaxindiaefiling.gov.in

  • Once you are on the homepage of the website, you will have to locate the “Link Aadhaar” button which is present on the left of the homepage

  • Click this option

  • You will have to provide the relevant information required pertaining to your Aadhaar Card and PAN such as your Aadhaar Number, name, and any other fields which would have to be filled

  • Once this is done, you will have to click on the “Submit” option

  • It is very important that you enter the details that have been asked for carefully, like your name, which has to be exactly the same as the one mentioned on your Aadhaar Card

  • Once this is done, your details will be verified by the UIDAI and the linking will be confirmed after you have provided your details

There are rare cases where the names printed on the Aadhaar Card and PAN do not match at all, cases where initials are provided for one whereas the other contains the expanded form of these initials. An individual’s Aadhaar can also be seeded into the PAN database by quoting Aadhaar in the PAN application form required for a new PAN allotment or by quoting their Aadhaar in the change request form that is used to make a change or reprint a PAN card. This link would require an individual to input his/her Aadhaar number, PAN, and the exact name that is given on the Aadhaar Card. The UIDAI will confirm the linking after verifying the details that you have provided. In case there is a minor mismatch in the details that an individual has provided, an OTP (OneTime Password) will be required to confirm the linking.

Linking by SMS

Your Aadhaar and PAN can also be linked via SMS. The Income Tax Department has provided a SMS-based facility that individuals can utilize to link their PAN and Aadhaar card. The 12-digit Aadhaar Number can be linked to the PAN by sending an SMS to either 56161 or 567678.

The Finance Act of 2017 has made it mandatory for the citizens of India to quote their enrolment or Aadhaar ID when filing their income tax returns.

While the Aadhaar card is issued by the Unique Identification Authority of India or UIDAI to the citizens of India, PAN is a 10-digit number that is issued by the Income Tax Department in the form of a card. A PAN is provided to every salaried individual or firm to help them file their taxes.