The deadline for linking Aadhaar with PAN has been extended to 30 June 2023. Non–compliance on this will result in the PAN will become inoperative from April 1, 2023. Also, individuals will have to pay a fine of Rs 1000 as a late fee for linking their PAN with their Aadhaar.
PAN card is accepted as valid identity proof all over India. A PAN card is required for most financial transactions, and the IT department tracks your transaction via it. On the other hand, Aadhaar holds all the information of an individual along with their biometric verification.
It is mandatory to link your Aadhaar with your PAN card because your income tax return would not be processed if your Aadhaar is not linked with your PAN. Also, if you have to carry out a banking transaction above Rs. 50,000, you have to get your PAN card and Aadhar card linked
How to check if your Aadhaar is linked to your PAN card?
The PAN-Aadhaar linking date has been extended from 31st March 2022 to 30th June 2023. The final day to link PAN and Aadhaar without paying a fine, however, was March 31, 2022. Now, a fine of Rs.1,000 must be paid for linking PAN–Aaadhaar.
Note that if you file the income tax returns without linking PAN–Aadhaar, the income tax department will not process the returns until PAN and Aadhaar are linked. People can visit the official Income Tax e-filing website to link the two identity cards in both cases– identical names in the two databases or in a case where there is a minor mismatch.
If you are not sure if your PAN and Aadhaar cards are linked, you may follow these steps to confirm:
- Visit the Income Tax e-filing portal. Click on the ‘Link Aadhaar Status’ under the quick links on the homepage.
- Enter your PAN and Aadhaar number and click ‘View Link Aadhaar Status’.
How to Link PAN to Aadhaar Card Online
Given below is the step-by-step guide on how to link Aadhaar with a PAN card online:
Step 1:- Payment of application fee through:
A. E-Pay Tax functionality available on the e-filing Portal if you have Axis Bank, Bank of India, Bank of Maharashtra, Canara Bank, Central Bank of India, Federal Bank, ICICI Bank, Indian Bank, Indian Overseas Bank, Karur Vysya Bank, Kotak Mahindra Bank accounts-
- Visit the e-Pay Tax page on the Income Tax e-Filing website.
- Enter your PAN, and confirm your PAN and mobile number to get an OTP.
- After OTP verification, you will be redirected to a page showing different payment tiles.
- Click on the “Proceed” button on the Income Tax tile.
- Choose the AY as 2023–24 and the Type of Payment – as other Receipts (500) and click on “Continue”.
- Fill in the amount as Rs. 1000 under the “Others” field in the tax break-up and proceed to make the payment.
B. NSDL (now Protean) portal under Major head (0021) and Minor head (500) for AY 2023-24 if you have any other bank account:-
- Visit the e-Payment for TIN (egov-nsdl.com) to pay the late fee of Rs. 1000.
- Under the non–TDS/TCS category, click on the “Proceed” button under Challan no./ITNS 280.
- You will see a challan which will have a major (0021) and minor head (500).
- Fill in the required details (PAN, AY, mode of payment, etc) and make payment of the exact amount (i.e., Rs. 1000) through a single challan. Also, the challan for fee payment should be with the AY 2023-24 only.
Step 2: Submit the Aadhaar linking request on the e–Filing portal after 4-5 working days of making payment on the NSDL (now Protean) portal.
The detailed steps for the same are as follows:
- Visit the e-filing portal > Login > On the Dashboard, under the Link Aadhaar to PAN option, click on “Link Aadhaar” or click on “Link Aadhar” in the personal details section.
- Enter your PAN and Aadhaar number and click on “Validate”.
- In case you have made payment of challan on NSDL ( Protean) Portal and payments details are verified by e-filing your PAN and Aadhaar are validated, upon which you will see a pop–up message that “Your payments details are verified”. Click “Continue” on the pop–up message to submit the Aadhaar link request.
- Fill in the necessary details and click on the “Link Aadhaar” button.
- Enter the 6-digit OTP that you receive on the mobile number mentioned in the previous step.
- Your request for linking of Aadhaar–PAN has been submitted successfully and now you can check the Aadhaar–PAN link status.
Note: Currently, there is no validity period for linking the Aadhaar post fee payment on NSDL (Protean) portal.
Correction Facility for Linking PAN with Aadhaar Card:-
PAN and Aadhaar card linking is successful only when all your details in both documents match. In case there are errors such as spelling mistakes in your name, your PAN will not be linked with your Aadhaar. You can make changes by visiting a nearby Aadhaar Enrolment Centre or through the portal of NSDL PAN. In case there are errors in your PAN Card, you can get them corrected by following these steps:
- The user can correct his PAN details using the NSDL (Protean) website.
- The NSDL link redirects to the page where you can apply for the correction of your name.
- Submit signed digital documents to get your PAN details updated.
- Once your details are corrected in your PAN and confirmed by NSDL over mail, you can link your PAN with your Aadhaar.
Unable to Link PAN with Aadhaar? Here’s What to Do:-
The Government of India has made it mandatory for all individuals to link their PAN card with their Aadhaar card before the deadline (i.e. 30th June 2023) as failure to link both will lead to the deactivation of PAN by the Income Tax Department and you will not be to file Income Tax Returns, etc.
Moreover, make sure your name should be the same on both the PAN card and the Aadhaar card. In case there is some spelling mismatch, you will be unable to link your Aadhaar with your PAN Card. You will have to get your name corrected and after correction, you will be able to easily link your PAN with your Aadhaar.
In case your name on the PAN card is wrongly spelled, follow these steps to make corrections:
- Visit the e-filing website of NSDL (now Protean):- Open Link
- Select the ‘Changes or Correction in existing PAN data/Reprint of PAN Card (No changes in Existing PAN Data)’ option from the drop-down menu.
- Select the individual category and enter your details.
- Make payment and submit your form online after your Aadhaar e-KYC.
- Your updated PAN will be sent to your address.
- Once you receive your PAN card, you can link your PAN with your Aadhaar.
In case your name on the Aadhaar card is wrongly spelled, follow these steps to make corrections:
- Visit an Aadhaar Enrolment Centre.
- Carry a self-attested copy of your proof of Identity.
- Fill out the Aadhaar Correction Form.
- Submit the form along with the documents.
- You will get an acknowledgment slip that contains the updated request number.
- This URN can be used to check the status of your update request.
- Once your update request is processed and the name is corrected, you can link your PAN with your Aadhaar.
Importance of Linking PAN Card with Aadhaar Card
- All PAN cards that are not linked with Aadhaar will be deactivated after 30th June 2023.
- The PAN card Aadhaar link will help in tackling the problem of multiple PAN cards issued under the same name.
- Your income tax return form would not be processed if your PAN is not linked to your Aadhaar.
- The user will get a summarised detail of taxes levied on him for future reference.
How to Check the Aadhaar Card and PAN Card Linking Status:-
To check your Aadhaar and PAN card link status, follow the steps mentioned below:-
- Visit the e-Filing Income Tax Department page:- Open Link
- Select “Link Aadhaar Status” under “Quick Links”.
- Enter your PAN.
- Enter your Aadhaar Number.
- Now, click on the ‘View Link Aadhaar Status’ button.
- Your Aadhaar-PAN link status will appear on your screen.
What are the benefits of Aadhaar and PAN linking?
Aadhaar-PAN linking is required for legal aspects and provides benefits like:-
- Aadhaar Card is an important document for all transactions. Linking Aadhaar and PAN provides an audit trail of all transactions to the Income tax department.
- Starting next year, ITR filing will not be allowed until your Aadhaar-PAN is linked.
- Filing ITR will be an easy process as it would eliminate the need for actions like submitting receipts to the IT department or e-signature.
- These actions will be automatically done using Aadhaar e-verification.
- Aadhaar- PAN linking can help in preventing the cancellation of the latter.
- Through the use of an Aadhaar Card, the requirement for other documents has been reduced to a large extent.
- Aadhaar cards also serve the purpose of identity proof and address proof. It has made this document of great importance for individuals.
- With the introduction of Aadhaar, tracking transactions has become easier and more effective. Aadhaar-based authentication has become a norm now.
- It is also useful for tracking tax evaders. Aadhaar-PAN linking solved the problem of an individual having multiple PAN cards and reduced the possibility of fraudulent activities.
What Will Happen to PAN Cards Not Linked with Aadhaar?
PAN cards that are not linked with Aadhaar by 30th June 2023 shall become inoperative. Further rule 114AAA of the Income–tax Rules provides that in case the PAN of a person becomes inoperative, he will not be able to furnish, intimate, or quote his PAN and will be liable to all the consequences under the Act for such failure. It will have several implications including:
- The person will not be able to file returns using the inoperative PAN.
- Pending returns shall not be processed.
- Pending refunds cannot be issued to inoperative PANs.
- Once the PAN is inoperative, pending proceedings as in the case of defective returns cannot be completed.
- Since PAN becomes inoperative, the tax will be deducted at a higher rate.
FAQs on Linking PAN-Aadhaar
Yes, you can file tax returns but they will not be processed until your Aadhaar is linked to your PAN card. In case you have an enrolment number, you can link it with your PAN and your e-return would be processed this year but you will have to link your PAN with your Aadhaar at a later stage.
The authentication fails due to a mismatch in the data between your PAN and Aadhaar. You can check for the correctness of the data such as name, date of birth, and mobile number, amongst others.
To find the official deadline for PAN-Aadhaar linking extension, you can visit the link, Open Link.
NRIs are exempt from quoting their Aadhaar while filing their income tax e-returns.
Even if the income of an individual is below the taxable limits, he has to link his PAN with his Aadhaar. Otherwise, it will be deactivated.
You have to enter the correct OTP sent to your registered mobile number. In case you enter the wrong OTP, you will get the failed authentication message. It is best suggested to enter the OTP diligently on the website to authenticate your request.
Linking PAN with Aadhaar is a very simple process and can be carried out online. You do not have to submit any documentary proof. There is also no document required to check the PAN Aadhaar link status.
You have to check your name, gender, and date of birth when linking your Aadhaar Card with your PAN Card. In case there are errors, you can get them rectified before linking both documents.
You can link your Aadhaar with your PAN card online even if you are not in India. You can check the Aadhaar PAN link status online through the steps mentioned above.