The Income Tax Department has instructed the taxpayers to link the PAN card and Aadhar card. The deadline to link the same is 30th June 2023. The department has announced that with a penalty of Rs. 1000, the taxpayers can link the PAN-Aadhar, however now it’s stating that no penalty is charged for the PAN cards allotted on or after July 1st 2017.
The portal is showing that “As your PAN is allotted on or after July 1st 2017, no penalty u/s 234H is charged for Aadhaar-PAN linkage.” The Section 234H of the Income Tax Act, 1961 states about the fee for default relating to intimation of Aadhaar Number.
According to Section 234H of Income Tax Act, “Without prejudice to the provisions of this Act, where a person is required to intimate his Aadhaar number under sub-section (2) of section 139AA and such person fails to do so on or before such date, as may be prescribed, he shall be liable to pay such fee, as may be prescribed, not exceeding one thousand rupees, at the time of making intimation under sub-section (2) of section 139AA after the said date.”.
In precise, if your PAN card is allotted on or after 1st July 2017, then you are exempted from penalty under Section 234H of the Income Tax Act.
Recently, the Income Tax Department has added the ‘Sub Payment Option’ in the minor head ‘other receipts’. The sub payment option has provided the option to select the fee for delay in linking Permanent Account Number (PAN)-Aadhar Card linking. However, the PAN card holders of post 1st July 2017 did not need to pay the penalty for delay in linking.
Read More: Income Tax Dept adds option of ‘Fee for Delay in Linking PAN-Aadhar’: Link before 30th June
The Central Board of Direct Taxes (CBDT) vide press release issued on 28 March 2023, has extended the deadline for linking PAN and Aadhaar to June 30, 2023 in order to provide taxpayers more time. As a result, individuals can inform the required authority of their Aadhaar for Aadhaar-PAN linking without incurring penalties.
Read the Press release here: PAN-Aadhar Linking: CBDT extends Deadline to June 30
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