On April 05, 2017; the Lok Sabha passed a controversial bill that made AADHAR mandatory for filing income tax returns; or applying for a PAN card. According to the amendments in the finance bill, you will not be able to file your income tax returns from July 1, 2017; if you have not linked your AADHAR Number to your e-Filing Account. So, to save yourself from all sort of discomfort, link AADHAR with your PAN asap.
What is the motive behind this Bill or Why to link AADHAR with your PAN?
AADHAR would be made mandatory for all income-tax related issues to weed out fraud and duplicates.
- At present, there are 250 million PAN cards that are mandatory for cash transactions of hotel or travel bills exceeding Rs 50,000. It is also mandatory to quote the number for purchase of jewellery above Rs.2.00 Lakhs either in cash or by plastic money. And, while making large deposits in banks, PAN is mandate. However, as per Government, many of the PAN cards used for above mentioned transactions are duplicates or obtained through fraud.
- Since, many individuals have multiple PANs; therefore, to eradicate discrepancies, government has proposed quoting the AADHAR Number mandatory for filing IT returns.
- Hence, those who have existing PAN or PANs will either have to link their PANs to AADHAR; or show the proof that they have applied for 12-Digits UID Number by December 31, 2017.
- If you fail to do so, July 01, 2017, onwards you will not be able to file your income tax; and, after December 31, 2017, your PAN will become invalid.
- Also, AADHAR can not be made in duplicate, so, it’s a more fool proof identity of a citizen. This step will ensure transparency in filing of income tax returns; and, at the same time, this can also help in tracing money launderers.
- More than 1.08 billion Indians have the unique identification number that was aimed at plugging leaks in the distribution of government entitlements and benefits.
- Indian government has been aggressively promoting the new Digital India dream by pushing the use of AADHAR.
Time Frame to Link AADHAR with PAN:
“Considering that 98% of the adult population is Aadhaar card holders, a time frame till the end of the year i.e. December 31, 2017, is more than adequate for linking PAN with Aadhaar,” State Bank of India group’s chief economic adviser Soumya Kanti Ghosh told HT.
How to Link AADHAR with your PAN:
- Visit e-Filing website of Income Tax Department, Government of India.
- If you are not registered on e-Filing site of Income Tax Department, register yourself.
- And, if you are already registered, login to e-Filing site.
- As soon as you login to your account, you will see a pop-up, asking you to link your AADHAR with your PAN.
- Here, verify if your details on AADHAR card is matching your PAN data.
- If all the details are correct, enter your AADHAR Number, enter the Captcha Code and click on “Link Now”.
- On successful submission, you will see screen with linking successful message.
- However, if your details in AADHAR data and PAN data are not matching, submit valid proof and get the details corrected.