The deadline to link your PAN and Aadhaar is today, June 30, 2023. If you don't link them by today, your PAN will become inactive. This means you can't use your PAN for things like filing your taxes, getting a refund, or opening a bank account.
There are some people who don't have to link their PAN and Aadhaar, like people who live in Assam, Jammu and Kashmir, or Meghalaya, non-residents, people who are 80 years old or older, and people who aren't citizens of India.
If you have to link your PAN and Aadhaar, you can do it online through the Income Tax website. You'll need to enter your PAN and Aadhaar number, and if you're linking them after today, you'll also need to pay a penalty of Rs.1,000.
Here are the steps on how to link your PAN and Aadhaar with penalty
- Go to the Income Tax website: https://www.incometax.gov.in/iec/foportal/
- Login to your account
- On the Dashboard, in the Profile Section, under the Link Aadhar to PAN option, click Link Aadhar.
- Enter your PAN and Aadhaar Number.
- Click on Continue to Pay Through e-Pay Tax.
- Enter your PAN, confirm PAN and mobile number to receive OTP.
- Post OTP verification, you will be redirected to e-Pay Tax page
- Click on Proceed on the Income Tax Tile.
- Select AY as 2024-25 and type of Payment as Other Receipts (500) and click Continue.
- Applicable amount will be pre-filled against Others.
- Click on Pay Now.
- You will receive a confirmation message once the payment is successful. Your PAN will be linked with your Aadhaar after the payment is processed.
If you don't link your PAN and Aadhaar by today, you can still do it within 30 days, but you'll need to pay a penalty of Rs.1,000.
Here are some of the things you can't do if your PAN is inactive
- File your tax return
- Get a tax refund
- Open a bank account
- Carry out financial transactions
- Participate in government tenders
- Apply for a loan
If you haven't linked your PAN and Aadhaar yet, please do so as soon as possible to avoid any inconvenience.
The author is a Chartered Accountant with 2 decades of experience into Accounting, Taxation, Auditing, Risk & Compliance, Credit Controls, Due diligence. Currently, the author is the founder and managing partner at RRL Global services.