Economic reforms like GST, ushered by the Indian government have brought with them hope, excitement and a little nervousness too. But more importantly, it signals a greater streamlining of operations; where tax compliance is present, fraud is next to impossible, and transactions are continuously monitored, to curb the menace of black money.
Extending such measures include a Supreme Court ruling where a citizen having both Aadhaar and PAN has to mandatorily link the two. The Aadhar, a ubiquitous identity tool, and the ten characters alphanumeric Permanent Account Number (PAN), a unique ID that every taxpaying body in India needs to have. Learn Link Aadhaar Card with PAN Card, as this article will tell you.
This article will also tell you why is linking Aadhaar with PAN necessary and how to go about it in 3 simple steps.
While the government has not announced a date after which a PAN not linked to Aadhaar will be considered invalid and is yet to do it, it makes sense to link the two identities to avoid further hassle, some of which are:
Hassles in Filing Taxes
Something that will come as a respite to many taxpayers is that PAN cards not linked to Aadhaar will not immediately become invalid. However, a holder of both the documents may face issues in filing taxes. In addition to this, even those people who have an Aadhaar and want to apply for a new PAN will have to furnish the Aadhaar details in the PAN application.
In addition to this, even those people who have an Aadhaar and want to apply for a new PAN will have to furnish the Aadhaar details in the PAN application.
This move also makes sense to increase tax compliance, as people with multiple PAN cards, who used it as a means to avoid paying taxes can no longer do so since their Aadhar is linked with their returns that they have to file.
Even people whose income falls below the taxable income category have to link this. This helps in ensuring greater accountability on their part and helps the government keep a tab on their financial activity.
What About People Without Aadhaar Card?
For those people who do not have Aadhaar, or who do not wish to acquire it yet, the Supreme Court has a relief window.
The Supreme Court has granted a partial stay on invalidating PAN cards of non-Aadhaar holders. This is because the supreme court is waiting for some conclusion on concerns regarding the Aadhar violating human dignity, Article 21 of the Constitution and right to privacy.
However, there is no exemption of any kind for people who already have Aadhaar and PAN cards.
An interesting fact, as many as 2.07 crore taxpayers, have linked their Aadhaar with PAN as of June 28 while there are over 25 crore PAN card holders in the country. Let that sink in.
Linking Aadhaar with PAN card can be easily done on the website of the Income Tax Department. Read on to know more about how to link the two identities.
Linking Aadhaar with PAN Card:
Below you’ll learn How to Link your Aadhar Card With Your PAN Card without any difficulty, and if you’re not much of an internet person, you can still do it, and you don’t need your “agent” for it.
Worried that the entire process would be cumbersome and arduous? Don’t be.
Linking Aadhaar with PAN card is convenient. Here’s a 3 step guide to help you to link your Aadhaar and PAN cards.
Taxpayers will first need to register on the Income tax website to link both the identifications. Once you have registered, you can follow the steps listed below to connect the two IDs and complete the process.
Log in to the e-Filing portal with your user id and password.
You’ll see various tabs on top of the page. Click on profile settings. In the drop down, click on link Aadhaar.
In the new page, you will see your personal details like name, date of birth, etc. Verify your on-screen details with your Aadhar card.
Enter your Aadhaar number and click on the ‘link now’ button if the details match.
A pop-up message is saying – “Aadhaar-PAN linking is completed successfully” will be displayed.
I hope you liked our valuable article on why it is important to link Aadhar card with PAN Card. We even showed you how to link the two in 3 easy steps. And make sure to check out our article on How does GST impact traders.
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