Linking your PAN (Permanent Account Number) with your Aadhaar card has become mandatory for individuals in India under the Income Tax Act. Failure to link your PAN with Aadhaar before the specified deadline can result in your PAN becoming inoperative and a penalty of ₹1,000. Here’s a step-by-step guide to link your PAN and Aadhaar seamlessly and avoid any penalties.
Why Is Linking PAN with Aadhaar Important?
- Avoid Penalties: A penalty of ₹1,000 under Section 234H of the Income Tax Act is levied if the deadline is missed.
- Mandatory for Income Tax Filing: Your PAN becomes inoperative if not linked, making it impossible to file income tax returns or conduct financial transactions requiring PAN.
- Unified Database: Linking reduces tax evasion and streamlines government systems by eliminating duplicate PANs.
Documents Required for Linking PAN and Aadhaar
- PAN card
- Aadhaar card
- Active mobile number (linked with Aadhaar for OTP verification)
How to Link PAN with Aadhaar?
1. Online Through the Income Tax Portal
The most common and convenient way to link your PAN and Aadhaar is through the official Income Tax e-filing portal.
- Visit the portal: Go to eportal.incometax.gov.in.
- Log in or register: Use your PAN as the User ID to log in or register if you’re a new user.
- Find the linking option: On the dashboard, select “Link Aadhaar” under the “Quick Links” section.
- Enter details: Provide your PAN, Aadhaar number, and any additional required details.
- Verify via OTP: An OTP will be sent to your registered mobile number for verification.
- Pay the fee if applicable: A fee of ₹1,000 may need to be paid, which can be done directly on the portal.
- Submit: After entering all details, click “Link Aadhaar” to complete the process.
2. Linking via SMS
Alternatively, you can link your PAN and Aadhaar by sending an SMS to 567678 or 56161 in the following format:
UIDPAN<space><Aadhaar><space><PAN>
3. Through Offline Centers
Visit a nearby PAN service center with a filled application form and required documents. Pay the applicable fee and follow the process guided by the officials.
FAQs About Linking PAN with Aadhaar
- What happens if I miss the deadline?
Your PAN will become inoperative, and you will be charged a ₹1,000 penalty when you eventually link it. - Can I still use my PAN after it becomes inoperative?
No, your PAN cannot be used for financial transactions or income tax-related processes until it’s reactivated by linking.
Linking your PAN with Aadhaar is essential to avoid penalties and ensure uninterrupted financial activities. Act now to stay compliant and hassle-free!