Income Tax Alert- Non-linking of PAN with Aadhaar by March 31 to attract penalty of Rs 500-1,000

Taxpayers not linking PAN with Aadhaar by March 31 would be required to pay a penalty ranging from Rs 500 to Rs 1,000, the income tax department has said.

The last date for linking Permanent Account Number (PAN) with biometric Aadhaar is March 31, 2022. Not adhering to the deadline will lead to PAN becoming inactive.

In a notification, the Central Board of Direct Taxes (CBDT) said delayed intimation of Aadhaar will attract a late fee of Rs 500 in cases where it is linked within the next 3 months or by June 30, 2022.

Thereafter, Rs 1,000 would have to be paid by taxpayers as penalty.

Non-linking of PAN with Aadhaar will lead to PAN becoming inoperative after March 31, 2022.

It can be reoperationalised on payment of penalty, said a CBDT notification dated March 29.