This Article is From Jul 09, 2017

Link Aadhaar With PAN Soon. Why It Is Required And How To Do It

In its latest move to urge assessees to do so, the taxman has sent SMSs to some taxpayers asking them to link Aadhaar with PAN.

Link Aadhaar With PAN Soon. Why It Is Required And How To Do It

The taxman has urged assessees to link their Aadhaar with PAN

Linking Aadhaar with PAN is now mandatory for filing tax returns (ITRs). The Income Tax Department has time and again asked potential taxpayers to link their Permanent Account Number, used for filing income tax, with the 12-digit biometrics-based identity - Aadhaar. In its latest move to urge assessees to do so, the taxman has sent SMSs to some taxpayers asking them to link Aadhaar with PAN. The SMS read: "Aadhaar linking with PAN is mandatory for filing of Income Tax Returns from 1-July-2017. Please visit www.incometaxindiaefiling.gov.in and Link Your Aadhaar."

Also with the usual deadline of July 31 to file income tax returns approaching, you should link your Aadhaar with PAN using one of the available options, if you haven't already. Besides various digital tools - from SMS to online portals - available to enable holders of Aadhaar and PAN to link the unique numbers, the tax department has also issued a one-page form to do so using the traditional pen-and-paper method.

Individuals will be required to mention both PAN and Aadhaar numbers on the form. They will also have to furnish two signed declarations.

One will say that the Aadhaar provided in the application form has not been used for linking it with "any other PAN", while another will state that the individual has "not been allotted any other PAN than the one mentioned" on the form.

Part of the declaration form to be signed by the applicant states: "I understand that complete security and confidentiality shall be ensured for my personal identity data provided for the purpose of Aadhaar-based authentication."

The Income Tax Department has also formally notified, under a Central Board of Direct Taxes notification dated June 29, the procedure and format for "intimating Aadhaar number to the I-T Department by PAN holder and quoting the same in PAN applications".

The linking of Aadhaar with PAN can also be carried out by personally visiting a PAN Service Centre. Besides, multiple other digital tools are available to achieve this. These include the income tax e-filing website and SMS.

Here are some other methods to link Aadhaar with PAN:

SMS

For all assessees whose name given in the Aadhaar card and PAN card are identical, a simple SMS-based facility has been provided. Such assessees need to send an SMS to 567678 or 56161 in the following format:

UIDPAN<12-digit Aadhaar><10-digit PAN>

For example: UIDPAN 111122223333 AAAPA9999Q

However, in case of assessees whose names given in the Aadhaar and PAN cards have a "minor mismatch", the taxman has said, the linking can be achieved using an online facility.

Online

A facility available on the Income Tax Department's e-filing website enables assessees with identical names given on Aadhaar and PAN as well as those with a minor mismatch to link the two identities.

The taxman has given steps to carry out this task through the portal:

Once on the income tax e-filing website - incometaxIndiaefiling.gov.in, click on the 'Link Aadhaar' option on the left hand side.

Enter your PAN, Aadhaar and name given on the Aadhaar Card. The name detail to be filled in this step is case sensitive.

Click on 'Link Aadhaar' button to proceed.

An OTP or one-time-password will be sent to the mobile number registered with Aadhaar.

The Income Tax Department has specified in detail the procedure for quoting of Aadhaar in new PAN application and for changes or correction in PAN data.

It has said to the PAN and e-filing service providers that they "shall ensure that the identity of information of Aadhaar holder, demographic as well as biometric, is only used for submission to the central identities data repository of the UIDAI for Aadhaar authentication purpose".

There are over 25 crore PAN numbers allotted, while Aadhaar has been allotted to about 115 crore people.
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