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This will happen if you fail to link PAN Aadhaar by set deadline
 
 
 

"What is mandatory, is necessary. Don't delay, link it today!" the department said in a public advisory.

The Income Tax department Saturday issued an advisory that those permanent account numbers (PAN) which are not linked with Aadhaar by the end of March next year will be rendered "inoperative".
"What is mandatory, is necessary. Don't delay, link it today!" the department said in a public advisory.
"As per Income-tax Act, 1961, it is mandatory for all PAN holders, who do not fall under the exempt category, to link their PAN with Aadhaar before 31.3.2023. From 1.04.2023, the unlinked PAN shall become inoperative," it said.
The 'exempt category', according to a notification issued by the Union Finance Ministry in May 2017, are those individuals residing in the states of Assam, Jammu and Kashmir and Meghalaya; a non-resident as per the Income-tax Act, 1961; of the age of 80 years or more at any time during the previous year and a person not a citizen of India.
A circular issued by the Central Board of Direct Taxes (CBDT) on March 30 said once a PAN becomes inoperative, an individual shall be liable to all the consequences under the I-T Act and will have to suffer a number of implications.
Also Watch| <a href="https://www.editorji.com/india-news/linking-aadhaar-and-voter-id-card-voluntary-no-action-will-be-taken-govt-1671188782882">Linking Aadhaar and voter ID card voluntary, no action will be taken: govt</a>
The person shall not be able to file I-T return using the inoperative PAN; pending returns will not be processed; pending refunds cannot be issued to inoperative PANs; pending proceedings as in the case of defective returns cannot be completed once the PAN is inoperative and tax will be required to be deducted at a higher rate.
"In addition to the above, the taxpayer might face difficulty at various other fora like banks and other financial portals as PAN is one of the important KYC (know your customer) criterion for all kinds of financial transaction," the circular said.
The CBDT frames policy for the Income Tax department.
While Aadhaar is issued by the Unique Identification Authority of India to a resident of India, PAN is a 10-digit alphanumeric number allotted by the IT Department to a person, firm or entity.&nbsp;

The Centre has approached the Unique Identification Authority of India (UIDAI) with a proposal to permit the Election Commission (EC) to use the&nbsp;Aadhaar&nbsp;cards&nbsp;for the registration of new voters.
Earlier,&nbsp;the EC had proposed to link the electoral rolls with the Aadhaar&nbsp;in order to reduce multiple enrolments by the same person as a voter at different places and&nbsp;improved accessibility to voting, the govt said.
If the UIDAI&nbsp;agree with the&nbsp;Centre's proposal, then inculcating voter cards with Aadhaar for reducing voting fraud&nbsp;could begin without the need for amendments to The Representation of the People Act, 1950, and The Aadhaar Act, 2016.
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Centre writes to UIDAI, seeks Aadhaar use for new voters

The Centre has approached the&nbsp;UIDAI&nbsp;with a proposal to permit the Election Commission (EC) to use the&nbsp;Aadhaar&nbsp;for the registration of new voters.

<ul>
<li>Centre writes to UIDAI&nbsp;with a proposal to use&nbsp;Aadhaar&nbsp;for registration of new voters</li>
<li>Proposed Aadhaar&nbsp;verification for getting a voter id card would be voluntary: reports</li>
<li>EC had earlier proposed linking of Aadhar&nbsp;to electoral rolls to reduce voter fraud&nbsp;</li>
<li>EC stopped linking Aadhaar&nbsp;to&nbsp;electronic voter id card after SC order in 2019</li>
</ul>

The poll panel has even started linking Aadhaar&nbsp;to&nbsp;electronic Elector's Photo Identity Card in 2019 but had to suspend the exercise after a Supreme Court order&nbsp;

The Centre has approached the Unique Identification Authority of India (UIDAI) with a proposal to permit the Election Commission (EC) to use the&nbsp;Aadhaar&nbsp;cards&nbsp;for the registration of new voters.
The Indian Express reported that the Law Ministry&rsquo;s letter to UIDAI was sent on the request of the EC, and that the proposed Aadhaar verification would be voluntary.
Earlier,&nbsp;the EC had proposed to link the electoral rolls with the Aadhaar&nbsp;in order to reduce multiple enrolments by the same person as a voter at different places and&nbsp;improved accessibility to voting, the govt said.
The poll panel has even started linking Aadhaar&nbsp;to&nbsp;electronic Elector's Photo Identity Card in 2019 but had to suspend the exercise after a Supreme Court order&nbsp;restricting use of Aadhaar&nbsp;to public distribution&nbsp;schemes.
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aadhaar linking process

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