Linking Aadhaar-PAN not mandatory for NRIs

The Indian authorities has as soon as once more prolonged the deadline to linkAadhaar playing cards with PAN numbers for Indian residents.

The authorities has prolonged the PAN-Aadhaar linkage deadline by one other three months until June 30. Photo courtesy: PIB

The newest mandatory deadline to have your Aadhaar linked with Permanent Account Number is June 30, 2023. Failing which, the PAN will change into inoperative, leaving residents unable to file earnings tax returns, perform NSE or BSE transactions and a number of other different monetary companies.

Certain classes of people are exempt from the requirement of linking the Aadhaar and PAN. According to the Income Tax Department’s portal, Aadhaar-PAN linkage is not mandatory for people within the following classes:

1. Non-Resident Indians (NRIs) as per the Income Tax Act 1961
2. Residents of the states of Assam and Meghalaya and the union territory of Jammu and Kashmir
3. Anyone who was of the age of 80 years or extra at any time in the course of the earlier 12 months
4. Individuals who’re not residents of India

Under the Income Tax Act, NRIs with a PAN and Aadhaar card could hyperlink the 2, however it’s not mandatory for them. However, if an NRIdoes not hyperlink his PAN and Aadhaar, they want to replace their residential standing as an NRI on the Income Tax portal on-line. If the Income Tax Department is not knowledgeable about residential standing and PAN-Aadhaar is not linked, the PAN quantity could change into inoperative.

For the remainder of the taxpayers, the Aadhaar-PAN linking is mandatory. The authorities has prolonged the PAN-Aadhaar linkage deadline by one other three months until June 30. All Aadhaar-PAN holders can hyperlink them at the Income Tax Department’s e-filing portal.

Earlier, the deadline was set to run out on March 31, 2023. Last 12 months, the tax division had prolonged this deadline by three months with a late price of INR 500, which was additional stretched to March 31, 2023 with a high-quality of INR 1,000.

As per a current round issued by the Central Board of Direct Taxes (CBDT), as soon as a person’s PAN turns into inoperative, she or he shall be liable for all the results beneath the Income Tax Act and should endure quite a few implications.

The provisions of the I-T Act make it mandatory for all people, besides for sure classes, who’ve been allotted a PAN to intimate Aadhaar quantity to the prescribed authority in order that it may be linked with their PAN.

NRI