The centre has extended the time to link PAN with the Aadhaar till September 30, if not linked your PAN will become inoperative from the given date.
A fine of Rs 10,000 for using inactive PAN can also be imposed.
Therefore, to avoid getting your Aadhaar-PAN inoperative, you must follow the following steps to check if both of your cards are linked or not.
How to check whether Aadhar-Pan is linked or not.
Visit the official website of the Income Tax Department, incometax.gov .
At the bottom, you will find the option of Link Aadhaar Status, click on it.
After this, the next page will appear where you have to enter your Aadhaar and PAN number and click on View Aadhaar Link Status. Clicking on it, information about whether Aadhaar-PAN is linked or not will appear on the screen.
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You can also link Aadhar-pan by sending a single message.
By typing UIDPAN on your phone, you have to enter your Aadhaar number by giving space and then PAN number by giving space.
For example, UIDPAN 0000011112222 AAAPA7777Q is to be sent to 567678 or 56161.
After the SMS is sent, the Income Tax Department will process the linking of your Aadhaar and PAN.
Linking Aadhaar-PAN online.
To link your Aadhaar-PAN, first, you will have to visit the official website of the Income Tax Department. If there is a PAN cardholder that is not linked to the PAN base - it means your PAN is invalid. This also means that for any financial transactions, for example, if you want to withdraw or deposit more than 50 thousand rupees from your bank account, you won’t be able to do it. This is simply because to carry any financial transaction one has to show their PAN card. In case of a PAN being inactive, you will not be able to do transactions of more than 50 thousand rupees.
Further SEBI has also confirmed that if the Aadhaar is not linked to the PAN, no monetary transaction can take place.
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For the uninformed, if a person does not have an active PAN, banks can collect a TDS rate of 20% on their income.
If any person has an inactive PAN for bank transactions or elsewhere, then it will be considered as not submitted. Under such circumstances, a fine of Rs 10,000, section 272B of the Income Tax Act can be levied. It is mandatory to show PAN under section 139A of the Act. However, there will be no penalty for using an inactive PAN for opening a bank account or getting a driving license.