Through a notification, the CBDT amended Income Tax rules and inserted Rule 114AAA, stipulating the “manner of making permanent account number inoperative”. The notification further said that persons whose PANs become inoperative shall be liable for all the consequences under the I-T Act for not furnishing, intimating or quoting the permanent account number.
Till January 27, 2020, over 30.75 crore PANs have already been linked to Aadhaar. However, 17.58 crore PANs are yet to be linked with the 12-digit biometric ID.
“Where a person, who has been allotted the permanent account number as on July1, 2017 and is required to intimate his Aadhaar number under sub-section (2) of section
Through a notification, the CBDT amended Income Tax rules and inserted Rule 114AAA, stipulating the “manner of making permanent account number inoperative”.
The notification further said that persons whose PANs become inoperative shall be liable for all the consequences under the I-T Act for not furnishing, intimating or quoting the permanent account number.
For those linking PAN with Aadhaar after March 31, 2020, the I-T department said it shall “become operative from the date of intimation of Aadhaar number”.
The Supreme Court had in September 2018 declared Aadhaar as constitutionally valid and held that the biometric ID would remain mandatory for the filing of income tax returns and allotment of PAN cards.
Aadhaar is issued by the Unique Identification Authority of India, or UIDAI, to a resident of India and PAN is a 10-digit alphanumeric number allotted by the income tax department to a person, firm or entity.