• By ADMIN
• Posted 16 Jun, 2021
• 12294
• 1

Consequences of non-linking of Aadhaar with PAN

The last date to link aadhaar with PAN using www.incometax.gov.in is 30.06.2021

Consequences of non-linking are as follows

1. Higher rate of TDS/TCS will be deducted agains those PAN in which aadhaar is not linked, which could be 20%. On the other hand it would have been much lesser under relevant provisions

Click here to check the linked status

Click here to link aadhaar with PAN

2. If aahaar linked to PAN after the above date or [extended date if any] then a fee not exceeding Rs.1,000 could be paid upon intimation of aadhaar at a later date. (Sec 234H)

3. The following are the situations in which PAN is required to be submitted, if not submitted then a penalty of Rs.10,000 (Sec 272B) may be required to be paid for non-submission. Non-linking of aadhaar leads to treating submitted PAN is not submitted consequently, the penalty notice could be issued by Income-tax department

a. Every person have to quote PAN in case of all transactions of sale or purchase of any goods or services where amount exceeds Rs.2 Lakhs. 

b. PAN will have to be quoted while purchasing any motor vehicle except two wheeler.

c. For opening a bank account or demat account, PAN will have to be quoted.

d.PAN to be quoted in case the hotel or restaurant bill paid in cash in excess of Rs.50,000.

e. If the payment for the purpose of foreign tour or for purchasing foreign currency exceeds Rs.50,000 in cash, PAN will have to be quoted.

f. Deposit of money in bank or to buy the mutual fund, PAN will have to be quoted.

g. PAN will have to be quoted in case the amount of sale or purchase of immovable property exceeds Rs.10 Lakh.

h. PAN will have to be quoted for the transactions on which TDS or TCS have to be deducted as indicated in point 1 above.