FOUNDATION MAGAZINE FINANCIAL ADVICE STOCKLETTERS PORTFOLIO PMS BOOKS
BUY
Aadhaar-PAN Linking: Why Is the CBDT Extending the Deadline with a Twist?
Moneylife Digital Team 01 April 2019
Economy & Nation
After giving taxpayers the run around with frequent threats of action for failing to link the Aadhaar number to the permanent account number (PAN) before 31 March 2019, the Central Board of Direct Taxes (CBDT) has once again extended the deadline to 30 September 2019.
 
However, it is still mandatory for taxpayers to quote their Aadhaar number while filing income tax returns (ITR), which in any case are required to be filed by the 31st July each year. One of the main reasons for the extension of Aadhaar-linking deadline could be the fact that over 20 million PAN-holders have not yet linked their Aadhaar to PAN — this is a large number and it is unclear how many of them do not even have an Aadhaar number. This figure is provided by the tax department itself on its homepage. 
 
On Sunday, 31 March 2019, which was the deadline for the PAN-Aadhaar linkage, the income tax (I-T) department, issued a circular for extending the deadline and asking taxpayers to mandatorily quote Aadhaar number in their ITRs. For regular taxpayers it is important to note that the mandatory requirement of quoting Aadhaar number in their ITRs to be filed by July stays.
 
As per the I-T department’s own data, as on 28 February 2019, there were 83.5 million user registered on its e-filing website. 
 
 
This also means, these many people possess PAN. However, out of this, only 71% or 59.3 million users have linked PAN and Aadhaar, as per the data from I-T department. In other words, there are still 24.2 million PAN-holders who have not linked their Aadhaar numbers. 
  
 
(Data as per I-T e-filing home page, where the number of individual registered users is not yet updated)
 
All those who have PAN and are registered on the I-T department website, however, are not taxpayers. During FY18-19, there were 64.0 million taxpayers across India.
 
 
No adverse action for ITR filed without Aadhaar before 1 April 2019
 
Providing a small relief for taxpayers who had filed returns without quoting an Aadhaar number, the CBDT circular says, there will not be any action and ITRs of such taxpayers would continue to be processed. 
 
 
In the circular, R Rajarajeswari, under secretary (ITA II) in CBDT, says, “Returns, which were filed prior to 1 April 2019 without quoting of Aadhaar number as an outcome of any decision of different high courts in a specific case, or returns, which were filed during the period when the online functionality for filing the return without quoting of Aadhaar number was so available in the aftermath of decision of Delhi HC on 24 July 2018, till it was withdrawn post decision of constitution bench of the Supreme Court dated 26 September 218, would also be taken up for processing without causing any adverse consequence for non-quoting of Aadhaar as per provision of section 139AA of the I-T Act.”
Comments
S KINGSLEY MARTIN
6 years ago
Income tax department hasn't takes into account the diversity of our nation. In Tamilnadu, we don't use surname or family name. Instead, we use initials from our father's name. So in my case, all my documents will reflect my name with initial, while income tax asks for Surname without which one cannot get a PAN. So I use my father's name as surname. Though I have been able to link my PAN and aadhaar as website had a provision for mentioning the names in both sadness and PAN, I have problems with my PF account!
Reply
Mohan Krishnan
6 years ago
There are people who have more than one PAN card which they use for asset transactions ( mainly land and real estate). Now they have to make one than one Aadhar for proper linkage. IT dept knows this very well, yet easy going.
Reply
Array
  • EDITORS'
    PICKS
  • MOST
    POPULAR
  • MOST
    READ
Free Helpline
Legal Credit
Feedback
Buy Now!

Absolute Power

Inside story of the National Stock Exchange’s amazing success, leading to hubris, regulatory capture and algo scam

View Options

The Scam: Now in it's 12th Printing

29 Years Of The Scam: The Perennial Bestseller, reads like a Thriller!
#Scam92: Read the actual story.

Buy Now Gift Know More

Moneylife Online Magazine

Fiercely independent and pro-consumer information on personal finance.

1-year online access to the magazine articles published during the subscription period.
Access is given for all articles published during the week (starting Monday) your subscription starts. For example, if you subscribe on Wednesday, you will have access to articles uploaded from Monday of that week.
This means access to other articles (outside the subscription period) are not included.
Articles outside the subscription period can be bought separately for a small price per article.

Buy Now Gift Know More

Monthly Digital Access

Fiercely independent and pro-consumer information on personal finance.

30-day online access to the magazine articles published during the subscription period.
Access is given for all articles published during the week (starting Monday) your subscription starts. For example, if you subscribe on Wednesday, you will have access to articles uploaded from Monday of that week.
This means access to other articles (outside the subscription period) are not included.
Articles outside the subscription period can be bought separately for a small price per article.

Buy Now Know More

Full Archive access

Fiercely independent and pro-consumer information on personal finance.
Complete access to Moneylife archives since inception ( till the date of your subscription )

Buy Now

Stockletters in 5 Flavours

Outstanding research that beats mutual funds year after year

Buy Now Know More

MAS: Complete Online Financial Advisory

(Includes Moneylife Online Magazine)

Buy Now Know More
We are listening!
Reset
Success!

To continue

Please

or

With