The Indian authority has proclaimed the extension of the deadline for the conjunction of the Permanent Account Number (PAN) with Aadhaar to the 30th of June, 2023. The previous date was the 31st of March, 2022, which has now been extended due to the persisting COVID-19 pandemic.
The PAN, a distinctive identifier that comprises ten numerals, is allotted by the Income Tax Department of India to individuals and entities who pay income tax. Conversely, Aadhaar is a unique identifier composed of twelve numerals granted by the Unique Identification Authority of India (UIDAI) to Indian inhabitants and citizens.
The government has mandated individuals to connect their PAN with Aadhaar to submit their income tax returns. The intent behind this endeavor is to limit tax evasion and form a more lucid tax system.
What is the Reason for the Deadline Extension?
The COVID-19 pandemic has caused turmoil for several businesses and industries, making it complicated for taxpayers to connect their PAN with Aadhaar before the prior deadline. As a result, the government has concluded to extend the deadline to the 30th of June, 2023, to provide taxpayers with enough time to complete the linkage procedure.
In addition, the administration has simplified the procedure for the conjunction of PAN with Aadhaar by authorizing taxpayers to do it via SMS. Taxpayers can combine their PAN with Aadhaar by transmitting an SMS to either 567678 or 56161. The SMS format is: UIDPAN<SPACE><12-digit Aadhaar><SPACE><10-digit PAN>.
What are the Benefits of Linking PAN with Aadhaar?
Linking PAN with Aadhaar proffers numerous advantages to taxpayers, including:
- Expedited Processing of Income Tax Returns: Linking PAN with Aadhaar guarantees that income tax returns are handled faster, resulting in expeditious reimbursements.
- Elimination of Replicated PANs: Linking PAN with Aadhaar aids in abolishing duplicated PANs, which can lead to confusion and inaccuracies in the tax system.
- User-friendly Authentication: Linking PAN with Aadhaar offers user-friendly authentication, facilitating taxpayers to conform to tax statutes.
Conclusion
To summarize, the Indian government has extended the deadline for connecting PAN with Aadhaar to the 30th of June, 2023. The objective behind this initiative is to provide taxpayers with ample time to conclude the linkage process amid the enduring COVID-19 pandemic. Taxpayers are encouraged to link their PAN with Aadhaar as it avails several benefits, including swift processing of income tax returns, elimination of duplicated PANs, and user-friendly authentication.
