The Income Tax Department on Tuesday issued a reminder, urging taxpayers to link their Permanent Account Number (PAN) with Aadhaar by May 31, 2024. The I-T department, in a post on X, said that those who fail to meet the deadline will face a higher rate of tax deduction at source (TDS).
Taxpayers are reminded by the Income Tax Department to link their Permanent Account Number (PAN) to Aadhaar by May 31, 2024. The notice underlines how crucial it is to meet this deadline in order to prevent more tax deductions at source (TDS). It was posted on X, previously Twitter.
The Income Tax Department notified taxpayers of the important deadline on May 28, 2024, through social media. The department stated in its post that there would be a higher rate of TDS if PAN and Aadhaar were not linked.
"Kind attention taxpayers, please link your PAN with Aadhaar before May 31, 2024... Linking your PAN with your Aadhaar by May 31 ensures you don’t face higher tax deduction/tax collection under Section 206AA and 206CC of the Income Tax Act, 1961, due to an inoperative PAN for transactions entered into before March 31, 2024," the post read.
Kind Attention Taxpayers,
Please link your PAN with Aadhaar before May 31st, 2024, if you haven’t already, in order to avoid tax deduction at a higher rate.
Please refer to CBDT Circular No.6/2024 dtd 23rd April, 2024. pic.twitter.com/L4UfP436aI
If taxpayers fail to meet the linking requirement by the deadline, they will be subject to severe financial penalties. In particular, they will be liable to increased tax deductions and collections under the 1961 Income Tax Act Sections 206AA and 206CC. The purpose of this action is to expedite tax administration and ensure compliance.
How to link PAN with Aadhaar card?