The end of March has arrived. Everything has changed, from milk prices to LPG prices to several government-department restrictions. The Indian government has set the month's final day as the deadline for some.
The linkage of the PAN card and the Aadhaar card is one example. The Central Board of Direct Taxes (CBDT) has informed PAN holders that their business and tax-related facilities will cease functioning if they do not follow the government's directives by March 31. In other words, their account will be suspended.
Of the 61 billion Permanent Account Numbers (PAN), 48 billion have been connected to the Unique Identification Number Aadhaar. However, 13 crore people's PAN-Aadhaars have yet to be connected. The government has now warned these individuals and fixed a deadline for linking.
The deadline date is March 31.
If this is not done by March 31, individuals will not be eligible for benefits in business and tax-related activities. Nitin Gupta, the chairman of the Central Board of Direct Taxes (CBDT), stated that although many crores of PANs still need to be linked with Aadhaar, this task is expected to be finished by the deadline date. This is because the government has mandated that PAN and Aadhaar be linked.
It has been said that individual PANs unconnected to Aadhaar will be deemed inactive after this date, set as March 31, 2023. In addition, the government has stated that a cost of Rs 1,000 will be required from now until March 31 to link PAN with Aadhaar.
The PAN card will be deactivated if not linked.
The head of CBDT stated that numerous awareness programs on linking PAN with Aadhaar had been launched, and we have repeatedly extended this deadline. The holder will not be eligible for tax benefits since his PAN will expire in March if it is not linked to his Aadhaar by the deadline. The CBDT clarified in a circular released last year that the individual will suffer all the consequences outlined in the Income Tax Act once PAN becomes inoperative.
This includes instances like the failure to file income tax returns and the failure to process pending returns. Additionally, he added that the budget announcement to make PAN a universal identity would be advantageous for the business community. In the budget, Finance Minister Nirmala Sitharaman declared that commercial organizations will now utilize PAN as a standard identification in the digital systems of governmental organizations.