In a move to provide relief to taxpayers, the Centre has extended the deadline for linking PAN card to Aadhaar card till March 31, 2020. This is the eighth time the government has given an extension to citizens to make sure everyone has enough time to comply to the rule that was brought about in the Union Budget 2017. The finance and taxation sectors have seen many announcements as 2019 came to end. The Central Board of Direct Taxes (CBDT) announced this extension on December 31, 2019.
Many individuals have been unable to link their PAN with Aadhaar due to errors in both documents. This new three-month extension will give everyone ample time to comply. As per Union Budget 2017, it has become mandatory to link both cards, if not, the PAN card will become inoperative if not linked with Aadhaar before the given deadline.
Failure in linking the two cards will affect around 18 financial transactions, which include sale or purchase of a vehicle (excluding two wheelers), applying for debit and credit cards, and opening a demat account among many others as per Rule 114B of the Income Tax Rules, 1962.
To link your cards, via SMS, you need to type a message in the format: UIDPAN <space> <12-digit-Aadhaar no.> <space> <Alphanumeric 10-digit PAN number>. You can send this SMS either to 567678 or 56161 or visit the Income Tax department website and follow the steps given there.