If you have not done PAN-Aadhaar linking yet, then definitely complete this work by June 30. Failure to do so will make your PAN in-active, which will result in KYC in-completion, which will result in many disadvantages.
More than 50 thousand transactions will also not be possible.
PAN-Aadhaar Linking: The Income Tax Department and the government are constantly appealing to link the PAN card with Aadhaar (Link your PAN and Aadhaar). Apart from this, its deadline is also being increased continuously. Currently, the deadline for linking PAN-Aadhaar is June 30. In such a situation, if your PAN and Aadhaar are not linked yet, then complete this work as soon as possible. Failure to do so may increase your problems.
Those who have not linked Aadhaar-PAN, especially, a question must be arising in their mind that what can be the harm if they do not do so. It is important for such people to know that you will suffer many types of losses. If PAN-Aadhaar is not linked by June 30, your PAN will become in-active from July 1, 2021. This means that your PAN will be of no use.
KYC will be in-complete
Once the PAN card is in-activated, your KYC will also be in-completion as PAN is required for Know Your Customer. Talking about financial loss, if the interest income of more than Rs 10,000 is deposited on your savings account, then TDS is deducted at 10%. However, PAN is necessary for this. In the absence of PAN, 20 percent TDS will be deducted.
PAN required for depositing more than 50 thousand cash
Apart from this, it is necessary to give PAN details of the account holder on depositing 50 thousand or more cash on any account. If the PAN of the account holder is in-active, then the bank will consider it as a wrong PAN number and a penalty of Rs 10,000 can be imposed under the rule.
Provision of penalty of 10 thousand under section 272B
According to section 272B of the Income Tax Act 1961, if there is any violation of the rules of section 139A, then the Assessing Officer under this section can impose a fine of 10 thousand rupees. Under sub-section (1) of section 139A, if someone’s PAN has not been made, then he should apply for his PAN. Apart from this, PAN and Aadhaar can also be linked under 139AA.
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