Income Tax

Consequence of not linking PAN with Aadhaar-Validity of transactions previously done

Consequence of not linking PAN with Aadhaar-Validity of transactions previously carried out through such PAN

The existing proviso to the sub-section (2) of section 139AA, provides that the PAN allotted to a person shall be deemed to be invalid, in case the person fails to intimate the Aadhaar number, on or before the notified date.

In order to protect validity of transactions previously carried out through such PAN, the Union Budget 2019-20 has proposed to amend the said proviso so as to provide that if a person fails to intimate the Aadhaar number, the PAN allotted to such person shall be made inoperative in the prescribed manner.

This amendment will take effect from 1st September, 2019.

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