Step by step Guide to Link PAN card with Aadhaar Card

The following topics have been discussed in this article:

  1. Importance of Linking PAN with Aadhaar
  2. Correction Facilities Launched For Linking PAN with Aadhaar
  3. Procedure to link PAN with Aadhar
    • Through the Income Tax E-filing Website
    • Through SMS
  4. FAQs

1. Importance of Linking PAN Card with Aadhaar Card

All entities have been urged by the Indian government to link their PAN with their Aadhaar for the following reasons:

Eliminate Tax Evasion: Linking the PAN card with the Aadhaar card will enable the government to keep a check on all the taxable transactions made by every taxpayer. The address and identity of such a taxpayer can then be verified through his/her Aadhaar. This will imply that the government will be able to record every taxable transaction and related activities throughout the nation. It will allow the government to keep a detailed record of all those transactions made by a taxpayer which have the potential to attract tax on them. Thus, keeping tabs on the financial transactions will help eliminate tax evasion related activities.

Avoid Multiple PAN Cards: Linking the PAN card with the Aadhaar card will reduce applications for multiple PAN cards. Individuals or entities may apply for more than one PAN for fraudulent motives of tax evasion. Multiple PAN cards will enable entities to use each card for different financial transactions, in order to reduce the payable tax amount. One card may be used for paying taxes while the other may be used in a concealed manner to hide the transactions made under it from the Income Tax Department. Linking PAN to Aadhaar will help in keeping track of the number of PAN cards an entity holds under the same Aadhaar.

Linking PAN with Aadhaar will enable the government to identify the entities by their Aadhaar number. Upon identification, the details of every taxpayer’s financial transactions made through the linked PAN will become available to the government. Multiple PAN cards registered under the same name can then be identified by the government and corrective action can be taken against such entities accordingly.

2. Correction Facilities Launched For Linking PAN card with Aadhaar

The IT department has begun the online facility for correction of errors in the names and other information present on the Aadhaar document and Permanent Account Number (PAN) card. The facilities to link the PAN with the Aadhaar have already been launched by the Income Tax Department of India. Now it has even added two hyperlinks on the official website for e-filing of tax. One link takes to the application page for PAN by an Indian national or a foreigner and the other link takes you to the page where you can update all the vital changes. In accordance to update all the Aadhaar details, an individual can easily log on to the Aadhaar SSUP (Self Service Update Portal). The individual can also upload all the scanned documents that are required as information update request proof.

3. Procedure to Link PAN card with Aadhaar

3.1 Through the Income Tax E-filing Website
Step 1 – Click this link to the Income Tax E-filing website
Step 2 – Enter the PAN, Aadhaar number, and name as mentioned in the Aadhaar Card
Step 3 – Tick the square with the birth year as mentioned in the Aadhaar Card.
Step 4 – Enter the Captcha code.
Step 5 – Click the “Link Aadhaar” tab.

3.2 Through SMS
The PAN can be linked with the Aadhaar number by sending an SMS to 567678 or 56161 from the registered mobile number. To do the same, you can type and send the following SMS:

UIDPAN<12-digit Aadhaar><10-digit PAN>.

4. FAQs for Linking PAN Card with Aadhar

Q: In case I am not eligible to pay tax, should I still get and Aadhaar and link it to my PAN?
A: Yes, it is recommended that you get an Aadhaar card and link it to your PAN card in this case. Most government procedures and benefits mandatorily require the Aadhaar verification now. Thus, it is advisable to apply for an Aadhaar and link it to your PAN so as to validate the latter.

Q: Are NRIs, temporarily residing in India, also required to link their Aadhaar with their PAN?
A: No, the requirement of an Aadhaar to file returns and apply for a PAN is not applicable to Non-Resident Indians (NRIs).

Q: Is creating an account with the income tax department’s website mandatory to link the PAN with the Aadhaar?
A: No, having an account with the income tax department website is not mandatory. A direct link can be followed to easily link the PAN with the Aadhaar of an entity.

Q: I am a previous resident of India who is settled abroad but plans to return to India. Should I apply for an Aadhaar?
A: In case you are planning to stay in India for over 6 months or 182 days, you will be required to make an application for an Aadhaar card upon reaching the country.

This is a guest post by Anil Tanwar, and we do not take responsibility for accuracy of the contents. We are open to guest posts for anyone looking to publish their quality contents in this website.

This post was last modified on April 24, 2019 1:36 pm

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