The Income Tax Department on Tuesday urged taxpayers to link their Permanent Account Number (PAN) with the Aadhaar Card before Friday, May 31. In a post on social media site X, the I-T department noted that failing to do so will lead to tax deductions at a higher rate.
“Kind Attention Taxpayers, Please link your PAN with Aadhaar before May 31st, 2024, if you haven’t already, to avoid tax deduction at a higher rate. Please refer to CBDT Circular No.6/2024 dtd 23rd April, 2024,” it stated.
Further, the central agency said that linking the two “ensures you don’t face higher tax deduction/tax collection under Section 206AA and 206CC of the Income Tax Act, 1961 due to an inoperative PAN for the transactions entered into before March 31st, 2024.