The Central Board of Direct Taxes (CBDT) today said that furnishing the details of Aadhaar is compulsory for filing income tax returns from 1st July 2017.
The Finance Act, 2017 has inserted Section 139AA of the Income Tax Act which provided that quoting of Aadhaar or enrolment ID of Aadhaar application form is mandatory for filing of income tax returns and making application for allotment of PAN (Permanent Account Number) with effect from July 1 this year.
“Those allotted PAN as on July 1 and have Aadhaar number or are eligible to obtain it, shall intimate Aadhaar number to Income Tax authorities for linking PAN and Aadhaar,” the CBDT said in a statement.
The provision has been challenged before the Supreme Court. Last day, the Court had upheld the provision and had partially stayed the application of the provision till the issue is considered by the by the Constitution Bench. While doing so, the Court had people who do not have Aadhaar Card are not bound to apply for it till the final verdict. However, it had clarified that people who have Aadhaar must link it with PAN Card since it is necessary to prevent fake PAN cards.
“Only a partial relief by the Supreme Court has been given to those who do not have Aadhaar and who do not wish to obtain Aadhaar for the time being, that their PAN will not be cancelled so that other consequences under the Income Tax Act for failing to quote PAN may not arise,” the CBDT said.
“However, for non-compliance of the above point No.(ii), only a partial relief by the Court has been given to those who do not have Aadhaar and who do not wish to obtain Aadhaar for the time being, that their PAN will not be cancelled so that other consequences under the Income Tax Act for failing to quote PAN may not arise”, the CBDT also added.
