New Delhi: According to the Income Tax Department, PAN users who have not linked their PAN with Aadhaar by June 30, 2023, their PAN will become inactive or invalid from July 1. invalid. At the same time, if PAN is invalid, people will have to pay heavy tax on 3 types of money transactions.
Income Tax Department issues PAN card to every citizen. With its help, it helps in monitoring the financial transactions of people and helps in preventing cases like tax evasion and fraud. At the same time, PAN is also used as an identity card for citizens.
Rs 10,000 fine for using an inoperative PAN
The Income Tax Department has been appealing to link PAN users with Aadhaar since last year. First the facility of free linking was also given and the last deadline for linking was also extended 2 times. But, the PAN which is not linked to Aadhaar till June 30, has been told to become inactive from July 1. The Income Tax Act provides for a fine of Rs 10,000 for using an invalid PAN.
3 financial transactions where higher tax will be payable on invalid PAN
- The sale or purchase of a vehicle other than a motor vehicle or a two-wheeler will attract higher tax.
- An additional tax will be payable on the sale or purchase of any immovable property of an amount of Rs 10 lakh or more. Or according to Section 50C of the Income Tax Act, more tax will have to be paid if the valuation exceeds Rs 10 lakh by the Stamp Valuation Authority.
- Additional tax will have to be paid on every transaction above Rs 2 lakh on the purchase or sale of goods other than immovable property and vehicles.
