Penalty for linking Aadhar PAN reduced for first three months i.e. April 2022 to June 2022
We had discussed in our earlier post that a Late fees of Rs. 1,000 will be levied u/s 234H if the PAN and Aadhar are not linked till 31.03.2022.
To read earlier post CLICK HERE: Due date to link PAN and Aadhar is 31.03.2022 | Penalty of Rs. 1,000 for not linking PAN-Aadhar and Higher rate of TDS – Taxontips
However, Income Tax department has vide notification no. 17/2022 Dt. 29.03.2022 reduced the late fees amount to Rs. 500 if the assessee links Aadhar and PAN within 3 months and Rs. 1,000 after that.
Relevant extract from notification is as under:
“In exercise of the powers conferred by sections 139AA and 234H read with section 295 of the Income-tax Act, 1961 (43 of 1961), the Central Board of Direct Taxes hereby makes the following rules further to amend the Income-tax Rules, 1962, namely: ‒
1. Short title and commencement: – (1) These rules may be called the Income-tax (Third Amendment) Rules, 2022.
(2) They shall come into force from the 1st day of April, 2022.
2. In the Income-tax Rules, 1962 (herein after referred to as principal rules), in rule 114, after sub-rule 5, the following sub-rule shall be inserted, namely: —
“(5A) Every person who, in accordance with the provisions of sub-section (2) of section 139AA, is required to intimate his Aadhaar number to the prescribed authority in the prescribed form and manner, fails to do so by the date referred to in the said sub-section, shall, at the time of subsequent intimation of his Aadhaar number to the prescribed authority, be liable to pay, by way of fee, an amount equal to, —
(a) five hundred rupees, in a case where such intimation is made within three months from the date referred to in sub-section (2) of section 139AA; and
(b) one thousand rupees, in all other cases.”.
3. In the Principal rules, in rule 114AAA, —
(a) in sub-rule(1), for the figures “2020”, the figures “2022” shall be substituted;
(b) after sub-rule (2), the following proviso shall be inserted, namely:-
“Provided that the provisions of this sub-rule shall have effect from the date specified by the Board.”;
(c) in sub-rule (3), for the figures “2020”, the figures, words and letter „2022, after payment of fee in accordance with sub-rule (5A) of rule 114,‟ shall be substituted.
To read the notification CLICK HERE
To understand how to link PAN and Aadhar CLICK HERE.
You can book phone consultation/ assistance online with expert as mentioned below:
To book ITR filing with experts CLICK ME.
To book phone consultation with experts for any Income tax related matters CLICK ME.
To book consultation for Faceless Assessment with experts CLICK ME.
To book phone consultation with experts for GST related matters CLICK ME.
To book general phone consultation with expert CLICK ME.