Filing Income Tax Return without PAN-Aadhaar Link: What You Need to Know

Introduction

For every taxpayer, submitting income tax returns (ITR) is a critical duty. However, when their PAN card is not connected to their Aadhaar card, many people experience difficulties. We shall examine how to file an ITR even without a PAN-Aadhaar link in this article. We will go over how to file an ITR with an invalid PAN and the various tax payment choices. Let's start now!

Understanding the PAN-Aadhaar Link

The PAN-Aadhaar link is an essential requirement for taxpayers in India. It helps streamline the income tax filing process and ensures accurate reporting of financial transactions. However, individuals may sometimes forget to link their PAN with Aadhaar by the given deadline. In such cases, they can still proceed with filing their income tax returns.

Filing ITR with an Inoperative PAN

The good news is that the Income Tax Department allows individuals to file their ITR even if their PAN is inoperative. The ITR e-filing portal does not mandate the PAN-Aadhaar link at the time of filing. This means that individuals can file their income tax returns without any hindrance.

To initiate the process of filing ITR with an inoperative PAN, follow these steps:

1. Log in to the income tax e-filing portal using your credentials.
2. Click on the "e-file" tab and select "Income Tax Return."
3. Choose the relevant assessment year and ITR form.
4. Fill in the required details accurately, including income, deductions, and tax liability.
5. Verify the information provided and submit the ITR.
6. Generate the acknowledgement form (ITR-V) for further processing.

Remember that even if your PAN is not connected to Aadhaar, the ITR e-filing platform will not prevent you from filing your income tax return. However, in order to receive some benefits, such tax refunds and interest on refunds, it is essential to finish the PAN-Aadhaar linking process.

Payment Options for Taxes

While filing your ITR with an inoperative PAN, you may also need to make tax payments. Active PAN status is essential for tax payments, regardless of whether the PAN is inoperative or not. Therefore, individuals with an inoperative PAN can still pay their taxes using the following options:

1. Pay Now: If you have an active PAN, you can make immediate tax payments while filing your ITR.
2. Pay Later: This option allows you to file your ITR first and pay the pending taxes at a later date. However, opting for the "Pay Later" option may result in being considered a taxpayer in default, potentially incurring interest on tax payable.

It is important to note that tax payments should be made within the specified timeline to avoid penalties or interest charges.

Verifying the Filed ITR

After successfully filing your ITR, it is crucial to verify the filed return within the given timeframe. Income tax laws provide individuals with 30 days to verify their filed ITR. Failure to verify the ITR within this period will be considered as non-filing of the return.

To verify your filed ITR, you can choose from various methods, such as:

1. Aadhaar OTP: If your PAN is linked with Aadhaar, you can use Aadhaar OTP for verification.
2. Digital Signature Certificate (DSC): Individuals with a DSC can verify their ITR using this method.
3. EVC Generation: Electronic Verification Code (EVC) can be generated through net banking, ATM, or other methods specified by the income tax department.
4. Sending ITR-V to CPC, Bangalore: Individuals can also choose to send a signed copy of ITR-V to the Centralized Processing Centre (CPC) in Bangalore for verification.

Remember, verifying your filed ITR is crucial to ensure its acceptance and process any refunds, if applicable.

Receiving Income Tax Refunds

If you are eligible for an income tax refund, the tax department will not release the refund until your PAN is linked with Aadhaar. Therefore, individuals with an inoperative PAN cannot receive refunds until the PAN-Aadhaar link is completed.

However, it is important to note that individuals can still claim the rebate under section 87A, even if their PAN is inoperative. This rebate provides relief to individuals with net taxable income below a specified threshold.

Conclusion

Filing income tax returns is a mandatory obligation for taxpayers, and the absence of a PAN-Aadhaar link should not hinder the process. Individuals can file their ITR even without a PAN-Aadhaar link, ensuring timely compliance with tax regulations.

Remember to complete the PAN-Aadhaar linking process to avail various benefits, such as tax refunds and interest on refunds. Stay updated with the latest guidelines and deadlines provided by the income tax department to ensure a smooth and hassle-free ITR filing experience.