Aadhaar-PAN Not Linked? Income Tax Refund Can't Be Issued, NRI Gets Message

New Delhi: The Central Board of Direct Taxes (CBDT) has been postponing the PAN-Aadhaar linking deadline numerous times since March 31, 2022, however from June 30, 2023, the deadline ended. The final deadline to link PAN Card with Aadhaar Card was June 30, 2023, post which the financial document would become inoperative.

Meanwhile, an NRI tax payer has posted in his twitter that he filed his tax returns (ITR for Ay 2023-24), but when he tried to check the refund status, a message prompted that sine his PAN card was inoperative, refund could not be issued. 

“Refund cannot be issued as PAN is inoperative, Kindly link your PAN with Aadhaar after paying requisite fees u/s 234H” said the message.

@IncomeTaxIndia I filed my ITR AY2023-24Under NRI Category, I login & Check the status of my Refund,it's showing the Pan inoperative message.what shd NRI do when they don't have Aadhar? pic.twitter.com/gg16zr9VZh — Hari Krishna Gangidi (@ghari36) July 10, 2023

Responding to his tweet, the Income Tax department has said, "Please write to us with your/ taxpayer’s details, along with colour-scanned copy of PAN and copy of documents in support of non-resident status (passport showing period of residence outside India) via email at adg1.systems@incometax.gov.in & jd.systems1.1@incometax.gov.in. Our team will look into it."

Dear @ghari36,

Please write to us with your/ taxpayer’s details, along with colour-scanned copy of PAN and copy of documents in support of non-resident status (passport showing period of residence outside India) via email at adg1.systems@incometax.gov.in &… — Income Tax India (@IncomeTaxIndia) July 10, 2023

PAN-Aadhaar Linking Deadline And Its Consequences

On 28 March 2023, the Income Tax department had said that the date for intimating Aadhaar to the prescribed authority for the purpose of linking PAN and Aadhaar has now been extended to 30th June, 2023.

From 1st July, 2023, the PAN of taxpayers who have failed to intimate their Aadhaar, as required, shall become inoperative and the consequences during the period that PAN remains inoperative will be as follows:

A.no refund shall be made against such PANs;

B. interest shall not be payable on such refund for the period during which PAN remains inoperative;  and

C. TDS and TCS shall be deducted /collected at higher rate, as provided in the Act.

The PAN can be made operative again in 30 days, upon intimation of Aadhaar to the prescribed authority after payment of fee of Rs 1,000.

Those persons who have been exempted from PAN-Aadhaar linking will not be liable to the consequences mentioned above. This category includes those residing in specified States, a non-resident as per the Act, an individual who is not a citizen of India or individuals of the age of eighty years or more at any time during the previous year.