Executive Summary:
This notification from the Central Board of Direct Taxes amends the Incometax Rules, 1962, to specify the manner of making a Permanent Account Number (PAN) inoperative. It addresses situations where individuals with PANs as of July 1, 2017, fail to link their Aadhaar number by March 31, 2020. The amendment outlines the consequences of an inoperative PAN and the process for reactivating it.
Key Points / Main Content:
Aadhaar-PAN Linking:
* If a PAN holder, as of July 1, 2017, is required to intimate their Aadhaar number but fails to do so by March 31, 2020, their PAN becomes inoperative.
Consequences of Inoperative PAN:
* An individual with an inoperative PAN will be deemed to have not furnished, intimated, or quoted their PAN as required by the Income-tax Act, 1961.
* They will be liable for all consequences under the Act for such non-compliance.
Reactivation of PAN:
* If the individual intimates their Aadhaar number after March 31, 2020, their PAN becomes operative again from the date of intimation.
* From that date forward, the consequences of having an inoperative PAN will cease to apply.
Formats and Standards:
* The Principal Director General of Income-tax Systems or Director General of Income-tax Systems will specify the formats, standards, and procedures for verifying the operational status of PANs.
Impact Analysis:
Individual PAN Holders:
Impact: Individuals who held a PAN as of July 1, 2017, and are required to link it with their Aadhaar number, are impacted. Failure to link by March 31, 2020, renders their PAN inoperative, leading to potential penalties and inability to perform transactions requiring PAN.
Action Required: Those who have not linked their PAN with Aadhaar and are required to do so should immediately intimate their Aadhaar number to avoid or rectify an inoperative PAN.
Income Tax Department:
Impact: The department is responsible for implementing and enforcing the new rules regarding PAN inoperability.
Action Required: The Principal Director General of Income-tax Systems or Director General of Income-tax Systems must specify the formats, standards, and procedures for verifying the operational status of PANs.
Entities Requiring PAN for Transactions:
Impact: Entities that require individuals to furnish, intimate, or quote their PAN will be affected, as they need to ensure the PAN provided is operative.
Action Required: Develop processes to verify the operational status of PANs provided by individuals to ensure compliance with the Income-tax Act.
Key Entities Referenced
Income-tax Act, 1961: An Act of the Parliament of India that governs income tax.
Central Board of Direct Taxes: A statutory authority functioning under the Department of Revenue, Ministry of Finance, Government of India. It is responsible for the administration of direct tax laws.
Income-tax Rules, 1962: The rules framed under the Income-tax Act, 1961, for its implementation.
New Delhi: The capital of India, where the notification was issued.
Aadhaar: A 12-digit individual identification number issued by the Unique Identification Authority of India.
Permanent Account Number: A ten-digit alphanumeric identifier, issued by the Income Tax Department.
Ministry of Finance: A ministry within the Government of India responsible for the country's finances and economy.
Department of Revenue: A department within the Ministry of Finance responsible for tax collection.
रजिस्ट्री स.ं डी.एल.- 33004/99 REGD. NO. D. L.-33004/99
xxxGIDHxxx
सी.जी.-डी.एxलx.x-GअI.D-1Ex4x0x2 2020-216151
CG-DL-E-14022020-216151
असाधारण
EXTRAORDINARY
भाग II—खण् ड 3—उप-खण् ड (i)
PART II—Section 3—Sub-section (i)
प्राजधकार से प्रकाजित
PUBLISHED BY AUTHORITY
सं. 94] नई ददल्ली, बृैस्ट् पजतिार, फरिरी 13, 2020/माघ 24, 1941
No. 94] NEW DELHI, THURSDAY, FEBRUARY 13, 2020/MAGHA 24, 1941
जित् त मं्ालय
(रािस्ट् ि जिभाग)
(केन्द रीय प्रत् यक्ष कर बरडड)
अजधसूचना
नई ददल्ली, 13 फरिरी, 2020
सा.का.जन.112(अ).—केन्दर ीय प्रत् यक्ष कर बरडड, आयकर अजधजनयम, 1961 (1961 का 43) की धारा 295
के साथ पठित धारा 139 कक की उपधारा (2) के परंतुक द्वारा प्रदत् त िजत तयक का प्रयरग करते ए,एआ आयकर जनयम,
1962 का और संिरधन करने के जलए जनम् नजलजखत जनयम बनाता ै , अथाडत्:-
1. संजक्ष प् त नाम और प्रारंभ- (1) इन जनयमक का संजक्ष प् त नाम आयकर (पांचिां संिरधन) जनयम, 2020 ै ।
(2) ये रािप् में उनके प्रकािन की तारीख कर प्रिृत्त ैकगे ।
2. आयकर जनयम, 1962 में जनयम 114कक के पश् चात् जनम् नजलजखत जनयम अंत:स्ट् थाजपत दकया िाएगा, अथाडत्:-
“114ककक. स्ट् थायी खाता सं यांक कर अप्रितडनीय बनाने की रीजत- (1) िैां दकसी व् यजत त कर 1 िुलाई,
2017 कर स्ट् थायी खाता सं यांक आिंठकत दकया गया ै और धारा 139कक की उपधारा (2) के अधीन उस
आधार सं यांक कर सूजचत दकया िाना अपेजक्ष त ै , यदद तारीख 31 माचड, 2020 कर या उससे पूिड िै उसकी
सूचना देने में जिफल रैता ै , तर ऐसे व् यजत त का स्ट् थायी खाता सं यांक उत त तारीख के िीक पश् चात् इस
अजधजनयम के अधीन प्रस्ट्तुत करने, सूजचत करने या उद्धृत करने के प्रयरिनक के जलए अप्रितडनीय ैर िाएगा ।
889 GI/2020 (1)2 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II—SEC. 3(i)]
(2) िैां दकसी व् यजत त, जिसका स्ट् थायी खाता सं यांक उपधारा (1) के अधीन अप्रितडनीय ैर गया ै , कर इस
अजधजनयम के अधीन स्ट् थायी खाता सं यांक प्रस्ट्तुत, सूजचत या उद्धृत करना अपेजक्ष त ै , िैााँ यै समझा
िाएगा दक उसने इस अजधजनयम के उपबंधक के अनुसार स्ट् थायी खाता सं यांक, यथाजस्ट् थजत, प्रस्ट्तुत, सूजचत या
उद्धृत नैीं दकया और िै इस अजधजनयम के अधीन स्ट् थायी खाता सं यांक प्रस्ट्तुत, सूजचत या उद्धृत नैीं
करने के सभी पठरणामक के जलए दायी ैरगा ।
(3) िैां उपजनयम (1) में जिजनर्ददष् क दकसी व् यजत त ने अपना आधार सं यांक धारा 139कक की उपधारा (2)
के अधीन तारीख 31 माचड, 2020 के पश् चात् सूजचत दकया ै , िैााँ उसका स्ट् थायी खाता सं यांक सूचना देने
की तारीख से इस अजधजनयम के अधीन आधार सं यांक प्रस्ट्तुत करने, सूजचत करने या उद्धृत करने के प्रयरिनक
के जलए ददया ए,आ समझा िाएगा और उपजनयम (2) के उपबंध सूचना देने की ऐसी तारीख से लागू नैीं ैकगे ।
(4) प्रधान आय-कर मैाजनदेिक (प्रणाली) या आय-कर मैाजनदेिक (प्रणाली), उपजनयम (1) और उपजनयम
(2) के अधीन स्ट् थायी खाता सं यांक के प्रितडनीय ैरने की प्राजस्ट् थजत का सत् यापन करने ैेतु प्रदाया के साथ
रूपजिधान और मानक जिजनर्ददष् क करेगा ।”
[अजधसूचना सं.11/2020/फा.सं. 370149/166/2019-कीपीएल]
अंकुर गरयल, अिर सजचि
ठकप्प ण: मूल जनयम, भारत के रािप्, असाधारण, भाग II, खंड 3, उपखंड (ii) का.आ. सं यांक 969 (अ), तारीख
26 माचड, 1962 द्वारा प्रकाजित दकए गए और अजधसूचना सा.का.जन. सं. 110(अ), तारीख 12th फरिरी,
2020 द्वारा अंजतम बार संिरजधत दकए गए ।
MINISTRY OF FINANCE
(Department of Revenue)
(CENTRAL BOARD OF DIRECT TAXES)
NOTIFICATION
New Delhi, the 13th February, 2020
G.S.R. 112(E).—In exercise of the powers conferred by proviso to sub-section (2) of section 139AA
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 Income-tax Rules, 1962, namely:-
1. Short title and commencement. - (1) These rules may be called the Income-tax (5th Amendment)
Rules, 2020.
(2) They shall come into force from the date of their publication in the Official Gazette.
2. In the Income-tax Rules, 1962, after rule 114AA, the following rule shall be inserted, namely:-
“114AAA. Manner of making permanent account number inoperative. (1) Where a person, who
has been allotted the permanent account number as on the 1st day of July, 2017 and is required to
intimate his Aadhaar number under sub-section (2) of section 139AA, has failed to intimate the same
on or before the 31st day of March, 2020, the permanent account number of such person shall become
inoperative immediately after the said date for the purposes of furnishing, intimating or quoting under
the Act.
(2) Where a person, whose permanent account number has become inoperative under sub-rule (1), is
required to furnish, intimate or quote his permanent account number under the Act, it shall be deemed
that he has not furnished, intimated or quoted the permanent account number, as the case may be, in
accordance with the provisions of the Act, and he shall be liable for all the consequences under the Act
for not furnishing, intimating or quoting the permanent account number.
(3) Where the person referred to in sub-rule (1) has intimated his Aadhaar number under sub-section
(2) of section 139AA after the 31st day of March, 2020, his permanent account number shall becomeभाग II खण् ड (i) भारत का रािप् : असाधारण 3
operative from the date of intimation of Aadhaar number for the purposes of furnishing, intimating or
quoting under the Act and provisions of sub-rule (2) shall not be applicable from such date of
intimation.
(4) The Principal Director General of Income-tax (Systems) or Director General of Income-tax
(Systems) shall specify the formats and standards along with the procedure for verifying the operational
status of permanent account number under sub-rule (1) and sub-rule (2).”.
[Notification No.11/2020/F.No. 370149/166/2019-TPL]
ANKUR GOYAL, Under Secy.
Note : The principal rules were published in the Gazetted of India, Extraordinary, Part-II, Section-3, Sub -
section (ii) vide number S.O. 969 (E), dated the 26th March, 1962 and were last amended vide
notification number G.S.R. 110(E), dated the 12th February, 2020.
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