Why pan card link with aadhar & Why is linking PAN with Aadhaar not mandatory for the people of Assam ,MEGHALAYA or JAMMU & KASHMIR ?"

 Why pan card link with aadhar & Why is linking PAN with Aadhaar not mandatory for the people of  ASSAM ,MEGHALAYA or JAMMU & KASHMIR ?

The PAN-Aadhaar link is mandatory as per Section 139AA of the Income Tax Act, 1961. This section was introduced through the Finance Act, 2017 and requires all individuals to link their PAN (Permanent Account Number) with Aadhaar number. The deadline to link PAN with Aadhaar has been extended several times and is currently extended till 30th June 2023.

The primary objective of linking PAN with Aadhaar is to curb tax evasion and to maintain financial transparency. Linking PAN with Aadhaar will help to identify and eliminate the use of multiple PAN cards, which is a common practice used by people to evade taxes. It will also help in detecting fraudulent financial transactions and preventing the generation of black money.

Moreover, linking PAN with Aadhaar will make it easier for individuals to file their income tax returns and avail various financial services. With the PAN-Aadhaar link, individuals can verify their identity and access various government schemes and subsidies.

In summary, the PAN-Aadhaar link is essential for maintaining financial transparency, curbing tax evasion, and ensuring that individuals have a single identity for financial transactions and government schemes.

As per my knowledge cutoff of September 2021, linking PAN with Aadhaar is mandatory for all individuals in India, including those residing in the state of Assam. This requirement has been mandated under Section 139AA of the Income Tax Act, 1961 and is applicable to all residents of India who hold a PAN.

However, it is important to note that the Supreme Court of India has given a judgement in September 2018, in which it has declared that it is not mandatory to link PAN with Aadhaar for availing various services including opening of bank accounts, issuance of new SIM cards, and for admission in schools. However, linking PAN with Aadhaar is still mandatory for filing income tax returns and for any other income tax related purposes.

It is advisable for individuals residing in Assam to link their PAN with Aadhaar to avoid penalties and to ensure that their PAN remains valid for income tax purposes.