Income–tax (Fifth Amendment) Rules, 2019

The Central Board of Direct Taxes (CBDT) on August 30, 2019, has published the Income–tax (Fifth Amendment) Rules, 2019 which shall be in force from 1st September 2019.

The following amendments are brought under rule 114 of Income-tax Rules, 1962 which specifies the procedure for application for allotment of a permanent account number.

As per the latest amendment any Aadhaar card holder, who has not been allotted a PAN card but has quoted his Aadhaar number in lieu of PAN shall be deemed to have applied for allotment of PAN. The ITR filer will not be required to apply or submit any documents under this rule.

Under such cases, the The Principal Director General of Income-tax (Systems) or Director General of Income-tax (Systems) will obtain demographic information from the Unique Identification Authority of India (UIDAI) and issue a new Permanent Account Number (PAN).

The latest amendment further suggests that the income tax department will specify the format and procedure for: Quoting of Aadhaar number in case you do not have a PAN; Applying for PAN just by using your Aadhaar; Authenticating your Aadhaar number for this purpose.

Click here to read the notification.