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Non-linkage of PAN-Aadhaar: CBDT gives partial relief to tax deductors

As per CBDT, transactions entered into up to March 31, 2024, and in cases where the PAN becomes operative by May 31, no liability to deduct or collect tax at a higher rate.

No action for short deduction of TDS if PAN linked with Aadhaar by May 31

No action for short deduction of TDS if PAN linked with Aadhaar by May 31
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Deductors can collect TDS/TCS at normal rates even if PAN is not linked to Aadhaar by May 31

Deductors can collect TDS/TCS at normal rates even if PAN is not linked to Aadhaar by May 31
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Individuals get relief from income tax demand for short deduction of TDS due to inoperative PAN of deductee

Those individuals who have deducted a lower amount of TDS from the TDS deductee despite the deductee having an in-operative PAN would not get relief.

No Action for Short Deduction of TDS, If PAN Linked With Aadhaar by May 31

As per income tax rules, if a Permanent Account Number (PAN) is not linked with biometric Aadhaar, TDS is required to be deducted at double the applicable rate

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