Section 139AA of ITA, 1961 : Section 139Aa: Quoting Of Aadhaar Number

Explanation using Example

Imagine a scenario where Priya, an Indian citizen, has recently started a freelance graphic design business. As her income starts to increase, she decides to file her income tax returns for the first time. Since she is earning and now falls into the tax-paying bracket, she needs to apply for a Permanent Account Number (PAN).

According to Section 139AA of the Income-tax Act, 1961, Priya must quote her Aadhaar number while applying for the PAN. Since it's after July 1, 2017, she ensures that she fills in her Aadhaar number in the PAN application form.

Later in the year, when Priya prepares to file her income tax returns, she remembers that she also needs to quote her Aadhaar number on the return forms as mandated by the same section of the Income-tax Act.

In case Priya did not have an Aadhaar number but had applied for it, she would need to provide the Enrolment ID given to her at the time of Aadhaar enrolment.

Furthermore, if Priya had already been allotted a PAN before July 1, 2017, she would be required to link her PAN with her Aadhaar number by intimating the authorities, failing which her PAN could become invalid.

This section, however, does not apply to individuals who are exempted by the Central Government and notified in the Official Gazette.