10 Benefits of Linking Aadhaar with PAN and Mobile Number
Posted: Sep 18, 2018
Over the last few months, there has been a lot of commotion surrounding the Aadhaar Card. The Government has been stressing on linking the Aadhaar card to your PAN card, mobile number and a bunch of other important facilities. However, each time they give you a deadline to link your Aadhaar card, the Supreme Court steps in and rules out the order or extends the date. This might have left you confused. To get answers of questions like how to link pan card with aadhar card or Should you be linking your Aadhaar card or not? have a look at below mentioned points: According to the recent Supreme Court update, linking your Aadhaar to your mobile number is not mandatory. However, when it comes to an important identification document like your PAN, it has only extended the deadline.
Either way, whether it is mandatory or not, linking your Aadhaar card to your PAN card and your mobile number has several benefits.
Linking Aadhaar to PAN and Mobile Number
To understand the benefits of linking Aadhaar to PAN and mobile, you first need to know the importance of each medium.
The Permanent Account Number (PAN) card is issued by the Income Tax (IT) Department to identify your unique tax status. It was issued in order to prevent tax evasion as it links all your financial transactions. Through it, the IT department keeps a record of all your major transactions for tax purposes. Since it is linked to your finances, you need the PAN card to open a bank account, apply for a debit/credit card, purchase jewellery, property, or a vehicle, and take loans, deposit cash etc.
The Aadhaar card is a biometric identity card issued to each individual. It consists of a unique 12-digit number, generated after scanning a person biometrically through fingerprints and retina. The advantages of aadhar card is to make your identity universally acceptable. You could use your aadhaar card as proof of identity, proof of address, as well as proof of age when applying for any government service. Moreover, you can also get an E-Aadhaar Card to ease your digital transactions too.
Your mobile number is also an important way to verify your identity. You need it to authenticate a registration, authorise updates, reset passwords, authenticate transactions etc.
Irrespective of the service you use, whether it is registering for an LGP connection, buying a new home, taking a loan or using a bank account, at some point, you will need to use either or all of these mediums.
Having your Aadhaar card, which is considered as a universally accepted identification, linked to your PAN and mobile number will only benefit you but also the government. While it will provide you better security and convenience, it will help the government track fraud.
Here are the benefits of linking Aadhaar to PAN, along with the benefits of linking Aadhaar to mobile number.
1- When e-filing your returns, you would no longer have to send the one-page verification document (ITR-V) to the Income Tax (IT) Department in Bangalore. You can e-verify your return using your Aadhaar card when it is linked to your PAN. This makes the task quicker.
2- Even your IT refund could be accelerated if your Aadhaar and PAN are already mapped.
3- Aadhaar was conceptualised to establish a uniqueness to your PAN card. This reduces the chances of your financial information, which is linked to your PAN, being misused for illegal filings.
4- Linking your unique Aadhaar card to a single PAN will weed out fake PAN cards that people use to conceal their taxable income.
5- PAN is a necessary KYC requirement for bank accounts. When you link your Aadhaar with PAN, it will automatically link it to your bank account too. This will make it easy for the IT department to track everyone’s transactions and tax him or her appropriately. This helps identify tax evaders. To know everything about income tax, click here.
6- Apart from tax evasion, people use fake PAN cards to take multiple loans. Lenders such as banks and financial institutions could avoid these if the borrower had an Aadhaar-linked PAN. This could also be an incentive to process loans quickly. Financial institutions like Bajaj Finserv also give pre-approved loans such as personal loans, business loans, home loans and other financial products. This further quickens the process of applying and availing the loan. All you need to do is share your details and check out your pre-approved offers here.
7- An Aadhaar linked PAN could also help you access your summarised tax details through one unique identification number for future reference.
8- Having the Aadhaar linked to a mobile number could put an end to fake mobile-number crimes.
9- It could help identify SIM cards being issued in the name of fictitious or even real people without their consent.
10- It could help verify and identify all mobile subscribers and help weed out possible criminals and terrorists using unlinked numbers.
While there are a few conflicting debates about it, you have to also consider the benefits of linking your Aadhaar to PAN and the benefits of linking your Aadhaar to mobile number too. If still you have not your aadhar card then you should apply for it following the guide about how to get aadhar card. After getting the Aadhar card if these benefits seem useful to you, you can go ahead and start the linking process.
Aditya Sehgal is a blogger and loves to write on various niches. He is known for his in-depth knowledge on topics such as technology, finance, lifestyle, current trends etc. Being a passionate writer he also contributes his knowledge on various blogs