Is you canceling a duplicate Permanent account number

Steps for canceling a duplicate PAN. 

Yes it is possible to delink PAN by sending an email to the ‘income tax systems’. But before that you have to delete or deactivate your duplicate PAN card. For the deletion process you have to visit the income tax office. Submitting a request to cancel a duplicate PAN sounds like a smart move to avoid any future issues. It’s crucial to ensure you provide all the necessary documents and follow the correct procedure. If you’re unsure about any step, it might be helpful to reach out to a tax advisor or the relevant authority for guidance.

Correct steps for canceling a duplicate PAN process: 

It’s crucial to ensure you follow the correct steps for canceling a duplicate PAN. Here’s a summary of the process:

• Go to the NSDL e-gov portal.
• Fill PAN Change Request Form You can do this either online or offline. Make sure to select the option for ‘Cancellation of PAN’ in the application type.
• Under ‘Services’ click on PAN. Attach copies of the PAN card or PAN allotment letter along with any other required documents, such as Aadhaar and PAN copies, as well as the grievance letter if necessary.
• On the left side of the page, find the ‘Know Your Application Status’ option. There nominal fee associated with processing the request. Be prepared to make this payment.
• Under ‘Application Type’ select ‘New/Change PAN Request’
• Once you’ve filled the form and attached the necessary documents, submit the request through the appropriate channels.
• Enter your 15-digit acknowledgement number. After submission, you should receive an acknowledgement number. Keep this safe as you’ll need it to track the status of your application.  You can use the acknowledgement number to track the status of your application. This can typically be done online through the e-Filing portal or the NSDL portal.
• Click on ‘Submit’. Enter the code displayed on the screen. Once your application is processed, you should receive a confirmation email or SMS from the Income Tax Department indicating the cancellation of the duplicate PAN.

Reasons for PAN card cancellation

Those reasons for PAN card cancellation cover a wide range of scenarios, from administrative errors to significant life events. Cancelling a PAN card is crucial for maintaining accurate financial records and complying with legal requirements. Cancelling a PAN card is vital for various reasons:

1. Having multiple PAN cards unintentionally violates the law and can lead to confusion in financial transactions. Cancelling duplicate PAN cards ensures that financial records are streamlined and prevents potential misuse.
2. Inaccuracies in personal details on a PAN card can lead to discrepancies in documentation. Cancelling a PAN card with incorrect information helps maintain accurate records.
3. Cancelling the PAN card of a deceased individual helps prevent potential identity-related issues and ensures that their financial affairs are appropriately handled.
4. Individuals relocating abroad may choose to cancel their PAN cards if they no longer engage in financial transactions in India. This action helps streamline their financial affairs and ensures compliance with legal requirements.
5. Businesses that cease operations or dissolve may opt to cancel their PAN cards to finalize financial matters and comply with regulatory obligations.
6. Cancelling a PAN card that has been lost or stolen is crucial to prevent potential misuse and unauthorized transactions, safeguarding the individual’s financial security and identity.

Failure to cancel a PAN card can result in various consequences, including:

• Holding multiple PAN cards is against the law in India, and under section 272B of the Income Tax Act, 1961, a penalty of ₹10,000 can be levied for each additional PAN card held by an individual.
• Operating with multiple PAN cards or having inaccurate details can disrupt financial transactions, tax calculations, and overall financial record-keeping. It can lead to confusion for banks, financial institutions, and government authorities.
• Aadhaar linking is increasingly becoming mandatory for various financial and government-related transactions. Having multiple PAN cards can hinder the linking process and affect your ability to complete KYC procedures.
• Holding multiple PAN cards or having inaccurate details can affect your eligibility for government benefits and subsidies. It can create discrepancies in your financial records, leading to challenges in accessing government schemes.
• Overall, failing to cancel a PAN card when necessary can have serious implications on your financial matters and compliance with legal requirements. It’s essential to ensure that your PAN card details are accurate and up-to-date, and to cancel any duplicate or unnecessary PAN cards promptly to avoid these consequences.
• By understanding these reasons and taking appropriate action to cancel a PAN card when necessary, individuals and businesses can maintain compliance with legal requirements, streamline financial records, and mitigate potential risks associated with unauthorized use or inaccuracies.

(Read about –Consequences of non-operative PAN)

 

Aadhaar Law to Be Aligned with DPDP Act 2023, Says IT Minister

Union Electronics and IT Minister Ashwini Vaishnaw announced that amendments to the Aadhaar law will be aligned with the Digital Personal Data Protection Act, 2023, with user interest at the core. The government aims to ensure the Aadhaar framework is harmonised with the provisions of the Digital Personal Data Protection Act, 2023, which was notified in the Gazette in August 2023. Draft rules for operationalising the Act were released on January 3, and the final rules are expected to be notified within the next two months. amendments to the Aadhaar law to the Aadhaar law will be harmonized with the Digital Personal Data Protection Act, 2023, placing user interest at the forefront.

The Digital Personal Data Protection Act, 2023, which was notified in the Gazette in August 2023, aims to establish a robust data protection framework in India. The draft rules for implementing the Act were released on January 3, 2024, and the final rules are expected to be notified within two months.

“When the Aadhaar Act was made, there was no appropriate data protection and privacy protection law,” Vaishnaw noted. “Now that we have the Digital Personal Data Protection Act, 2023, the Aadhaar law must be made compatible with it. I would like to ask UIDAI to take this as one of the major tasks going forward.”

This change underscores the Govt commitment to aligning identity systems with modern data protection standards & enhancing individual privacy safeguards.

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The information / articles & any relies to the comments on this blog are provided purely for informational and educational purposes only & are purely based on my understanding / knowledge. They do noy constitute legal advice or legal opinions. The information / articles and any replies to the comments are intended but not promised or guaranteed to be current, complete, or up-to-date and should in no way be taken as a legal advice or an indication of future results. Therefore, i can not take any responsibility for the results or consequences of any attempt to use or adopt any of the information presented on this blog. You are advised not to act or rely on any information / articles contained without first seeking the advice of a practicing professional.