The central board of Direct Taxes has instructed orders to recognize Transgender category as an independent gender, following the central government's assurance to the Supreme Court on resolving the problems faced by Transgender in linking their Aadhaar numbers to their Permanent Account Numbers. The PAN application form, post this instruction will now be coming with a separate Transgender category, with a tick box for transgender.
Under sections 139A and 295 of the Income Tax act, the new instructions have been set out, which will ease the application process to get the PAN, and help enable smooth tax transactions. This amendment proposed will be implemented in both PAN form for Indian citizens, 49 A and the Pan for non Indian citizens, 49 AA. This decision came, following a case filed by a Transgender that she was not able to link her Aadhaar and PAN, because of the lacking of 3rd gender in the forms.
With the central government making
it mandatory to link Aadhaar for tax filing, it becomes a much needed
thing to be addressed. As per section 139AA(2) of the IT Act, every
individual with PAN as on 1 July 2017, must communicate the Aadhaar to
the IT officials. The CBDT has extended the deadline to Link Aadhaar and PAN
to June 30.
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