Circular No. 081 2024
F.No.275/4/2024-IT(B)
Government of India
Ministry of Finance
Department of Revenue
Central Board of Direct Taxes
New Delhi, the 5th August, 2024
Sub: Non-applicability of higher rate of TDSITCS as per provisions of section 206AAI
206CC of the Income-tax Act, 1961, in the event of death of deductee/coliectee before
linkage of PAN and Aadhaar- reg.
As per Circular no. 06 of 2024 dated 23.04.2024, the Board had provided a window
of opportunity to the taxpayers upto 31 .05.2024 for linkage of PAN and Aadhaar for the
transactions entered into upto 31.03.2024 so as to avoid higher deduction/collection of tax
under section 206AA1206CC of the Income-tax Act, as the case maybe.
2. Several grievances have been received from the taxpayers where they have cited
instances of demise of the deductee/collectee during the said period (i.e. on or before
31.05.2024) before the option to link PAN and Aadhaar could have been exercised. In such
cases, tax demands are standing against the deductor/collector as a result of failure to link
PAN and Aadhaar of the deceased person.
3. In order to redress such grievances of the taxpayers, the Board, hereby specifies that
in respect of cases where higher rate of TDSITCS was attracted under section
206AA1206CC of the Act pertaining to the transactions entered into upto 31.03.2024 and in
case of demise of the deductee/collectee on or before 31.05.2024 i.e. before the linkage of
PAN and Aadhaar could have been done, there shall be no liability on the deductor/collector
to deducVcoliect the tax under section 206AA1206CC, as the case maybe. The
deduction/collection as mandated in other provisions of Chapter XVII-B or Chapter XVII-BB
of the Act, shall be applicable.
4. Hindi version to follow.
(Surjeet Kumar)
Under Secretary to the Government of India
Tele: 23095478
Copy to:-
1. PS to FM/OSD to FM/PS to MoS (R)/OSD to MoS(R)
2. PPS to Secretary (Revenue)
3. The Chairman, CBDT & all Members, CBDT
4. All Pr.CCsIT, CCsIT/Pr.DGsITIDGsIT
5. All Joint Secretaries/CslT, CBDT