In Brief
This judgment upheld the constitutional validity of Section 139AA of the Income Tax Act, 1961, which mandates linking Aadhaar numbers with PAN (Permanent Account Number) for income-tax assessees. The Court found no violation of Articles 14 or 19(1)(g), as the requirement was based on reasonable classification (individual taxpayers) aimed at curbing duplicate and fraudulent PANs and combating money laundering. Parliament had competence to enact this provision despite earlier court orders deeming Aadhaar voluntary in welfare schemes. However, the severe consequence of PAN invalidation was read down to apply prospectively only. Pending Constitution Bench determination on Article 21 issues (privacy and dignity), a partial stay protected existing PAN holders from invalidation for non-compliance with Aadhaar linking.
The lawyer headnote and full judgment text are available to registered users.