The Government of India has made it mandatory for everyone to link their PAN (Permanent Account Number) with their Aadhaar number. The Government of India made PAN Aadhaar linking mandatory through an amendment to the Income-tax Act, 1961, by inserting Section 139AA. This provision legally requires every individual who has been allotted a Permanent Account Number (PAN) and is eligible for Aadhaar to link the two.
Section 139AA empowers the Income Tax Department to declare a PAN inoperative if it is not linked with Aadhaar, while Aadhaar authentication is administered by the Unique Identification Authority of India.
The requirement was formally announced in 2017, and since then, there have been multiple extensions over the years. The government extended the deadline to May 31, 2024 to give people additional time.
A specific extension was granted by a CBDT notification (April 3, 2025) for individuals whose PAN was allotted using an Aadhaar Enrolment ID before October 1, 2024. These taxpayers must complete the linking by December 31, 2025 using their final Aadhaar number.
Fails to link Aadhaar with PAN by 31 December 2025, PAN will be treated as inoperative by the Income Tax Department from January 1, 2026, in coordination with the Unique Identification Authority of India.
What an Inoperative PAN Really Means
An inoperative PAN is not cancelled, but it becomes functionally unusable for all practical purposes. As per the Income Tax Department, an inoperative PAN cannot be used to file income-tax returns, claim refunds, open bank or demat accounts, or conduct high-value financial transactions. TDS/TCS may also be deducted at higher rates. The PAN can be restored only after linking it with Aadhaar through authentication managed by the Unique Identification Authority of India, along with payment of the prescribed penalty.
Late Linking Is Allowed Penalities
People who missed earlier deadlines can still restore their PAN by:
- Paying a ₹1,000 late fee
- Completing the linking process online via the income-tax portal
- Undergoing Aadhaar-based authentication
Once completed, PAN operability is typically restored within days. The late fee serves less as a revenue lever and more as a deterrent against habitual non-compliance.
How to check if your PAN and Aadhaar are linked
You can check whether your PAN is linked with Aadhaar through official government channels. Visit the income-tax e-filing portal of the Income Tax Department and click on “Link Aadhaar Status” under Quick Links. Enter your PAN and Aadhaar number to view the status instantly.
Alternatively, send an SMS from your registered mobile number to 567678 or 56161 in the format UIDPAN <Aadhaar Number> <PAN>. You will receive a confirmation message. Aadhaar authentication services of the Unique Identification Authority of India also reflect successful PAN linkage.
How to link Aadhar with Pan
To link Aadhaar with PAN, visit the income-tax e-filing portalof the Income Tax Department and select “Link Aadhaar” under Quick Links. Enter your PAN and Aadhaar details, verify using OTP, and submit. Delayed linking requires payment of a ₹1,000 fee before submission.
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