The deadline to link your Permanent Account Number (PAN) with Aadhaar is December 31. Failure to do so may result in your PAN becoming inactive after this date. Taxpayers are urged to complete the linking process promptly to prevent financial and compliance-related issues.
Individuals who received a PAN on or after October 1, 2024, must link it with Aadhaar by December 31, 2025, as per an Income Tax Department notification from April 3, 2025. The original deadline for other PAN holders to link PAN with Aadhaar was May 31, 2024.
If you link your PAN with Aadhaar by December 31, a penalty of Rs 1,000 will apply due to the missed original deadline. However, failing to link even after this date could lead to deactivation of your PAN, causing difficulties in filing income tax returns and receiving refunds.
Non-linking of PAN with Aadhaar may result in higher TDS and TCS rates, loss of access to Form 26AS, and non-receipt of TDS or TCS certificates. An inactive PAN could hinder banking transactions, KYC processes, and investments in mutual funds and equities.
To avoid disruptions, taxpayers are strongly advised to link their PAN with Aadhaar before the December 31 deadline.
