Reactivate Your PAN Card: A Simple Guide to Aadhaar PAN Link After the Deadline

Introduction

The Indian government has made it mandatory for all taxpayers to link their Permanent Account Number (PAN) with Aadhaar, a unique 12-digit identification number issued by the Unique Identification Authority of India (UIDAI). The deadline for Aadhaar PAN link was 30th June 2023. Failure to comply with this mandate resulted in the PAN becoming inoperative from 1st July 2023. However, there’s still a way to reactivate an inoperative PAN by linking it with Aadhaar and paying a penalty.

Latest Deadline and Penalties

The deadline for PAN Aadhaar Link was 30th June 2023. If you failed to meet this deadline, your PAN card became inoperative from 1st July 2023. The Income Tax Department has issued a stern reminder to taxpayers to complete this linking by 31st May 2024. Failure to do so will result in your PAN being treated as inoperative, leading to tax deduction/collection (TDS/TCS) at a higher rate under Sections 206AA and 206CC of the Income Tax Act, 1961.

If your PAN card is inoperative, you can still link it with Aadhaar, but a late penalty of Rs. 1,000 must be paid before you can request the linkage.

Mandatory Linking of PAN and Aadhaar

Linking your PAN with your Aadhaar card has become a mandatory requirement for all taxpayers.. The government has made this process compulsory to streamline tax operations and prevent fraudulent activities. If your PAN is not linked with Aadhaar by the deadline, it will be rendered inoperative, which could result in complications with tax filings and other financial transactions.

Understanding PAN and Aadhaar

PAN (Permanent Account Number) is a unique 10-character alphanumeric identifier issued by the Income Tax Department to individuals and entities for tax-related activities.

Aadhaar is a unique 12-digit identification number issued by the UIDAI to all residents of India. It functions as proof of both identity and address.

Importance of PAN-Aadhaar Linking:

Linking PAN with Aadhaar helps the government in:

• Preventing tax evasion
• Identifying taxpayers accurately
• Improving tax administration
• Reducing fraudulent activities

Consequences of Not Linking PAN with Aadhaar

If you did not link your PAN with Aadhaar by the deadline, your PAN has become inoperative. This has several implications:

• Higher TDS/TCS: Tax Deducted at Source (TDS) and Tax Collected at Source (TCS) will be applied at increased rates..
• Processing of Income Tax Returns: Income tax returns cannot be processed without a valid PAN.
• Financial Transactions: Difficulties in carrying out financial transactions like property registration, mutual fund investments, etc.

Checking PAN-Aadhaar Link Status

If you’re unsure whether your PAN and Aadhaar are linked, follow these steps:

1. Visit the Official Income Tax E-filing Website: Go to the Income Tax Department’s e-filing portal. https://www.incometax.gov.in/iec/foportal/

1. Navigate to the Aadhaar Linking Section: Locate the section for linking Aadhaar status

Enter your PAN and Aadhar Card Number and click on view link Aadhar status. If its linked already, you will get a pop up screen as PAN number is already linked

Also read: Breaking Down the New Tax Regime 2024-25: Updated Tax Slabs and Rates

How to Link Your PAN to Aadhaar After the Deadline

If you missed the 30th June 2023 deadline to link your PAN with Aadhaar, follow these two essential steps to complete the process:

1. Pay the Penalty
2. Submit the Aadhaar-PAN Link Request

What You’ll Need:

• Aadhaar Card
• PAN Card
• Mobile number linked to your Aadhaar

1. Paying the Penalty

To pay the penalty for late PAN-Aadhaar linking, follow these steps:

visit the official website Income tax E filing portal

click on E-pay Tax option

Now you need to Enter PAN/TAN number and enter same number to confirm , enter your mobile number and click on submit

You will receive an OTP and enter OTP for verification purpose, you will be redirected to epay tax page and click on continue

click on proceed button under Income Tax

Choose ‘2025-26’ for the Assessment Year, ‘Other Receipts (500)’ for the Type of Payment (Minor Head), and ‘Fee for delay in linking PAN with Aadhaar’ for the Sub-type of Payment. Then, click the ‘Continue’ button

The applicable amount will be automatically filled in under the ‘Others’ option. Click the ‘Continue’ button to proceed with the payment

source: cleartax

You can pay the late penalty on the Income Tax e-filing Portal using net banking, a debit card, over-the-counter, NEFT/RTGS, or the payment gateway option. The payment gateway option is available if you have an account with one of the following authorized banks

Bank Name	Bank Name
Axis Bank	Indian Bank
Bank of Baroda	Indian Overseas Bank
Bank of India	IndusInd Bank
Bank of Maharashtra	Jammu & Kashmir Bank
Canara Bank	Karur Vysya Bank
Central Bank of India	Kotak Mahindra Bank
City Union Bank	Punjab & Sind Bank
Federal Bank	Punjab National Bank
HDFC Bank	RBL Bank
ICICI Bank	South Indian Bank
IDBI Bank	State Bank of India
Union Bank of India	UCO Bank

II. Requests for Linking Aadhaar Number and PAN Online/Offline

You can link your Aadhaar number with your PAN online via the Income Tax e-filing portal.

Method 1: Without Logging into Your Account

1. Visit the Income Tax e-filing portal.
2. Click on the ‘Link Aadhaar’ option under quick links
3. Enter your PAN and Aadhar number and click on validate option

Enter your Name as per your Aadhar card and mobile number, click on Link Aadhar option.

Now you need to enter OTP received and click on validate option

the request will be sent to UIDAI for verification

If your payment details are not verified on the e-filing portal:

After validating your PAN and Aadhaar, you might encounter a pop-up message saying “Payment details not found.” To resolve this, click on the ‘Continue to Pay Through e-Pay Tax’ button to make the necessary payment, which is required before you can submit your Aadhaar-PAN link request

Frequently Asked Questions:

Suggested Articles:

Breaking Down the New Tax Regime 2024-25: Updated Tax Slabs and Rates

Tax Deducted at Source: All About TDS Meaning, Filing& Return