With the changes in the tax and financial system of India, you have to associate your Permanent Account Number (PAN) and Aadhaar card not merely as a formality, but as a legal matter. Without Aadhaar being connected to PAN until the deadline imposed by the government, your PAN card will stop operating after 1 January 2026.
This article explains who must link PAN with Aadhaar, why PAN–Aadhaar linking matters in 2026, E filing Aadhaar PAN link, what happens if you miss the deadline, and how to complete the process step by step, including payment and reactivation details.
Why PAN-Aadhaar Linking Matters in 2026?
Section 139AA of the Income Tax Act, 1961 has provided that all PAN holders are required to connect their PAN with their Aadhaar card in order to enhance tax compliance, curtail fraud and duplicate identities.
This is mandatory for those whose PAN was issued on an Aadhaar Enrolment ID before 1 October 2024; these taxpayers should have their PAN Aadhaar linked before 31 December 2025. Failure to link by this deadline will mean that the PAN is considered inoperative from 1 January 2026.
Once a PAN becomes inoperative, it loses its legal validity for most financial and tax-related purposes until it is reactivated. This makes E-filing Aadhaar PAN link compliance critical for every taxpayer.
Also Read: Lok Sabha Passes Banking Laws (Amendment) Bill: Key Changes Explained
What Happens If Your PAN Becomes Inoperative?
If your PAN is not linked with Aadhaar before the deadline, it will become inoperative on 1 January 2026. Below is a closer look at the immediate practical effects:
| Impact | What It Means for You |
|---|
| Income Tax Return (ITR) Filing | You cannot file or verify your tax returns. |
| Tax Refunds | Claiming refunds will be blocked until PAN is active again. |
| TDS and TCS | Higher TDS/TCS rates may apply, and tax credits may not reflect correctly. |
| Banking & Investments | Opening new bank accounts, mutual funds, or trading accounts may be restricted. |
| KYC and Compliance | KYC verification for financial services may fail. |
An inoperative PAN can disrupt day-to-day financial activities, which is why completing PAN Aadhaar link online well before the deadline was strongly recommended.
Who Must Link Aadhaar With PAN?
You should also understand whether PANAadhaar linking is mandatory for you before you start the process:
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With PANs issued before 1 October 2025 (in particular, those PANs generated through the use of an Aadhaar Enrolment ID) having to link with Aadhaar by 31 December 2025.
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Other PAN holders who have not been linked yet also have to undergo linking; failure to do so will render the PAN ineffective.
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Individual taxpayers (resident Indians) are not left out.
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There are some exemptions, including NRIs without Aadhaar, and residents of special areas with exemption rules, but see your instance.
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The registered and unregistered taxpayers are able to do this linking on the official Income Tax e-Filing site.
Taxpayers can verify their PAN Aadhaar link status on the official portal before proceeding.
How To Link PAN With Aadhaar?
Linking PAN with Aadhaar is a simple online process via the Income Tax Department’s portal. The steps below explain how to complete Www incometax gov in Aadhaar PAN link efficiently.
Step 1: Go to the e-Filing portal of the Income Tax and choose the option of Link Aadhaar.
Step 2: Please input your PAN number and Aadhaar number.
Step 3: Enter your registered mobile number and authenticate it with OTP.
Step 4: Make sure that the name, date of birth and gender in PAN and Aadhaar are the same.
Step 5: Submit the request and check Link Aadhaar Status on the portal.
If all details match, the system confirms the linkage instantly. You can later verify the PAN Aadhaar link status check by mobile or through the portal dashboard.
Also Read: What To Know About The LPG-Aadhaar Linking?
What To Do If PAN Is Already Inoperative?
When you missed the deadline, and your PAN card is no longer operational on 1 January 2026, please do not panic, you can still reactivate it once more by:
Step 1: Pay the mandatory ₹1,000 fee under Section 234H using the PAN Aadhaar link payment option.
Step 2: Waiting for processing. It may also take 4-5 working days after payment for the payment to be visible and for the linking option to appear.
Step 3: Re-entering the PAN and Aadhaar details on the portal after making sure that the payment has been made.
Step 4: Sealing the linkage and allowing the PAN to resume its functionality after a period of 30 days.
Make sure that personal details match exactly, or the request will fail. Once reactivated, your PAN Aadhaar link status will change to “linked”.
Penalty And Reactivation Costs
In 2026, the government will continue to charge a 1,000 fee on connecting PAN to Aadhaar.
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Any link done on 31 December 2025 or earlier at no fee is charged to those under the old Aadhaar Enrolment conditions.
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Once the deadline is over, the 1,000 fee becomes obligatory, and the linking request is agreed upon.
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This fee also guarantees that one can still do late linking, but financial activities might have been limited during the inoperative PAN.
How To Check PAN- Aadhaar Link Status?
You can easily verify your linkage using multiple methods:
Step 1: Online via the Income Tax e-Filing portal.
Step 2: Mobile-based PAN Aadhaar link status check by mobile.
Step 3: Third-party financial dashboards such as PAN Aadhaar link status, Groww.
Checking status regularly helps ensure uninterrupted compliance.
Why Use Jaagruk Bharat for Aadhaar–PAN Linking?
While the Income Tax e-Filing portal allows taxpayers to link Aadhaar with PAN directly, many individuals still face confusion, technical errors, payment failures, or uncertainty about their PAN Aadhaar link status. This is where Jaagruk Bharat plays a crucial role in simplifying the process and ensuring error-free compliance.
Jaagruk Bharat acts as a citizen-support platform, guiding users at every stage of Aadhaar–PAN linking, from understanding eligibility to resolving post-linking issues. Instead of navigating complex government portals alone, users receive clear, step-by-step assistance backed by verified information.
Conclusion
It is important to mention that you should connect your PAN to your Aadhaar card before 31 December 2025 in order to be financially and tax-compliant in 2026. You will not be able to be linked by the deadline, and your PAN card will stop working by 1 January 202,6 and this may interfere with a lot of income tax filings, refunds, as well as most of your daily routine financial operations.
Fortunately, it does not take long to do the linkage and can be made easy by doing so on the online portal of the Income Tax Department under e-Filing. Although your PAN is already inoperative, you can still reactivate it at the cost of 1000 dollars and send a linking request, although it is always a good idea to do it early enough to prevent the inconveniences and financial inconveniences.
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