Final Countdown: PAN-Aadhaar Linking Deadline – Dec 31, 2025

Who is Affected?

While the general deadline for linking passed in 2023, this specific December 31, 2025 cutoff is critical for:

• Specific Extension Group: Individuals who were allotted a PAN on the basis of an Aadhaar Enrolment ID (AEID) on or before October 1, 2024.
• Late Linkers: Any existing PAN holder who has not yet completed the linkage and wants to avoid their card becoming inactive.

The Cost of Delay

• Late Fee: Taxpayers missing previous deadlines must pay a ₹1,000 penalty via the e-Pay Tax service before the linking request can be processed.
• Exemption: Those who obtained their PAN via Aadhaar Enrolment ID after October 1, 2024, are generally exempt from this specific penalty if they link by the deadline.

⚠️ Consequences of an “Inoperative” PAN

From January 1, 2026, if your PAN is not linked, you will face significant financial hurdles:

• No ITR Filing: You cannot file Income Tax Returns.
• Higher Taxes: TDS (Tax Deducted at Source) and TCS (Tax Collected at Source) will be deducted at the highest applicable rates.
• Frozen Refunds: Any pending tax refunds or interest on refunds will not be issued.
• Banking Blocks: You may be unable to open new bank accounts, apply for credit cards, or conduct cash transactions exceeding ₹50,000.
• Investment Halts: Transactions in mutual funds and the stock market will be restricted.

💻 How to Link Your PAN and Aadhaar (Step-by-Step)

Step 1: Payment of Fee (If Applicable)

1. Visit the Income Tax e-Filing Portal.
2. Click on ‘e-Pay Tax’ under the ‘Quick Links’ section.
3. Enter your PAN and mobile number for OTP verification.
4. Select the Assessment Year (2026-27) and type of payment as ‘Other Receipts (500)’.
5. Pay the ₹1,000 fee. (Note: It may take 4–5 days for the payment to reflect).

Step 2: Submit Linking Request

1. Once payment is verified, go back to the homepage and click ‘Link Aadhaar’.
2. Enter your PAN and Aadhaar details.
3. Verify using the OTP sent to your Aadhaar-registered mobile number.
4. Submit the request.

How to Check Your Status Instantly

• Online: Click on ‘Link Aadhaar Status’ on the e-filing portal and enter your details.
• SMS: Send an SMS to 567678 or 56161 in the following format: UIDPAN <12-digit Aadhaar> <10-digit PAN>