PAN-Aadhaar Linking: Deadline Status & Consequences (January 1, 2026)

As of January 1, 2026, there has been no official extension of the December 31, 2025, deadline for linking PAN with Aadhaar.¹ If you missed this cutoff, your PAN card is now liable to be inoperative.

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This specific 2025 deadline primarily targeted individuals who obtained their PAN using an Aadhaar enrolment ID before October 1, 2024.³ For most other taxpayers, the deadline had already passed in 2024, but this latest window was the final chance for many to avoid a “financial freeze.”

1. Immediate Consequences of an Inoperative PAN

Starting today, an inoperative PAN is functionally equivalent to having no PAN at all.⁴ This will trigger several critical restrictions:

• Higher Tax Deductions (TDS/TCS): Tax will be deducted at the highest possible rate (often 20%) on salary, interest, and other income.

• No Tax Refunds: Any pending income tax refunds will be withheld, and no interest will be paid on them for the period the PAN remains inactive.

• ITR Blocked: You cannot file your Income Tax Returns (ITR) or respond to tax notices.

• Banking & Investment Freeze: You may be unable to open new bank accounts, Demat accounts, or invest in Mutual Funds/Stocks.

• Transaction Limits: Cash deposits over ₹50,000 and other high-value transactions (like buying property) will be blocked.

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2. How to Reactivate Your PAN

The good news is that your PAN is not permanently deleted.¹⁰ You can reactivate it by following these steps:

1. Pay the Penalty: Visit the Income Tax e-Filing Portal and pay a late fee of ₹1,000 via the “e-Pay Tax” service.

   • Select Assessment Year: 2026-27

   • Type of Payment: Other Receipts (500)

2. Submit Linking Request: Once the payment is processed (usually takes 4–5 days to reflect), return to the portal and click on “Link Aadhaar” under Quick Links.¹²

3. Wait for Reactivation: It typically takes 7 to 30 days for the status to change from “Inoperative” back to “Active” after the request is submitted.

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3. Check Your Status Now

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