Linking your PAN with Aadhaar is mandatory for most taxpayers. An unlinked PAN becomes 'inoperative', which blocks filing, higher TDS, and many financial transactions.
This guide explains the consequences of an inoperative PAN and how to link the two.
What is PAN-Aadhaar Linking?
PAN-Aadhaar linking connects your tax identity to your Aadhaar. If not linked (where required), the PAN stops working for returns, refunds and TDS at normal rates.
Linking is done on the income tax portal, with a late fee if done after the original deadline.
Step-by-step process
- Pay the fee. Pay the prescribed late fee via challan on the income tax portal, if applicable.
- Submit the request. Go to 'Link Aadhaar', enter PAN and Aadhaar, and submit.
- Verify status. Check the link status after a few days on the portal.
Frequently asked questions
What happens if PAN is not linked to Aadhaar?
The PAN becomes inoperative — you cannot file returns, refunds are held, and TDS is deducted at higher rates until it is linked.
Who is exempt from PAN-Aadhaar linking?
Certain categories, such as non-residents, some senior citizens and residents of specified states, may be exempt.