If PAN-Aadhaar linking is not completed by 31st December, 2025, the PAN will become inactive
PAN-Aadhaar Linking: The government has reminded all taxpayers to complete the PAN-Aadhaar linking process by December 31, 2025. If anyone misses this deadline, their PAN will become inoperative from January 1, 2026.
This rule applies specifically to those whose PAN was issued before October 1, 2024, based on their Aadhaar enrollment ID.
If your PAN becomes inoperative, several essential financial activities can come to a halt. These include:
Filing income tax returns (ITR), receiving refunds, banking transactions, investing in mutual funds, or trading in the stock market. A valid PAN is mandatory for all these activities. Without it, these transactions will not be completed.
Banks, brokers, and mutual fund companies may also reject your KYC (Know Your Customer) verification, which can disrupt activities such as SIPs (Systematic Investment Plans), demat accounts, and deposits. Furthermore, TDS (Tax Deducted at Source) and TCS (Tax Collected at Source) may be deducted at higher rates.
