PAN-Aadhaar Linking: If you haven’t yet linked your PAN card with your Aadhaar card, be alert now. The government has made it mandatory to link your Aadhaar with your PAN. The deadline for linking the two is December 31, 2025. If you don’t link by this date, your PAN card will become inactive, meaning it won’t be operational, from January 1, 2026. This means you won’t be able to handle any banking, tax, or investment-related work. Your salary won’t be credited to your bank account, and SIP funds won’t be deducted.
Salary will not come in the bank account
This means you won’t be able to file your Income Tax Return (ITR) or receive a refund. TaxBuddy warned on social media that if you don’t link your PAN with Aadhaar by December 31, 2025, your PAN will be invalidated from January 1, 2026. You won’t be able to file your ITR, nor will you receive a refund. Even your salary or SIP transactions could fail.
Who needs to link PAN-Aadhaar?
According to the Finance Ministry’s notification dated April 3, 2025, those who received their PAN card before October 1, 2024, must link it with Aadhaar by December 31, 2025. This rule also applies to those who obtained their PAN card using their Aadhaar enrollment ID. This means that those who received their Aadhaar number later will also be required to link their PAN.
What happens if the link is not done on time?
If you do not link PAN-Aadhaar by December 31, 2025, your PAN will stop working from the next day i.e. January 1, 2026.
You will not be able to file or verify ITR.
Pending refunds will not be available.
Pending ITRs will not be processed.
TDS/TCS credits will not be reflected in your Form 26AS.
Tax deduction (TDS) will be at a higher rate.
If you link PAN-Aadhaar later, the PAN will be reactivated within 30 days.
Will your salary or investments stop?
If your bank account or investments are already active, your money will be safe, but further financial work may get delayed.
You will not be able to make new investments, share trading or update KYC.
There will be difficulty in starting a new SIP or FD.
Tax related work like ITR filing or refund claims will not be possible.
This means that your old money will not be affected, but future financial transactions will be halted.
How to link PAN with Aadhaar online?
- Visit the website of Income Tax Department — www.incometax.gov.in
- Click on Link Aadhaar.
- Enter PAN number, Aadhaar number and mobile number.
- Verify through OTP.
- If the PAN is already inoperative, a penalty of Rs 1,000 will have to be paid first.
- After linking, check the status by going to Quick Links → Link Aadhaar Status.
