The deadline to link PAN with Aadhaar card is fast approaching on Dec. 31 and taxpayers must complete the process promptly to avoid compliance issues. Aadhaar–PAN linking is mandatory under the Income Tax Act to ensure transparency, eliminate duplicate PANs and strengthen financial monitoring.
After multiple extensions, the authorities have announced that it is mandatory to link PAN and Aadhaar cards by Dec. 31. Stepping into the new year without this compliance can result in the PAN card becoming inoperative. This can lead to issues with filing income tax returns, receiving refunds, opening or operating bank and demat accounts, conducting high-value transactions, among other things.
The last date to complete Aadhaar-PAN linking is Dec. 31, 2025. Taxpayers who attempt to link the documents after the deadline will be required to pay a late fee of Rs 1,000 before completing the process.
However, the income tax department has confirmed that there are certain groups that have been exempted from this requirement.
This Dec. 31 deadline applies only to PAN holders who obtained their PAN using an Aadhaar Enrolment ID before Oct. 1, 2024 and not the Aadhaar number itself. According to the Central Board of Direct Taxes (CBDT), such individuals must intimate their Aadhaar number by the end of 2025.
