PAN-Aadhaar Linking: Missed 1 July Deadline? Here’s How To Activate Your Inoperative PAN

The deadline to link the Permanent Account Number (PAN) with Aadhaar ended on 30 June 2023. The government has not yet released any notification regarding the extension of the deadline.

According to the Income Tax (IT) Department, the PAN cards that are not linked to Aadhaar will become inoperative from 1 July. The people who missed the deadline will not be able to avail certain services where attaching the PAN is compulsory.

However, if your PAN card has become inoperative, it can be reactivated. On 28 March 2023, the Central Board of Direct Taxes (CBDT) issued a notification explaining the steps to make the PAN card operational again.

"To reactivate the PAN card, individuals need to inform the designated authority about their Aadhaar linkage and pay a fee of Rs. 1,000. The reactivation process will take 30 days from the date of linking," the notification read.

As per the notification, a taxpayer can activate the PAN after paying a penalty. The process can be completed by the National Securities Depository Limited (NSDL) paying the amount of Rs 1,000 under Challan No. ITNS 280 with Major Head 0021 (Income Tax Other Than Companies) and Minor Head 500 (Other Receipts).

However, an individual can file income tax returns (ITRs) without linking PAN with biometric Aadhaar, but the IT department will not process the ITR until the two are linked.

On 30 June, the IT department said it will "duly consider" cases where linking PAN with Aadhaar has yet to happen despite individuals giving their consent and having paid the fee.

The department has acknowledged the cases where PAN holders have faced issues in downloading the challan after payment of Aadhaar-PAN linking fee.

Here Are The Steps To Reactivate Your PAN:

1. Visit incometax.gov.in/iec/foportal/

2. Navigate to ‘e-Pay Tax’ to proceed with submission of the Aadhaar-PAN linking process

3. Make the fee payment under Minor head 500 (Fee) and Major head 0021 [Income Tax (Other than Companies)] in single challan

4. Select mode of payment

5. Enter your PAN number

6. Select the assessment year and enter the address.

7. Fill the Captcha code and click the Proceed tab

The reactivation process will take around 30 days from the date of linking to finish the process and make the PAN card operational again. The IT department has clarified that individuals who have paid a penalty for linking the two and have provided consent, but the linking process is not completed by 30 June 2023, will be considered by the income tax department before declaring the PAN inoperative.