Missed Aadhar-PAN link deadline? Here is what to do if PAN is inoperative from 1 July

The deadline for linking Permanent Account Number (PAN) with Aadhaar expired on June 30, 2023. The government has also yet to issue any notification regarding the extension of the deadline. Therefore, according to the Income Tax Department’s official guidelines, all PAN cards that were not linked to Aadhaar became inoperative from July 1.

In addition, people who missed the linking deadline are now unable to access certain services that require the PAN like they are not able to file income tax return.

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

The notification stated, “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.”

How to check whether PAN is valid?

1. Look for the “Verify Your PAN” service under the “Quick Links” section and click on it.

2. On the “Verify Your PAN” page, enter your PAN number, full name, date of birth, and a mobile phone number.

3. Click “Continue” to proceed to the verification page.

4. Enter the six-digit One-time Password (OTP) that was sent to your mobile phone and click “Validate.” Remember that the OTP is only valid for 15 minutes, and you have three attempts to enter the correct password. See what type of message you are getting.

How to reactivate inoperative PAN?

Individuals who fail to link their PAN with Aadhaar by the deadline will have to pay a penalty of Rs 1,000 in order to reactivate their PAN card, said the official notification.

Furthermore, the reactivation process will take approximately 30 days from the date of linking to complete the reactivation process and make the PAN card operational again.

If your PAN has become inoperative, you can reactivate it after paying a fine. Here’s how to do it:

• Go to www.incometax.gov.in  – click on Link Aadhar – Enter PAN and Aadhaar and select to pay Fee
• Make sure to pay fees under Minor Head 500 (Fee) and Major Head 0021 [Income Tax (Other Than Companies)] on a single challan.
• Choose a payment method.
• watch below video to link PAN adhaar yourself

Consequences of not linking PAN and Aadhaar

According to the Income Tax Act, 1961, it is mandatory for all PAN holders who do not fall into the exempt category to link their PAN with Aadhaar. Failure to do so will render the PAN inoperative.

Furthermore, failing to link PAN with Aadhaar has consequences. For example, you will not be unable to file ITRs, open a bank account, or invest in certain financial products. You may also face a higher tax deduction rate on your savings interest.