Deadline Alert: Link Your PAN with Aadhaar by December 31, 2025 or Face Serious Penalties

The Central Board of Direct Taxes (CBDT) has once again reminded PAN card holders about the importance of linking their PAN with Aadhaar, setting December 31, 2025 as the final deadline for a specific category of users. Non-compliance could result in your PAN becoming inactive, severely affecting your financial activities.

Who Needs to Link PAN-Aadhaar by December 31, 2025?

According to the latest CBDT notification, this deadline applies specifically to PAN card holders who obtained their PAN using the Aadhaar Enrollment ID on or before October 1, 2024. These individuals must ensure that they provide their valid Aadhaar number to the Income Tax Department before the year-end 2025 deadline.

What Happens if PAN is Not Linked to Aadhaar?

Failure to link your PAN with Aadhaar can lead to your PAN becoming inactive, which comes with several serious consequences:

• Cannot open mutual fund or stock market accounts

• Cannot purchase gold over ₹5 lakh

• Restricted from depositing or withdrawing more than ₹50,000 at banks

• May incur a penalty of up to ₹10,000 under Section 272B of the Income Tax Act, 1961

• Your PAN card will no longer be valid for important financial transactions

How to Link PAN with Aadhaar Online

You can easily link your PAN with Aadhaar from the comfort of your home:

Step-by-Step Guide:

Visit the official Income Tax portal:

Click on the “Link Aadhaar” section.

Enter your PAN and Aadhaar numbers.

You will receive an OTP on your registered mobile number.

Enter the OTP to verify and complete the linking process.

Once successful, your PAN will be officially linked with your Aadhaar.

Who is Exempt from Linking PAN with Aadhaar?

Under the Income Tax Act, 1961, certain individuals are exempt from linking PAN with Aadhaar:

• Residents of Assam, Jammu & Kashmir, and Meghalaya

• Non-resident Indians (NRIs)

• Individuals aged 80 years or above

• Foreign nationals.