How To Link Your PAN With Aadhaar Before December 31 And Avoid Rs 1000 Penalty: Step-By-Step Guide

If you hold a PAN card, this is one update you really shouldn’t scroll past. The Income Tax Department has once again reminded taxpayers to link their PAN with Aadhaar and this time there’s a clear deadline attached. If the two are not linked by December 31, 2025, your PAN will turn inoperative. That can turn into bigger problems, especially when you’re filing returns, opening bank accounts, or carrying out financial transactions. Simply put, this is one of those small tasks that’s better handled now than regretted later. Here's how you can link your PAN card with Aadhaar.Why Linking Your PAN With Aadhaar Is ImportantThe PAN–Aadhaar linkage has been in discussion for years, but many people still haven’t completed it. As per the latest instruction,

anyone who hasn’t linked the two will have to pay a late fee of Rs 1,000 before the process can be completed. There is one exception though. PAN holders who received their card after October 1, 2024 using an Aadhaar enrolment ID can link PAN with Aadhaar free of cost until the end of December 2025. For everyone else, the penalty applies.How To Link Your PAN Card With AadhaarIf you haven’t linked your PAN and Aadhaar yet, the process is fairly straightforward and entirely online. Start by visiting the official Income Tax e-filing portal at incometax.gov.in. Once you’re on the homepage, look for the “Quick Links” section and select the “Link Aadhaar” option. You’ll then be asked to enter your PAN number and Aadhaar number and validate the details.If your PAN is already linked, the system will clearly tell you so. If not, and you’ve already paid the Rs 1,000 fee through the NSDL portal, the payment details will be verified automatically. After confirmation, you can submit the request and enter the necessary information to link Aadhaar. Your registered mobile number will receive a six-digit OTP for final verification. The linking process typically takes four to five working days after submission.What Happens If you Miss The DeadlineYour PAN will become inactive if it is not linked to Aadhaar by December 31, 2025. This implies that you won't be able to complete KYC for financial services, file income tax returns, or perform a number of standard transactions that call for a current PAN.