Aadhaar-PAN Linking - Status, Rules and Penalties

Linking Aadhaar with PAN is mandatory for Indian residents under Section 139AA of the Income Tax Act, 1961. The Income Tax Department marks any unlinked PAN as "inoperative" - meaning it cannot be used for ITR filing, refunds or transactions where PAN must be quoted - with a Rs 1,000 late fee under Section 234H required to revive it. This page links directly to the official Income Tax e-filing portal for the status check and the linking flow. We do not collect, store or process your PAN or Aadhaar number.

Mandatory Under Section 139AA

Section 139AA was introduced by the Finance Act 2017 and requires every resident individual holding both PAN and Aadhaar to link the two. The provision was upheld by the Supreme Court in Justice K.S. Puttaswamy v. Union of India (2018) for income-tax purposes. Failure to link makes the PAN inoperative; the holder cannot file an ITR, claim refunds, open new bank or demat accounts, or use PAN for any high-value transaction that requires quoting it.

Who is Exempt

Section 139AA carves out four exempt categories. If you fall under any of them, your PAN will not be made inoperative for non-linking and the requirement does not apply to you.

Late Fee Under Section 234H

If your PAN is currently inoperative because you missed the linking deadline, the late fee to link it again is Rs 1,000. The fee was introduced by the Finance Act 2021 under Section 234H. Pay it on the e-Pay Tax facility on the Income Tax e-filing portal under "Other Receipts (500)", then proceed with the linking flow.

Exception: PAN cards allotted on or after 1 July 2017 are not subject to the Section 234H late fee, but the linking requirement under Section 139AA still applies.

Three Ways to Link Aadhaar with PAN

SMS works only when PAN and Aadhaar names match exactly (spelling, middle name, initials). For any mismatch, use the online flow which lets you correct details first.

What Happens if Your PAN is Inoperative

An inoperative PAN cannot be used for any of the following:

• Filing an Income Tax Return (ITR)
• Claiming TDS or income tax refunds
• Opening a new bank account or demat account
• Buying or selling immovable property worth more than Rs 50 lakh
• Cash deposits exceeding Rs 50,000 in a single day
• Any transaction where quoting PAN is statutorily required

Higher TDS rates can also apply: under Section 206AA, TDS may be deducted at twice the normal rate or 20% (whichever is higher) when the deductee's PAN is inoperative. Reviving the PAN takes 7 to 30 working days after the Section 234H fee is paid and the link request is submitted.

How to Verify Status

Use the "Check Link Status" card at the top of this page (it opens the official Income Tax e-filing status check, no login required) or the SMS method described above. If the portal shows "PAN not linked with Aadhaar" but you have already paid the fee and submitted the link request, allow 7-10 working days for the change to reflect in the system.

Sources

• Income Tax Department - Link Aadhaar FAQ (official guidance)
• SMS facility - official Income Tax India page
• Section 234H late fee explainer (Tax Guru)
• Section 139AA exemptions (Protean - formerly NSDL)

Rules and fee amounts can change with each Finance Act and CBDT notification. Always verify on the official Income Tax e-filing portal before relying on any specific figure.