Nowadays PAN Card and Aadhaar Card have become the most important documents for every person. Whether it is to open an account in the bank, file income tax or to do a big financial transaction, PAN card is needed everywhere. Recently, the government and UIDAI (Unique Identification Authority of India) have issued some new rules and updates regarding Pan Card, which may not be canceled or inactive) if you do not follow.
In this article, we will know what this new update is, whose PAN card can be canceled, and what precautions you should take. Also, linking of PAN Card and Aadhaar Card, PAN card cancellation, Penalty, and PAN 2.0 will also understand in detail.
This step of the government has been taken to further strengthen the financial system of the country under the Digital India Mission and to ban fraud. Now it has become necessary for every citizen to keep his PAN card correct and active.
If you have not yet linked PAN to Aadhaar or you have more than one pan card, then you should take necessary steps immediately. Let’s know in detail about this entire update.
PAN card cancellation and new UIDAI and IT department update
| Name of Plan/Rules | Description |
| Update issuing organization | Udai Wire Income Tax Department |
| New update | It is mandatory to link Pan Card to Aadhaar |
| Deadline | 31 December 2025 (in some cases) |
| Penalty (fine) | ₹ 10,000 (keeping more than one pan card) |
| PAN card is inactive reasons | Lack of aadhaar, duplicate pan, not updating |
| PAN 2.0 | New version, QR code and high security features |
| Pan card surrender process | Through NSDL website or nearest center |
Why is PAN Card and Aadhaar Card Linking necessary?
The government has made the linking of PAN Card and Aadhaar Card mandatory. Its main objective is to curb tax evasion, eliminate fake identity and make the same tax profile of every citizen. If you have not yet linked your Pan Card to Aadhaar, then your PAN card can be inactive. This can not only stop your banking and financial transactions, but can also cause legal problems.
What will happen when Pan card is inactive?
- You will not be able to file income tax returns.
- There will be difficulty in banking transactions and big purchases.
- Government schemes will not get the benefit.
- TDS/TCS deduction will be at higher rates.
- Financial profiles will have a bad effect.
When can Pan Card Inactive or Cancel be done?
- If you have not linked the Pan Card to Aadhaar.
- You have more than one PAN card.
- PAN Card has wrong information and has not been updated.
- Aadhaar Enrollment ID was given while making PAN card, but no longer updated the real Aadhaar number.
Penalty for not linking Pan Card to Aadhaar
The government has fixed the deadline for Pan-Aadhaar linking. If you did not do linking till the scheduled time, you may have to pay a fine of up to ₹ 1,000. Also, PAN card will be inactive.
How to do PAN Card Cancellation or Surrender?
If you have more than one PAN card accidentally or inadvertently, then you need to surrender or cancel the extra PAN card. For this, the government has provided both online and offline methods.
PAN card canceling online process
- Go to NSDL’s website.
- ‘Changes or improvement in existing PAN data/ reprint of PAN card’
- Fill the required details and submit the form.
- Upload the documents and fill the declaration.
- After submitting, you will get a token number.
- The extra PAN card will be canceled after the process is completed.
Offline procedure to cancel PAN card
- Visit the nearest PAN Seva Kendra or NSDL office.
- Fill the Pan Correction Form and apply the necessary documents.
- Submit the form and get Acknowledgment.
PAN 2.0 – New version of Pan Card
The government is now preparing to launch the new version of PAN Card PAN 2.0. It will have QR code, digital verification and high security features, which will make it almost impossible to create fake PAN cards. However, the old PAN cards will still be valid, but only PAN 2.0 will be valid in future.
PAN 2.0 features
- Quick verification through QR code.
- Digital Signature and Security Features.
- Completely ban on fake pan card.
- Easy tracking and updating.
What to do when PAN card is inactive?
If your pan card is inactive, do not panic. You can activate it again by following some easy steps:
- Link PAN to Aadhaar.
- If Penalty has looked, pay ₹ 1,000.
- The PAN card usually becomes active again within 30 days after the linking.
PAN Card and Aadhaar Card Linking Deadline
The government has set separate deadline for Pan-Aadhaar linking:
- Those who have built PAN on the basis of Aadhaar Enrollment ID before 1 October 2024, are required to update the real Aadhaar number by 31 December 2025.
- The previous deadline of linking for all other PAN card holders was 30 June 2023, after which Penalty came into force.
PAN card inactive disadvantages
- Will not be able to file income tax return.
- Banking transactions may stop.
- Ban on big purchases or investment.
- Government schemes will not get the benefit.
- Legal action can be taken.
How to do PAN Card and Aadhaar Linking? (Step-by-step guide)
- Go to Income Tax e-Filing website.
- Click on the ‘Link Aadhaar’ option.
- Enter the PAN and Aadhaar number.
- Verification via OTP.
- Confirmation message will be found after successful linking.
Documents required for Pan Card Cancellation or Surrender
- Copy of Pan Card (which is to surrender)
- Aadhaar Card Copy
- Evidence of identity and address
- Pan correction/surrender form
PAN Card Cancellation: Who is necessary to do?
- Those who have accidentally or deliberately have more than one PAN card.
- When the company, firm or partnership is closed.
- PAN card has wrong information and a new PAN is built.
PAN Card Cancellation and Linking Update – Main things
- It is mandatory to link the Pan Card to Aadhaar.
- It is illegal to have more than one PAN card, a fine of up to ₹ 10,000.
- Financial transaction and problem in tax filing when Pan card is inactive.
- PAN 2.0 is about to come, which will have high security features.
- It is necessary to keep the Pan Card active and updated.
- Do check the deadline of Pan-Aadhaar Linking.
- The process of Pan Card Cancellation or Surrender is easy – both online and offline options.
Important questions related to Pan Card and Aadhaar Card (FAQ)
Q1: Can Pan Card be canceled?
Yes, if you did not link PAN to Aadhaar or you have more than one PAN card, then PAN card can be canceled or inactive.
Q2: What is the disadvantage when PAN card is inactive?
Tax filing, banking, investment, benefits of government schemes – everything can stop.
Q3: How to link Pan Card to Aadhaar?
Linking can be done by going to Income Tax e-Filing website, putting PAN and Aadhaar numbers.
Q4: How to do PAN Card Cancellation?
Go to the NSDL website or the nearest Pan Seva Kendra and fill the Pan Correction/Surrender form.
Q5: What is PAN 2.0?
This is the new version of PAN card, which will have QR code and high security features.
PAN Card Recruitment Card – Comparison Table
| Speciality | PAN card | Aadhaar card |
| issuing authority | Income tax department | UIDAI |
| Objective | Tax, financial transactions | Identity, address proof |
| Compulsory linking | From gouxar | From PAN (in some cases) |
| Fines for non-linking | ₹ 1,000 Paan PAN Inactive | , |
| New version | PAN 2.0 (coming) | , |
| Digital verification | QR Code (in PAN 2.0) | QR code |
What to do to avoid pan card inactive or cancellation?
- Get Pan-Aadhaar linking on time.
- Do not keep more than one pan card.
- If there is any mistake in the Pan Card, then get it improved immediately.
- Make a new card after PAN 2.0 (if necessary).
- Keep an eye on new updates of Income Tax and UIDAI.
Disclaimer:
This article is based on recent updates and rules issued by the government and concerned departments. There are reports of the cancellation of PAN card or being inactive, who did not link PAN to Aadhaar or who have more than one PAN card. PAN 2.0 is currently at the plan level, the old PAN cards are still valid.
Avoid any kind of rumors and only get information from the official website or center. The news of the cancellation of PAN card is not completely true, but it applies to violations of rules. Get all the necessary updates and linking on time, so that any kind of trouble can be avoided.
