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Applying for PAN Card? Aadhaar to be mandatory for Permanent Account Number; new rule likely from July 1, 2025

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Applying for PAN Card? Aadhaar to be mandatory for Permanent Account Number; new rule likely from July 1, 2025
The income tax portal will implement new PAN Card application requirements starting July.

Applying for a new PAN Card? From July 1, 2025 the Central Board of Direct Taxes intends to implement mandatory Aadhaar authentication for obtaining new Permanent Account Number (PAN) cards.At present, individuals can apply for a PAN using their name, birth date proof or alternative identification documents. “The move for Aadhaar-based verification aligns with the digitalisation drive and efforts to ensure accountability and compliance in tax filing,” a senior official told ET.

New PAN Card Rules 2025

  • This means that if you apply for a new PAN Card after July 1, 2025, it will be compulsory for you to have an Aadhaar card. Your Aadhaar card will be used for verification purposes to process your PAN card application.
  • The income tax portal will implement new application requirements starting July.
  • It’s important to note that current PAN holders must also link their cards with Aadhaar. The deadline for existing cardholders to connect Aadhaar with PAN without incurring penalties is December 31, 2025. Any PAN cards not linked to Aadhaar will cease to function from the following year.
  • The Income Tax department mandated Aadhaar linkage after discovering individuals obtaining multiple PANs or using others’ PANs for tax evasion purposes.

Several instances revealed the misuse of multiple PANs for fraudulent GST registrations. As of March 2024, India had over 740 million PAN cardholders, with 605 million having completed their Aadhaar linkage.Also Read | Income Tax Return e-filing: Can you keep switching between new and old tax regime every year? What taxpayers should knowMeanwhile, the I-T department is rolling out the PAN 2.0 project, which is an advancement in digitalising the PAN and TAN administrative framework. The enhanced system seeks to deliver superior taxpayer services through unified platforms, ensuring streamlined operations for individuals holding PAN/TAN credentials.Existing PAN cardholders can continue using their cards without any additional steps under the new framework. The current PAN cards maintain their validity and functionality within PAN 2.0.





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