Inoperative PAN: what it does to refund and TDS

The portal's Link Aadhaar FAQ lists what happens if your PAN becomes inoperative for not linking with Aadhaar:

• Refund of tax is not made
• No interest on that refund for the period
• TDS at a higher rate under section 206AA
• TCS at a higher rate under section 206CC

The refund user manual says it too: with an inoperative PAN, your refund will get failed.

Who need not link

Residents of Assam, Jammu and Kashmir and Meghalaya, non-residents, people aged 80 or more, and non-citizens. These exemptions can change with notifications.

Example

Illustrative example only. Your name reads “Ravi K” in PAN and “Ravi Kumar” in Aadhaar, so linking fails. Correct one record so both match, then link again.

⚠️ Note

Use the Link Aadhaar quick link on the e-Filing home page; you can link even without logging in. The FAQ says a fee of one thousand rupees applies to make the PAN operative by intimating the Aadhaar number, so read the page first.

Do this once

• ☐ Compare name and date of birth in PAN and Aadhaar
• ☐ Open Link Aadhaar on the portal
• ☐ Look at the TDS line on your slip
• ☐ Keep the confirmation

Track TDS month by month: salary slip format →

Source: incometax.gov.in, Link Aadhaar FAQ; Refund Status User Manual.