How to Reactivate a Deactivated PAN Card: Procedure and Documents Required?

A Permanent Account Number (PAN) card can sometimes be deactivated due to various reasons such as holding multiple PAN Cards, fraudulent activities, or non-residency status of foreigners who no longer need to carry out financial transactions in India. However, PAN activation is crucial for anyone looking to resume their financial operations.

Table of Content

• What is a PAN Card?
• Reasons for PAN Deactivation
• How to Check the Status of Your PAN Card?
• Process for Reactivation
• How to Prevent PAN from Getting Deactivated

What is a PAN Card?

A PAN Card is a unique 10-character alphanumeric identifier issued by the Income Tax Department of India. It is a crucial card for anyone engaging in financial activities in India. The PAN Card links all transactions made by an individual or entity, ensuring that tax evasion is minimized by facilitating the tracking of financial records. It is mandatory for filing income tax returns, making large cash deposits, buying or selling property, and many other financial transactions. One can apply for a PAN Card online or offline by filling and submitting an application form along with the necessary documents, which is then assessed. After online verification, the PAN Card is generated within 15 to 20 days.

Reasons for PAN Deactivation

There are several reasons why a PAN Card might be deactivated:

Duplicate/Multiple PAN Cards

There may be instances when more than one PAN Card has been assigned to a single individual. This usually occurs when a person loses his existing card and applies for a new PAN Card by filling out the form online, instead of getting a reprint. The Income Tax Department might deactivate any additional PAN Card in such cases.

Fake PAN Cards

To curb fraudulent activities, the department regularly deactivates PAN Cards found to be fake. Recently, the department has undertaken several measures to deactivate more than 11 lakh duplicate and fake PAN Cards.

PAN Card Deactivation for Foreigners

Foreign nationals who were issued PAN Cards but no longer need to engage in financial transactions in India might have their PAN Cards deactivated to avoid misuse.

Deactivation for Deceased Individuals

PAN Cards of deceased individuals are often deactivated to prevent misuse. The heirs or nominees of the deceased can file an application along with the death certificate to deactivate the PAN Card.

How to Check the Status of Your PAN Card?

Before understanding how to activate your PAN Card, check whether the card is active or has been deactivated by the Income Tax Department. Follow these basic steps to know the status:

• Log onto the Income Tax Department’s e-filing website
• Click on “Verify your PAN” displayed on the website
• Enter the details required such as PAN, Full Name, Date of Birth, and Mobile Number, and click on the “Continue” button
• The status of your PAN Card will be displayed on the screen.

In case, it has been deactivated, you can apply to reactivate the PAN Card online. In most cases, one is not required to fill out a new PAN Card form online, but is required to submit a request letter to the Assessing Officer with the mandatory documents.

Suggested Read: How To Check Pan Card Status By Mobile Number?

How To Check Pan Card Application Status Online?

Process for Reactivation

Reactivating a deactivated PAN Card involves a systematic procedure. Here's a step-by-step guide on how to activate an inactive PAN Card:

Submit a Request Letter

Write a request letter to the Assessing Officer of your jurisdiction explaining the need for reactivation and stating the reason for deactivation.

Attach Required Documents

Along with the request letter, attach the necessary documents. These include: -

• Indemnity Bond in favour of the Income Tax Department
• Copy of PAN on which the PAN holder is regularly filing the Income Tax Returns
• Copy of the last 3 years Income Tax Returns filed on the PAN de-activated.

Send the Application

Submit the request letter along with the supporting documents to your jurisdiction's Income Tax Office. Remember to adhere to the mandated format for the request letter, and the indemnity bond.

How many days will it take for the PAN Card to get reactivated depends on when you submit the application, and if all the documents submitted by you are verified and in order. Usually, it takes about 10-15 days for the Income Tax Department to reactivate your PAN.

How to Prevent PAN from Getting Deactivated

Without an active PAN Card, it may be difficult for you to make large cash transactions, you will also be barred from logging into e-filing websites or file ITRs. Here are some important measures to keep in mind in order to prevent your PAN Card from getting deactivated:

Avoid Multiple PAN Cards

Ensure you possess only one PAN Card. If you have multiple, surrender the additional cards immediately.

Keep Information Updated

Regularly update your information with the Income Tax Department to avoid discrepancies.

Complete Financial Transactions Properly

Ensure all financial transactions are correctly linked to your PAN Card and comply with tax regulations, including filing your income tax returns every year.

Link Aadhaar with PAN

Another important update that needs to be done by all PAN holders is to link their PAN Cards with Aadhar Cards, without which the cards may get deactivated.

Muthoot Finance, a leader in providing financial services in India, offers complete assistance in applying for a PAN Card. You can apply for a PAN Card through us in a hassle-free manner. All you have to do is visit your nearest Muthoot Finance branch with the necessary documentation, fill the form, pay the fee, and leave everything else to our team of experts. With Muthoot Finance, you are guaranteed of a smooth and efficient application process.