Key takeaway
A PAN is needed for most financial and property transactions in India and for filing returns. Indian citizens abroad apply in the form for citizens; foreign citizens, including OCIs, use the form for foreign citizens. Non-residents are generally exempt from the Aadhaar-PAN linking requirement, but a PAN can show as inoperative if the tax department’s records do not reflect non-resident status — this can be corrected.
When you need a PAN
- buying or selling property above prescribed values;
- opening bank or demat accounts and investing;
- receiving rent or sale proceeds with TDS credited correctly;
- filing Indian tax returns.
Without a PAN, TDS may be deducted at higher rates.
Which form
- Indian citizens (including NRIs): the PAN application for citizens.
- Foreign citizens, including OCI cardholders: the application for foreign citizens, with a foreign address and passport or OCI card as proof.
Applications can be made online through the authorised agencies’ portals, with documents uploaded or sent, and the PAN card couriered abroad. An e-PAN is also issued.
Aadhaar linking and inoperative PAN
Linking PAN with Aadhaar is mandatory for most residents. Non-residents (as defined in the Income-tax law) and foreign citizens are generally exempt. NRIs have found their PAN marked inoperative where the department’s database showed them as resident. Remedies include updating residential status with the assessing officer or through the portal’s grievance process, with supporting documents such as passport pages and recent returns filed as non-resident.
Updating details
Changes in name, address and contact details can be made through the PAN correction process. Keep your email and mobile updated on the e-filing portal so you receive notices.
Frequently asked questions
Can I use my old PAN after becoming a foreign citizen?
Yes. A PAN is permanent; update your citizenship and address details rather than applying for a new one. Holding two PANs is not permitted.
I don’t have a PAN and must sell property. What now?
Apply immediately; the buyer may otherwise have to deduct TDS at a higher rate.
Related guides
- All NRI legal guides
- NRI tax and FEMA in India: the complete guide
- Filing an Indian income tax return as an NRI
- NRI tax, banking and FEMA services
References
- Income-tax Act, 2025 and Income-tax Rules (PAN provisions)
- CBDT notifications on PAN-Aadhaar linking and exemptions — Income Tax Department
Last reviewed: November 2026.
The information provided is for general educational purposes only and does not constitute legal advice. Applicable laws and procedures may vary depending on the facts, jurisdiction, and circumstances of each matter. Consult a qualified legal professional before taking action.
