Effective 1 April 2026, significant changes have been introduced in PAN application and quoting requirements. Aadhaar-only PAN applications are no longer permitted, and applicants must now submit additional documents proving identity, address, and date of birth. New category-specific forms have been introduced, replacing Forms 49A and 49AA for fresh applications, while pending applications filed before 31 March 2026 remain valid. Simultaneously, revised thresholds for mandatory PAN quoting in transactions have been notified. PAN will now be required for aggregate cash deposits or withdrawals of Rs. 10 lakh in a financial year, purchase or sale of motor vehicles exceeding Rs. 5 lakh, hotel or event payments above Rs. 1 lakh, and immovable property transactions exceeding Rs. 20 lakh. Updated rules also mandate PAN for certain financial transactions, with Form 97 replacing Form 60 for declarations where PAN is unavailable. These changes aim to strengthen compliance and improve transaction reporting.
> Changes in Application for PAN w.e.f 01.04.2026
No more Aadhaar-only applications: Until 31 March 2026, applicants could often apply for a new PAN using only their Aadhaar. From 1 April 2026, Aadhaar alone is insufficient.
Applicants must submit additional documents, primarily for proof of identity, address, and date of birth (DOB).
- New category-specific application forms (old forms like 49A/49AA will not be accepted for fresh applications after 31 March 2026):
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- Form 93: For Indian individuals/HUF
- Form 94: For Indian companies/entities
- Form 95: For foreign individuals
- Form 96: For foreign entities
- Pending applications as on 31 March 2026 remain valid and do not need re-submission.
> Changes in Mandatory PAN Quoting for Transactions
| > Transaction Type | Old Limit (till 31.03.2026) | New Limit (w.e.f. 01.04.2026) |
| Cash deposits/withdrawals (bank/post office) | PAN for deposits > ₹50,000 in a single day | PAN if aggregate deposits/withdrawals ≥ ₹10 lakh in a financial year |
| Purchase/sale of motor vehicles (incl. two-wheelers) | Often required for most vehicles | PAN required if value exceeds ₹5 lakh |
| Hotel/restaurant bills, convention/event payments | PAN if payment > ₹50,000 | PAN if payment > ₹1 lakh |
| Immovable property (purchase/sale/gift etc.) | PAN if value > ₹10 lakh | PAN if value > ₹20 lakh |
- Other high-value transactions (e.g., certain financial dealings) may also require PAN as per the updated Rule 159(2) of the Income Tax Rules, 2026. Persons without PAN can still use a declaration in the new Form 97 (replacing old Form 60), with the recipient filing a half-yearly statement in Form 98.
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