How To Link PAN With Your Bank Account

There are numerous ways for you to update your PAN card details on your bank account.

• Through your Bank’s Netbanking login
• Through your Bank’s Mobile Banking App
• Through Phone Banking
• By visiting your Bank’s branch

How to Link PAN Card with Bank Account Online (through Netbanking)?

Most banks have the Netbanking option. Netbanking allows various online services for their customers. Linking or updating your PAN details on the bank account is one of them. Though the specific steps may vary from bank to bank, they would follow a similar protocol to update PAN on your bank account. The below steps give a brief overview of the steps:

• Log in to your bank's internet banking account using your User ID and Password. 
• Go to your Profile section and look for options pointing to PAN Card Updation. 
• Click on the relevant link. 
• Enter your PAN details and other required information. 
• Verify the details and hit submit. 
• You may be sent an OTP on your registered mobile number for authorization purposes.
• Enter the OTP and submit. 
• The system will verify your PAN information on the database and approve the linking.
• You may receive an SMS or Email once the linking is successful.

Linking PAN Number with your Bank account using Mobile App

These days, most banks have a mobile app. These mobile apps provide you all the features similar to Netbanking. Mobile apps also allow users to update PAN details on their account.

• Open your Bank’s Mobile Banking App.
• Go to the Profile section or e-services section. 
• Look for an option that will allow for PAN updation. 
• Choose the relevant option and input the requested details like PAN Number, Account Holder’s Name, Date of Birth and so on. These requested details may vary from bank to bank.
• Once you have entered the details, click submit. 
• You may be sent an OTP for authorization. Enter the OTP in the relevant field. 
• The system will verify your PAN information on the database and approve the linking.
• You may receive an SMS or Email once the linking is successful.

Linking of PAN and Bank Account through Phone Banking

Though most of us do not use the Phone Banking facility largely, it is still a relevant customer support service. Phone Banking too allows various account related services for the convenience of the customers. Updating your PAN details on your account can be done via Phone Banking too.

• Call your Bank’s Phone Banking number
• You will be mostly directed to the IVRS service. Listen to the IVRS options carefully to choose the correct option to update your PAN Number on the account.
• Follow the instructions, enter your PAN number and any other details requested. The request will be accepted.
• If you are unable to find the right option for PAN Updation, you can choose to speak to a Customer Care Representative to get the PAN Updation done.

Linking of PAN with your Bank Account at the nearest Branch

• Visit the nearest branch of your Bank where you maintain your account.
• Ask for a PAN Card Number updation form. The form may be named differently in different banks. Find the right form and get it.
• Fill out the required details in the form.
• Submit the form along with a copy of your PAN card.
• When your PAN card is linked to your account, you'll receive an update from the bank.

Why should I update my PAN Number on my Bank Account?

PAN number is being increasingly mandated in financial transactions to weed out the black money menace in the country. The government has also introduced measures like linking PAN with Aadhaar to implement a single identification system to remove duplicates, thus, bringing in the right amount of tax liable to be paid. Continuing with these efforts, linking your PAN and bank account has been made compulsory.

• PAN card is a proof of identity and it guarantees KYC compliance in a bank account along with the proof of address.
• Linking your PAN with a bank account allows the bank to identify duplicate bank accounts in the same bank, and prevent duplication of accounts in other branches as well.
• Income tax department would be able to track your expenditure against earned income, which is a useful tool for raising tax-payer queries.
• Income Tax refunds are remitted directly to your bank account. Hence, linking your PAN is compulsory as the amount shall be refunded to the account linked to your PAN card.
• Remittance of any amount exceeding Rs. 50,000/- into your bank account requires PAN number or Form 60. It is therefore advisable to have a PAN number linked to your operating account in order to overcome all PAN related issues with the bank.
• In case of fixed deposits, if you have not linked your PAN with a bank account, TDS will be deducted at 20% instead of 10% on income on these deposits, which is above the taxable limit.

PAN & TDS

TDS is Tax Deducted at Source. It is the tax deducted from incomes such as rent, salary, commission, professional fees, interest, etc. It is deducted by the person making the payment before it is credited to the beneficiary. This TDS is then deposited to the Government by the deductor against the deductee’s PAN number.

Your TDS is linked to your PAN number. This allows you and the government to conveniently track the tax that you have paid to the income tax department. You can check your TDS statement using Form 26AS.