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Apr 03, 2026
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Income tax refunds of over 1.3 lakh taxpayers put on hold due to this PAN issue – details here
More than 1.3 lakh taxpayers are currently waiting for their income tax refunds, not because of scrutiny or errors but due to something as basic as an inoperative PAN, Parliament was informed recently by the government.
The Finance Ministry informed that refunds worth over Rs 340 crore have been withheld in such cases, highlighting how a simple compliance lapse can delay taxpayers’ money.
The details were shared in a written reply in the Lok Sabha, making it clear that PAN-Aadhaar linking is now critical for smooth tax processing.
What the government told Parliament
The issue came up through a set of questions raised by MPs Shri Karti P Chidambaram, Shri Dr Amar Singh, and Shri Benny Behanan in the Lok Sabha.
Responding to this, Minister of State for Finance Shri Pankaj Chaudhary provided detailed data on PAN inoperability, refunds, and grievances.
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