PAN card for NRIs and OCI holders, how to apply and fix it

A PAN (Permanent Account Number) is the 10-character tax ID that India uses to link almost every money transaction to a person. If you live abroad, you can manage without one for a while. But the moment you want to sell a flat, invest in a mutual fund, open certain bank deposits or file an Indian tax return, you'll be asked for it.

This guide explains who needs a PAN, how NRIs and OCI cardholders apply from abroad, and how to fix the most common problem of recent years: a PAN marked "inoperative". Checked on 26 October 2026.

Key points

• Indian citizens abroad apply on Form 49A; foreign citizens, including OCI cardholders, on Form 49AA.
• You can apply online through Protean or UTIITSL from anywhere. The fee is about ₹107 for an Indian address and about ₹1,020 for a card sent abroad.
• NRIs don't have to link Aadhaar with PAN. Many NRI PANs went "inoperative" because the tax department's records showed them as residents.
• The fix is to tell your Jurisdictional Assessing Officer your residential status, with proof.
• A PAN stays the same for life. Don't apply for a second one if you change citizenship.

When an NRI or OCI cardholder needs a PAN

You'll typically need a PAN to:

• file an Indian income tax return, including to claim a refund of excess TDS;
• sell or buy property worth more than ₹10 lakh;
• invest in Indian mutual funds, shares or the stock market (a demat account needs one);
• open fixed deposits or accounts above set limits, and stop banks deducting TDS at higher rates;
• use tax treaty rates, which need your PAN alongside the treaty forms.

Without a PAN, payers must deduct tax at a higher rate (usually 20% or the normal rate, whichever is higher), and refunds can't be issued.

Why it matters: Millions of Indians abroad have rent, deposits or property in India, and every one of those links back to a PAN. A missing or inoperative PAN is behind many of the frozen refunds, extra TDS and stalled property sales NRIs complain about. For families in India handling a relative's money, the PAN is usually the first thing a bank or buyer asks for.

Which form to use

The forms ask for your name exactly as in your passport, your parents' names, date of birth, and contact details. Use one consistent spelling everywhere: mismatches between PAN, passport and bank records cause more trouble than anything else.

How to apply from abroad

1. Apply online on the Protean (formerly NSDL) or UTIITSL PAN portal. Choose Form 49A or 49AA.
2. Pay the fee by international card or Indian bank account. About ₹107 with an Indian communication address; about ₹1,017 to ₹1,020 for dispatch to an address abroad, as published by the agencies. Fees change, so check on the day.
3. Sign and submit documents. Depending on the route, you upload scanned documents and sign digitally, or post the signed acknowledgment with copies to the agency's office in India. Documents attested by an Indian embassy or a notary may be needed.
4. Get an e-PAN by email once it's allotted. The physical card follows by post.

Instant e-PAN through the income tax portal works only with an Aadhaar number and Aadhaar-linked mobile, so most NRIs without Aadhaar, and all OCI cardholders, use the agency route.

"My PAN is inoperative": what happened and how to fix it

Since 1 July 2023, PANs not linked with Aadhaar have been treated as inoperative, under a rule that applies to residents. NRIs are exempt from linking. But many found their PANs marked inoperative anyway.

The reason, according to the Income Tax Department's own clarification: it decides who is an NRI from your last three years of tax returns, or from what you've told your Assessing Officer. If you hadn't filed returns as a non-resident, or had never updated your status, the system treated you as a resident who failed to link Aadhaar.

What "inoperative" means

The department has said an inoperative PAN can still be used to file a return. But while it's inoperative:

• refunds, and interest on them, aren't issued;
• TDS and TCS are charged at higher rates.

How to fix it

1. Find your Jurisdictional Assessing Officer (JAO) with the "Know Your AO" service on the e-filing portal.
2. Write to the JAO with your PAN, a request to update your residential status to non-resident, and proof: passport pages with travel stamps, your OCI card or foreign passport if relevant, and overseas residence proof.
3. File your return as a non-resident each year, which keeps the department's records current.

If you're actually resident and haven't linked Aadhaar, linking it (with the late fee) restores the PAN.

Changing citizenship? Keep the same PAN

When an Indian citizen becomes a US, UK or Canadian citizen, the PAN doesn't change. Apply for a correction to update citizenship and address rather than a new PAN. Holding two PANs is an offence, and a duplicate must be surrendered.

What to do next

• If you're selling property, see our guide to TDS on property sales by NRIs, where a working PAN decides how much is deducted.
• For which bank accounts NRIs can hold, see NRE, NRO and FCNR accounts.
• For how India decides whether you're an NRI for tax, see our NRI tax explainer.

A PAN costs little and lasts a lifetime. The NRIs who run into trouble are usually those who got one years ago and never told the tax department they'd moved. One letter and a return filed on time each year keep it working.

Last checked: 26 Oct 2026. This explainer is general information, not tax advice. Check fees and forms on the official portals before applying.