The Government of India has mandated the use of the Permanent Account Number (PAN) for opening all types of government pension accounts, including those under the National Pension System (NPS) and other central and state-managed pension schemes. This directive is intended to enhance identity verification, improve transparency in retirement savings, and strengthen the overall integrity of the pension administration system.

Under the revised guidelines issued by the Pension Fund Regulatory and Development Authority (PFRDA) and the Income Tax Department, all new applicants—whether employees in the public sector, private sector, or self-employed individuals—must furnish a valid and active PAN at the time of registration. The PAN will be used to cross-verify demographic details, monitor contributions, and align pension account activity with the individual’s tax filings and income disclosures.

Furthermore, pension contributions and withdrawals will now be reported under the PAN-linked Annual Information Statement (AIS) and Form 26AS, ensuring better tax oversight and facilitating faster processing of deductions and exemptions under Section 80CCD of the Income Tax Act. Existing subscribers are also advised to verify that their PAN is correctly updated and Aadhaar-linked within the pension system to avoid any delays in benefit disbursements or account management. This step reflects the government’s broader goal of building a digitally unified, financially secure, and compliant pension framework for all citizens.