No Aadhaar, PAN Cancelled The proviso to Sub-section (2) is the proverbial last straw on the camel’s back! It says that if an existing PAN holder who is eligible to obtain the Aadhaar number fails to intimate the Aadhaar number, then “the permanent account number allotted to the person shall be deemed to be invalid and the other provisions of this Act shall apply, as if the person had not applied for allotment of permanent account number.” No Aadhaar, PAN Cancelled, Pay Penalty This provision is highly unfair and completely unwarranted. Readers may keep in mind the provisions of Section 272B(1), which mandate that if a person who is supposed to obtain a PAN as per the provisions of Section 139A does not do so, then he can be penalised with a penalty of Rs 10,000.