Answer Book question

What should we do with the deceased person's PAN and bank accounts?

Keep the PAN active until the final income tax return for the year of death is filed by the legal heir (registered as such on the tax portal) and any refunds are received; then apply to surrender it. Close bank accounts only after all credits (pension arrears, refunds, claim payouts) have landed and all standing instructions are mapped.

By Kerala Rising · ·

Short answer

Keep the PAN active until the final income tax return for the year of death is filed by the legal heir (registered as such on the tax portal) and any refunds are received; then apply to surrender it. Close bank accounts only after all credits (pension arrears, refunds, claim payouts) have landed and all standing instructions are mapped.

Real life

A family surrenders the PAN in month two. A ₹48,000 tax refund and an insurance payout addressed to the deceased bounce. Re-activation is painful.

What this means

The estate has a tax life that outlasts the person. The legal heir files the last return. Accounts are the landing place for everything the estate is owed.

What to check

Final ITR filed Refunds received All claims paid into an account Standing instructions moved Then surrender PAN and close accounts

What people often miss

Closing too early.

The Kerala / NRI angle

A CA can register the legal heir on the tax portal; Kerala Rising can point you to one.

An example

Accounts kept open 14 months; everything landed; then closed.

When this may not be the right answer

None.

What to do next

Register as legal heir on the tax portal File the final return Close accounts last

Related questions

My father died. What financial things should we check first? What happens to a joint bank account when one person dies?

Related Kerala Rising help

Family support · Documents

Sources and what to verify

RBI guidance on deceased depositors' claims and UDGAM portal · SEBI/AMFI transmission procedures · IRDAI claim guidelines · Kerala Registration and Revenue Department procedures for legal heirship · Indian Succession Act / Hindu Succession Act as applicable Rates, limits and whether you may qualify change. Confirm with the official source. Ask Kerala Rising: Start with a Family Asset Inventory. Send us what you know so far. even a name and a bank. and we will help you work through every place worth checking. WhatsApp +1 443 595 9000 · keralarising.com Kerala Rising › Family › After a death · After a death 23

Before you act

This page is general orientation, not personal insurance, investment, medical, legal, lending, tax, or professional advice. Rules, rates, benefits, and claim or application decisions can change. Confirm the current position with the named official source and use a licensed or qualified professional where your situation requires one. Kerala Rising does not decide whether you may qualify, approve claims, or promise an outcome.