Step 1: For this tutorial, you’ll need PwnageTool 4.3.4 (download link) Make sure you get the 4.3.4 version, as it's the only one that will work with iOS 4.3.4. You can just download this tool to your desktop for easy retrieval.
Step 2: Load up PwnageTool, select the "iPad/Apple TV" mode and click the blue arrow. PwnageTool with this method should actually locate your iPad firmware on your hard drive for you, so there is no need to download the .ipsw file. Select the iPad firmware then click next.
Step 3: PwnageTool will work it's magic and may take a while.
Step 4: After it is complete, you will be askeed to connect your iPad via USB. PwnageTool will assist you in getting your iPad into DFU mode. You may not get it the 1st try, just wait until PwnageTool is done giving DFU instructions, then click try again. If you did it correctly, it should look like this:
Step 5: Now you can close PwnageTool, then go ahead and open iTunes with your iPad still connected to your computer. Next you should receive this message from Apple:
Step 6: Do not click restore because you will just install Apple’s original firmware. While holding down your Mac’s Option key, click restore. This will open up a window for you to browse and find the file. Select the custom firmware from your Desktop that was created by PwnageTool, and restore it.
Step 7: It could take a little while for iTunes to install the custom firmware on your iPad. After complete, your iPad should reboot itself and the Cydia icon should be on your home screen.
Now you can jump into Cydia and begin to enjoy your jailbroken iPad.