PAN (Permanent Account Number)
is a unique 10-digit alphanumeric number allotted to each taxpayer and issued
in the form of a laminated card by Income Tax Department under the supervision
of the Central Board of Direct Taxes. Pan Card also serves as an important
identity proof like driving licence and
Aadhaar card and accepted at all the places.
PAN Card is mandatory to carry out financial transactions such as opening a demat account, receiving taxable salary or professional fees and sale or purchase of assets above specified limits.
The PAN Number once allotted to an individual remains unaffected by the change of address within or across states in India.
PAN Card is mandatory to carry out financial transactions such as opening a demat account, receiving taxable salary or professional fees and sale or purchase of assets above specified limits.
The PAN Number once allotted to an individual remains unaffected by the change of address within or across states in India.
Why is PAN Number important?
PAN is a number that no
taxpayer can do without. PAN Card is compulsory in order to file your Income
Tax returns and to receive a tax refund.
PAN card also serves an accepted proof of identity and has now been made mandatory for a number of transactions of both a business as well as a personal nature.
A list of the various activities that require a PAN number to complete the activity is mentioned below:
PAN card also serves an accepted proof of identity and has now been made mandatory for a number of transactions of both a business as well as a personal nature.
A list of the various activities that require a PAN number to complete the activity is mentioned below:
Mandatory uses of PAN Card
1. PAN number needs to be
mentioned while paying direct taxes.
2. For the registration of a
business, you have to furnish PAN number.
3. Taxpayers need to quote
their PAN number while paying income tax.
4. Many financial transactions
require PAN number.
General uses of PAN Card
1. PAN Card can be used
throughout the country as a valid identity proof.
2. You can keep a track of
your tax payment through Pan Number.
3. As PAN number is unique for everyone, hence, misuse of the same is
almost impossible for purposes of tax evasion etc.
4. PAN card can be used as a
document to avail connections like electricity, telephone, LPG and internet.
5. PAN number is used to track
all financial information like payment of taxes, investments made and debt
liability of an entity, to a single customer.
Who has to obtain PAN Card in India?
1. Every person if his total
income or the total income of any other person in respect of which he is
assessable during the year exceeds the maximum amount which is not chargeable
to tax.
2. A charitable trust who is
required to furnish return under Section 139(4A).
3. Every person who is
carrying on any business or profession whose total sale, turnover, or gross
receipts are or is likely to exceed five lakh rupees in any year.
4. Every importer/exporter who
is required to obtain Import Export code.
5. Every person who is
entitled to receive any sum/income after deduction of tax at source.
6. Any person who is liable to
pay excise duty or a producer or manufacturer of excisable goods or a
registered person of a private warehouse in which excisable goods are stored
and an authorized agent of such person XXXX D [As amended by Finance Act,
2016].
7. Persons who issue invoices
under Rule 57AE requiring registration under Central Excise Rules, 1944.
8. A person who is liable to
pay the service tax and his agent.
9. Persons registered under
the Central Sales Tax Act or the general sales tax law of the relevant state or
union territory.
10. Every person who intends
to enter into specified financial transactions in which quoting of PAN is
mandatory.
How to apply for PAN Card?
Offline process: For obtaining the PAN Card, you have to submit the PAN application form along with the required documents and fees at the PAN application center of UTIITSL or NSDL.
A resident person shall apply for PAN Card in form 49A and a non-resident person including a foreign company shall apply for allotment of PAN in form 49AA.
You have to affix two recent coloured photographs (size 3.5 cms x 2.5. cms) and need to furnish copies of proof of Identity, address, and Date of Birth.
Designation and Code of concerned Assessing Office of Income Tax Department will have to be mentioned in PAN application form. Your PAN card will be sent to your address within 15 days.
Online process: An online
application can also be made from the website of UTIITSL or NSDL. Just visit the
website of UTIITSL or NSDL. Fill the form and pay the processing fees.
You need to affix two recent coloured photographs (size 3.5 cms x 2.5. cms) and need to furnish copies of proof of Identity, address, and Date of Birth. PAN Card will be sent to your address within 15 days.
You can also track the status of your application online from the website of UTIITSL or NSDL.
You need to affix two recent coloured photographs (size 3.5 cms x 2.5. cms) and need to furnish copies of proof of Identity, address, and Date of Birth. PAN Card will be sent to your address within 15 days.
You can also track the status of your application online from the website of UTIITSL or NSDL.
The address, phone numbers, etc., of PAN Card application centers of UTIITSL or NSDL at which PAN application can be submitted, can be obtained from:
Website of Income Tax Department: https://www.incometaxindia.gov.in
Website of UTIITSL: https://www.utiitsl.com
Website of NSDL: https://www.nsdl.co.in/
Validity of the PAN Card
The PAN number is valid for
lifetime.
You may also like to read: How to apply for duplicate PAN card | Reprint PAN card online
You may also like to read: How to apply for new PAN card online?
You may also like to read: How to file income tax online?
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