Five Things To Know Before Applying For A PAN (Permanent Account Number) Card
Permanent Account Number or PAN, a ten-digit alphanumeric identifier, is issued by Income Tax Department. Each assessee (such as individual, firm or company) is issued a unique PAN. According to the Income Tax Department, online applications for PAN card can be made through either of the websites of NSDL (National Securities Depository Limited) and UTITSL (UTI Infrastructure Technology And Services Limited). Permanent Account Number (PAN), as the name suggests, is a permanent number and does not change. It is mandatory to mention valid e-mail ID in PAN application form to receive e-PAN.
Here are 5 things you need to know about PAN (Permanent Account Number) card:
1. All existing assessees or taxpayers apply for PAN. Individuals not having a PAN can, however, quote Aadhaar number instead while filing their income tax returns, as announced in the Budget.
2. Any person, who intends to enter into economic or financial transactions where quoting PAN is mandatory, must have a PAN. Even individuals not required to file income tax returns can apply for a PAN online on a voluntarily basis.
3. Obtaining/possessing more than one PAN is against the law and may attract a penalty up to Rs. 10,000. It is advisable not to obtain/possess more than one PAN.
4. In case if an individual has more than one PAN, he/she is required to fill and submit PAN change request application form by mentioning the PAN which he/she is currently using. All other PAN/s inadvertently allotted should also be mentioned in the form and the corresponding PAN card copy/s should be submitted for cancellation along with the form.
5. As per procedure prescribed by Income Tax Department, third party verification is conducted to verify identity and address of PAN applicants along with genuineness of documents submitted by them during PAN application. If found fake, the Income Tax Department takes suitable action.