2019-09-30 17:05:48LegalEnglishPAN Card Application is either for the issuance of a new PAN Card or changes to be made in the existing card. NSDL obtains PAN on behalf of...https://quickbooks.intuit.com/in/resources/in_qrc/uploads/2019/09/PAN-Card-Application-Final.jpghttps://quickbooks.intuit.com/in/resources/legal/pan-card-application/PAN Card Application: The Complete Guide

PAN Card Application: The Complete Guide

10 min read

Permanent Account Number (PAN) is a 10 digit alphanumeric number issued by the Income Tax Department (ITD) in the form of a laminated card. Such a number enables the ITD to link all the transactions of the person with the department. These transactions of an individual or any other person (Company, LLP, Trusts etc ) may include:

  • tax payments
  • TDS/TCS credits
  • income/wealth/gift/FTP returns
  • specific transactions
  • any other correspondence

Thus, PAN acts as an identity of a person or an individual with the ITD. PAN was introduced to support:

  • attaching payment of taxes, assessment, outstanding taxes, taxes to be paid etc relating to an assessee
  • easy recovery of information
  • matching of details pertaining to the investments, loans and other business
  • activities of the taxpayers
  • discover tax evasion etc.

Hence, before understanding the procedure for online PAN card application, its first important to know who needs to apply for a PAN card.

Who Needs to Obtain PAN Card?

The following persons need to obtain PAN:

  • Every person whose total income or the total income of any other person in respect of whom he is assessable during the year exceeds the maximum amount which is not chargeable to income tax.
  • Person carrying on any business or profession whose total sales, turnover or gross receipts exceed or are likely to exceed Rs. 5 lakhs in any year.
  • A charitable Trust who is required to furnish return under section 139 (4A)
  • Any class or class of persons who are required to pay tax under income tax act or any other act for the time being in force. These persons also include importers or exporters whether they are required to pay any tax or not.
  • Persons notified by the central government for the purposes of collecting information useful or relevant to the purposes of this act.
  • Any person who may or may not liable to pay tax under the act may be allotted PAN by the assessing officer. He may issue PAN with regards to the nature of transactions as may be prescribed under the act.
  • Also, any person who may request the assessing officer to allot PAN
  • Every person who intends to enter into specific financial transactions in which quoting of PAN is mandatory.

Types of PAN Applications

There are two types of PAN applications:

1. Application for Allotment of PAN

The applicant who has never applied for PAN or has not been allotted a PAN needs to fill the application form for PAN. Before filling the application form he needs to check whether he has been allotted PAN or not. The applicant can do so by accessing the website of the ITD department i.e. www.incometaxindia.gov.in. Thus, the ITD mentions the following forms with effect from November 1, 2011 to submit applications for the allotment of new PAN.

  • Form 49A: This application form needs to be filled by Indian citizens including those located outside India.
  • Form 49AA: This form needs to be filled by foreign citizens

2. Application for New PAN Card/or/and/Changes or Correction in PAN Data

The persons who have been allotted PAN already but wish to obtain a new PAN card or want to make certain changes or corrections in PAN details are required to submit applications under this. Such applications must be submitted in the following form prescribed by ITD:

Request for New PAN Card or/and Changes or Correction in PAN Data

Both Indian as well as foreign citizens can use this form. Thus, in this case, a new PAN card showcasing the same PAN but changed details is issued to the applicant.

Procedure for PAN Card Application

Since June 2004, NSDL e-Gov obtains PAN applications on behalf of ITD. It accepts such applications through its TIN (Tax Information Network) – facilitation PAN centers (TIN – FCs) and PAN centres established across the country. Further, NSDL e-Gov also provides an online facility to apply for PAN.

1. Log in or Registration

The applicant can either apply online with NSDL or UTI Infrastructure Technology and Services Limited for PAN card application. The links to the two websites are as follows:

NSDL
https://www.onlineservices.nsdl.com/paam/endUserRegisterContact.html

UTI Infrastructure Technology and Services Limited
https://www.utiitsl.com/UTIITSL_SITE/

The applicant first needs to choose the application type. There are three options.

New PAN – Indian Citizen (Form 49A)

If the applicant is an Indian citizen or an Indian citizen located outside, who wants to submit an application for allotment of PAN must choose this form for PAN application.

New PAN – Foreign Citizen (Form 49AA)

Foreign citizens who want to apply for allotment of PAN must choose this form.

Changes or Correction in Existing PAN Data or Reprint of PAN

Next, the applicant also needs to choose any one of the following categories:

  • Individual
  • Association of persons
  • Body of individuals
  • Company
  • Trust
  • Limited Liability Partnership (LLP)Firm
  • Government
  • Hindu Undivided Family (HUF)
  • Artificial Juridical Person
  • Local Authority

Besides this, the applicant also needs to fill other basic details such as title, last name, first name, middle name, date of birth or incorporation or formation, e-mail id, mobile number.

2. Generation of a Token Number

Once the applicant submits the basic details, a token number is generated and displayed on the applicant’s screen before filing the PAN application form. Such a token number is also sent on the email id so mentioned in the application for applicant’s reference. The significance of this Token Number is that it helps the applicant to view the details entered in the application form by the applicant before its submission.

3. Filling the Details of PAN Application Form

Once the token number is received start filling the details in the form. Form 49A has around 15 section. It covers:

  • personal details
  • details of parents
  • address
  • contact number and email id details
  • status of applicant
  • source of income
  • registration number
  • aadhaar number
  • details of the representative assessee
  • documents submitted as proof of identity, proof of address and proof of date of birth
  • acknowledgement

However in form 49AA, apart from the above details, the application form for foreign citizens also contains KYC details section.

The applicant must read the instructions carefully. He must not forget to fill the mandatory fields that are marked by an asterisk. If the data submitted by the applicant does not get validated due to format issues a response is displayed on the screen indicating the errors. The applicant must rectify the errors and resubmit the form.

However, if there are no errors the applicant’s screen displays message of confirmation. The applicant can either edit the details or confirm the same.

4. Payment of Application Fee

There are two circumstances under which the applicant can pay the fees.

1. If Applicant Wants Physical PAN Card

The applicant needs to mention that he wants the physical PAN card while submitting the PAN application form. Thus, printed copy of the physical PAN card would be sent to the communication address mentioned in the application form if the applicant chooses for physical PAN card. Further a pdf copy of an e – PAN card is also sent to the applicant at the email address specified in the application form. Following is the fee structure in such a circumstance.

PAN Applications Submitted Online Using Physical Mode (i.e. physical documents sent to NSDL e – Gov

Serial No.ParticularsFees (exclusive of applicable taxes) in RsFees (inclusive of applicable taxes( in Rs. 
Dispatch of physical PAN Card in India (Communication address is Indian address)91107
Dispatch of physical PAN Card outside India (where foreign address is provided as address for communication)8621017

PAN Applications Submitted Online Trough Paperless Modes (i.e.i.e. e-KYC & e-Sign/e-Sign Scan Based/ DSC Scan Based)

Serial No.ParticularsFees (exclusive of applicable taxes) in RsFees (inclusive of applicable taxes( in Rs. 
Dispatch of physical PAN Card in India (Communication address is Indian address)86101
Dispatch of physical PAN Card outside India (where foreign address is provided as address for communication)8571011

2. If the Applicant does not Want a Physical PAN Card

The applicant needs to mention that he does not require the physical PAN card while submitting the PAN application form. In these cases email id will be mandatory and e – PAN card will be sent to the applicant at the email id mentioned in the application form. Thus, no physical PAN Card will be dispatched in such a case. Following is the fee structure in such a circumstance.

PAN Applications Submitted Online Using Physical Mode (i.e. physical documents sent to NSDL e – Gov

Serial No.ParticularsFees (exclusive of applicable taxes) in RsFees (inclusive of applicable taxes( in Rs. 
E – PAN Card will be dispatched at the email id mentioned in the PAN application form 6172

PAN Applications Submitted Online Trough Paperless Modes (i.e. e-KYC & e-Sign/e-Sign Scan Based/ DSC Scan Based)

Serial No.ParticularsFees (exclusive of applicable taxes) in RsFees (inclusive of applicable taxes( in Rs. 
E – PAN Card will be dispatched at the email id mentioned in the PAN application form 5666

5. Acknowledgement

On confirmation of successful payment, an acknowledgement screen is displayed to the applicant. Such a screen displays a downloadable acknowledgement receipt. Further, an email is sent to the applicant that contains the acknowledgement and payment receipts as attachments in pdf formats. This email is sent to the applicant on the email id mentioned in the application. The applicant must print this acknowledgement. Further, if the applicant is an individual who is making an application for allotment of new PAN, he needs to affix two recent coloured passport size photograph. Also, he needs to put signatures or thumb impression across the photo on the left side of the acknowledgement.

In case a non individual applicant submits PAN application, the authorized signatory on behalf of the applicant needs to sign the acknowledgement receipt.

6. Mode of Submission of Documents

The applicant is required to send the requisite documents physically through courier or postal services at the below mentioned address of NSDL. These documents include duly signed acknowledgment, affixed with photographs (in case of ‘Individuals’) along with demand draft, if any, and proof of identity, proof of address and proof of date of birth. This is the case where the applicant applies for PAN through physical mode. The address of NSDL is:

  • NSDL e-Gov at ‘Income Tax PAN Services Unit, NSDL e-Governance Infrastructure Limited, 5th Floor, Mantri Sterling, Plot No. 341, Survey No. 997/8, Model Colony, Near Deep Bungalow Chowk, Pune – 411 016’.

However, there is no need to send physical documents to NSDL e-Gov in case of e-KYC & e-Sign, e-Sign based or DSC based online PAN application. This is because the PAN application is through paperless mode.

Here is an infographic that explains in a simple way the PAN Card Application Procedure.

PAN CARD APPLICATION
Information may be abridged and therefore incomplete. This document/information does not constitute, and should not be considered a substitute for, legal or financial advice. Each financial situation is different, the advice provided is intended to be general. Please contact your financial or legal advisors for information specific to your situation.

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