December 30, 2022
Shreeja Ray

PAN Number – Permanent Account Number

Permanent Account Number (PAN) is a unique 10-digit alphanumeric number assigned by the Income Tax Department to Indian taxpayers under the Income Tax Act of 1961.

Using a unique permanent account number, the government keeps track of an individual's tax-related activities and transactions. This allows the tax collector to link all tax-related activities to the department.

What exactly is a PAN Card?

The PAN number tracks a person's financial transactions and is required for all payment methods.

A PAN card is a physical plastic card that contains one's PAN number, name, date of birth, and photos.

The PAN number is valid for life and can thus be used as a form of identification because it is unaffected by changes in address or employment profile.

Who is eligible for a PAN Card?

According to the Income Tax Act, Indian residents who fall into one of four categories are eligible for a PAN card:

1. Self-employed individuals or business owners with an annual income of Rs. 5 lakh or more

2. Individuals who are taxed or pay income tax

3. Individuals who work in the import and export industries

4. Organizations, associations, and trusts that have been registered

5. In addition to Indian nationals, NRIs (Non-resident Indians), PIOs (Persons of Indian Origin), OCIs (Overseas Citizens of India), and foreigners recognized by the Income Tax Act of 1961 are eligible to apply for a PAN card.

Documents required for online PAN Card verification

The following papers must be provided by an entity for online PAN Card verification:

Organizational specifics

1. The name of the entity

2. Personal information about the entity Personal information about the entity

3. The entity's PAN and TAN

4. Contact information about the entity

5. Classification of entities

Signature specifics

1. Serial number of a digital signature certificate

2. The name of the certifying authority

3. Classification of digital signature certificates

Payment information

1. Method of payment

2. Payment amount

3. The quantity of instruments

How to Apply for a PAN Card through the NSDL

1. Navigate to the NSDL website and click on 'Application Type.'

2. Choose the proper application form: Form 49A is used by Indian citizens, and Form 49AA is used by foreign citizens.

3. Next, select a classification from the available possibilities.

4. Enter your information carefully, including your title and full name.

5. Select the DD/MM/YY format for your DOB/Incorporation/Formation date.

6. Enter a valid mobile number and an active email address.

7. Mark the guidelines with a check mark.

8. After entering the CAPTCHA code, close the PAN program.

9. You will then be sent to the payment page, where you will be required to pay Rs 93 for your PAN card. You would have to pay Rs 864 if you choose Form 49AA. Finish the transaction.

10. After successfully submitting your PAN card application, you will receive an acknowledgement number page. Make a duplicate and save it somewhere safe for future reference.

11. Place a passport-sized photo on the acknowledgement page, sign it in black ink, and mail the acknowledgement receipt to the Income Tax Department. Submit your residential verification, identification proof, or other supporting documents, along with the receipt, within 15 days of the online process's completion date.

12. Following the successful validation of your documents, your PAN card number will be emailed to the mobile number and email address you provided.

The Advantages of Having a PAN Card

1. Mandatory for all contacts and transactions with the Income Tax Department of India

2. To claim a tax refund, pay tax, submit tax deducted at source or tax collected at source, and so on, you must have a unique PAN number.

3. Verification of identity

4. A PAN card is recognized throughout the country as a valid form of identity. It contains all relevant information such as name, birth date, portrait, signature, and so on.

5. Allows payment confirmation

6. A PAN card ensures that all of your payments are pooled together under your PAN number, making payment authentication easier.

7. A PAN card is required for a number of financial operations.

Things to Consider When Registering for a PAN Card

1. Fill in all of the details carefully because even little errors can cause problems later on and may necessitate a rectification application.

2. Individuals should confirm that all of the information on Form 49A matches the information on their supporting documentation.

3. To avoid having the application refused, make sure the applicant's thumb impression is attested on the form by a Notary or a Magistrate.

4. Make sure the communication address on the form is correct, as your PAN Card will be delivered to that address.

5. Fill out Form 49A in legible capital letters. Also, avoid writing over the letters or making revisions on the form.

6. When filing taxes, the government has made it necessary to include the PAN number. Failure to comply with this guideline may result in a punishment of up to INR 10,000.

7. In addition, if there is a problem, you must obtain a Correction form for your PAN card and make the necessary revisions, or do so through the NSDL website. Furthermore, the PAN card application form, along with the relevant supporting papers, must be sent to the following address.


Even though the procedure of applying for a PAN card is straightforward, there are several technical questions in form 49A that may confuse the applicant. And, as previously said, any errors in the form can result in extra delays and costs.


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