Permanent Account Number (PAN) is a ten-digit alphanumeric number, issued in the form of a laminated card, by an Assessing Officer of the Income Tax Department.
A typical PAN is AFRPP1595D.
- It is mandatory to quote PAN on return of income, all correspondence with any income tax authority and challans for any payments due to Income Tax Department.
It is also compulsory to quote PAN in all documents pertaining to economic or financial transactions notified from time-to-time by the Central Board of Direct Taxes.
Some such transactions are sale and purchase of immovable property or motor vehicle or payments to hotels for bills or payments in cash, of amounts exceeding Rs. 25,000/-, in connection with travel to any foreign country.
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It is also mandatory to mention PAN for obtaining a telephone or cellular telephone connection.
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Likewise, PAN has to be mentioned for making a time deposit exceeding Rs.50,000/- with a Bank or Post Office or depositing cash of Rs. 50,000/- or more in a Bank.
The new PAN card is a superior card and in case of individual applicants it will carry a coloured photo-image. It is tamper proof and has built-in security features such as a hologram and UV line. These security features will thwart forgery of PAN cards.
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The UTIISL has set up at least one counter in each of the 501 cities as requested by the Income Tax department. Most of these counters for PAN have been set up at I-T offices.
In big cities, UTIISL has set up more counters. Service counters have also been set up at 50 branches of UTI MF to handle PAN card customers.
The database on the information related to your PAN card remains with the government and UTIISL cannot use it for any other purpose.
In Existing cards valid, but you can get a new one:
The existing PAN cards would continue to be valid. It is optional for these PAN card holders to obtain the new plastic cards.
Anyone who had already received a permanent account number, but did not have the card, now has the option of either asking the Income-Tax department for an existing type of laminated card, or opt for a smart card by applying for it.
The applications which are pending with the I-T department (application made till June 30, 2003) would also be issued the old card, but if an individual wishes, he or she can go for the new card after paying Rs 60. All applications made from July 1 onwards will be handled by UTI-ISL and applicants will be given the new PAN cards.
