For all Indian citizens who are liable to pay tax under the Income Tax Act, 1961, or are required to enter into financial transactions in India, it is mandatory to have a Permanent Account Number.

The Permanent Account Number (PAN) is a combination of 10 alphanumeric numbers issued by the Income Tax Department. The Department has entrusted UTI Investor Services Ltd. (UTIISL) with the task of managing IT PAN Service Centres wherever the IT department has an office in the country. The National Securities Depository Limited (NSDL) has also been engaged to allot PAN cards from TIN Facilitation centres.

Applying for a PAN

Form 49A, which is the application form for a PAN, can be downloaded from the Income Tax, UTIISL and NDSL websites:
www.incometaxindia.gov.in
www.utiisl.co.in
tin.nsdl.com

The forms care also available at the IT PAN Service Centres and TIN Facilitation Centres. A “tatkal” or priority service has been provided for, to enable speedy allotment of the PAN card through the Internet. The PAN is allotted through e-mail on priority in 5 days as against the normal 15 days to the applicant upon online payment through a credit card. The PAN has a lifetime validity.

The necessity for a PAN Card to NRIs

Apart from income returns which must carry the PAN, it is mandatory to submit the PAN in all financial transactions, like the purchase and sale of property in India, payments for purchase of vehicles, foreign visits,  securing a telephone connection or making time deposits in a bank worth over Rs.50,000.

For NRI’s, PAN is necessary to conduct monetary transactions in India, invest in stocks, and pay tax on their Indian income.

The application for a PAN must be accompanied by:

• a recent colored photograph of size 3.5 cms x 2.5 cms on the application form
• a proof of residence and identity (attested school leaving/matriculation certificate/degree/credit card/voter identity/ration/passport/driving licence/telephone/electricity bill/employer certificate
• code of the concerned Assessing Officer of the IT Department obtainable from the IT office where form is submitted

PAN Charges

UTIISL and NDSL centres collect Rs.60 plus service charges in cash on every application.