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Q.What is the purpose of having a Permanent Account Number (PAN) under new series ?
Having a PAN helps you in dealing with the Income Tax Department as well as with other Govt. Organisations.

Q.What is PAN under new series ?

It is an all India, UNIQUE Number of 10 CHARACTERS allotted by the Income Tax Deptt.
It is PERMANENT for your life and will not change with change of your address or station or change of your Assessing Officer, etc.
PAN under the new series is being issued to replace old PAN or GIR No.
Q. How does a PAN look like ?
AAB P S 8791 R

Q.Who is expected to apply for PAN ?

Individuals
Hindu Undivided Families
Companies
Partnership Firms
Association of Persons
Body of individuals
Trusts
Artificial Juridical Persons
Representative Assessees
Q.Who must have a PAN ?

an Income Tax Payer, or
a person carrying on business or profession whose total sales or turnover or gross receipt exceeded Rs. 5 lakhs, or
a trust.
Any other person
Q.When to apply for PAN ?
Income of a particular financial year, is taxed in the subsequent year, called the Assessment Year. For example, income of the financial year 1998-1999 (i.e. 01/04/1998 to 31/03/1999) will be taxed in the Assessment Year 1999-2000. You have to apply for a PAN by the 30th June of the relevant Assessment Year.

Q.How to apply for a PAN ?

You may file an application in Form No. 49A, which is available at all Income-tax offices.
While making an application in Form 49A you must fill in your

FULL NAME (Initials must be expanded)

DATE OF BIRTH (in case of individuals)

DATE OF INCORPORATION or FORMATION, etc. (in case of companies or firms etc.)

FATHER'S FULL NAME (in case of individuals)

MARRIED LADIES SHOULD GIVE THEIR FATHER'S FULL NAME WITH EXPANDED INITIALS

Q. Where to apply ?

To your Assessing Officer, if already assessed to tax;
To the Assessing Officer dealing with new taxpayers, if you were not assessed to tax earlier;
Any Assessing Officer or his staff in Delhi, Mumbai and Chennai can allot you a PAN in a matter of few moments across the counter from his personal computer (PC).

Q.How will PAN under the new series be communicated ?

A letter intimating your PAN under the new series will be sent either by the Officer in-charge of the Computer Centre or your Assessing Officer.
If your application is incomplete or deficient, you will receive a DEFICIENCY LETTER or an INTIMATION CUM

DEFICIENCY LETTER stating the shortcomings or defects in your application. PLEASE RESPOND IMMEDIATELY to enable us to allot a PAN to you.
Q.What will the PAN card contain ?
In case of

Individuals
PAN
Name
Date of Birth
Father's Name
Photograph and
Signature of PAN holder
Other Taxpayers
PAN
Name and
Date of Incorporation or Formation
Q. Can a person hold more than one PAN under new series ?
NO. A person can have only one PAN under the new series. If you have already been allotted a PAN under the new series, you cannot or shall not again apply for or obtain or possess another PAN. Failure in this regard shall result in imposition of penalty which shall not be less than Rs. 500/- but which may extend to Rs. 10000/- for each such failure or default.

Q.When is it Mandatory to quote the PAN ?
Every person to whom a PAN is alloted is required to quote the same in

all his returns to, and/or correspondence with, any Income Tax Authority;
all challans for payment of direct taxes;
application for opening an account with a Bank
application for installation of a telephone connection (including a cellular telephone)
documents pertaining to sale or purchase of a motor vehicle ;
documents pertaining to sale or purchase of immovable property valued at Rs. 5 lakhs or more;
documents pertaining to a time deposit exceeding Rs. 50,000/- with a Bank;
documents pertaining to deposits exceeding Rs. 50,000 in any account with a Post Office Savings Bank;
documents pertaining to a contract of a value exceeding Rs. 10 lakhs for sale or purchase of securities (shares, debentures etc.)
payment to hotels & restaurants against their bills for an amount exceeding Rs. 25,000/- at any one time; Every person receiving any document relating to above transactions referred to at (3) to (10) above shall ensure that Permanent Account Number has been duly quoted in the documents.
If tax is being deducted at source on payment of salary, rent, interest etc., it will be in your interest to give your PAN under the new series to the tax deductor so that the same could be mentioned in the TDS Certificate and Annual Return of TDS. This will help you in getting credit for taxes deducted at source.
Q.What if PAN under new series has not been allotted ?

A person can quote his General Index Register Number (GIR No.) till PAN under the new series is allotted to him.
In case of opening a Bank Account in the name of a minor who does not have any taxable income, the Permanent Account Number under the new series or GIR No. of his father or mother or guardian may be quoted.
Any person who has not been allotted a Permanent Account Number or who does not have GIR No. and who makes payment in cash or otherwise than by crossed cheque drawn on a Bank or through a credit card issued by a Bank, is required to file a declaration in Form No. 60.

Q.Who are those persons who are not required to obtain or quote Permanent Account Number ?

Persons having agricultural income and not having any other taxable income. They should, however, file a declaration in Form No. 61 in respect of transactions referred to at (3) to (10) above.
Non-residents
Central Govt., State Govts. and Consular Offices in transactions in which they are the payers.

Q.When is it mandatory to inform your Assessing Officer regarding your PAN ?
When there is change of :-

NAME on the basis of which the Permanent Account Number (PAN) was allotted
ADDRESS
NATURE OF THE BUSINESS
You need not apply for a new PAN if your name is changed. However, you must apply for change of name along with documentary proof of such change.
When in case of :-

DEATH of a PAN holder
DISCONTINUATION OF BUSINESS
DISSOLUTION of a firm
PARTITION of a Hindu Undivided Family (HUF)
LIQUIDATION or WINDING UP of a company.
MERGER or AMALGAMATION or ACQUISITION etc. of companies.
Q.When must you apply for a fresh PAN under the new series ?
In case of :-

PARTITION of a bigger Hindu Undivided Family (HUF) into one or more new Hindu Undivided Families (HUF's)
Coming into being of a new HINDU UNDIVIDED FAMILY (HUF) .
CHANGE IN CONSTITUTION of a firm (entailing change of partners)
SPLITTING UP or DEMERGER of an existing company into two or more companies
Q.Do you need to apply for a PAN when you move from one city or state to another ?
You need not apply for a fresh PAN under the new series. You must, however, intimate your Assessing Officer for transfer of your PAN and other records to your new Assessing Officer.

General Questions | Income From Salary | Income from House Property |Income from Capital Gains | PAN |

What is Permanent Account Number

Permanent Account Number is a number by which the Assessing Officer can identify any person. Presently the Income Tax Department is allotting PAN under the New Series to all assessees which consists of ten alphanumeric character and is issued in the form of a laminated card. The PAN is ultimately meant to supplant the General Index Register Number which is currently in use. The General Index Register Number is a number given an Assessing Officer to the assessees in the General Index Register maintained by him which also contains the designation and the particulars of the Assessing Officer. As per section 139A of the Act obtaining PAN is a must for the following persons:-

1.Any person whose total income or the total income of any other person in respect of which he is assessable under the Act exceeds the maximum amount which is not chargeable to tax.

2.Any person who is carry on any business or profession whose total sales, turnover or gross receipts are or is likely to exceed Rs. 5 lacs in any previous year.

3.Any person who is required to furnish a return of income under section 139(4) of the Act.

The requirement for applying for allotment of PAN under the New Series has now been extended to the whole of India.
PAN is required to be quoted in all the transactions mentioned below:-
In all returns and in all correspondence with the department.
In all challans for payment of any tax or sum due to the department.
In certain notified transaction. (see the sub module on notified transactions where PAN has to be quoted)

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How to obtain PAN ?

Form no.49A has been prescribed for making an application for allotment of the PAN. The existing assessees who are already filing their returns of income and who have not been allotted the PAN can attach form No.49A(duly filled in) along with the return of income while filing their return of income with their respective Assessing Officers. However, new assessees whose income is likely to exceed Rs.50,000/- (the maximum amount not chargeable to tax for A.Y. 1998-99) can fill up the form and submit it to the "new assessee" circle or ward which has jurisdiction over them. In the cases of persons carrying on business or profession, if the turnover is likely to exceed Rs.5,00,000/-(Rs. five hundred thousand) in any previous year, the form No.49A should be filled up and presented to the Range/Circle/Ward where the new returns are required to be filed.

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Tips for filling form 49A

The form should be filled in carefully and completely since it may not be possible for the Department to allot PAN if all the details are not filled in. In any case the following information must necessarily be given:-

In the case of companies, the information that is necessarily required is as under:

Date of Incorporation
Registration Number.
Date of commencement of the business
Full and complete names of atleast two directors of the company
Branch addresses and branch names of the company.
Unless the form no.49A contains all the above informations it would not be possible to allot the PAN to a company assessee.

In the case of individuals, the information that is necessarily required is as under:

Full and complete name of the assessee
Full and complete name of his/her Father.
Date of birth
Sources of income
Unless the form no.49A contains all the above information's it would not be possible to allot the PAN to an individual assessee.

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Usefulness of Permanent Account Number

If PAN is quoted in all documents, it would be very convenient to locate the assessing officer holding jurisdiction over the person concerned.
If PAN is quoted in all challans, the credit for payment of taxes can be quickly granted to the taxpayer.
If PAN is quoted in all specified transactions, the Department can excercise greater control over unregulated and undisclosed transactions.

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Quoting of Permanent Account Number

be quoted

[Provisions of Section 139A(5)]

Every person shall quote his permanent account number or General Index Register Number in all documents pertaining to the transactions specified below :-

Sale or purchase of any immovable property valued at Rupees five lakh or more.
Sale or purchase of a motor vehicle or vehicles, which requires registration by a registering authority.
A time deposit, exceeding fifty thousand rupees, with a banking company to which the Banking Regulation Act, 1949 applies (including any bank or banking institution referred to in section 51 of that Act)
A deposit, exceeding fifty thousand rupees, in any account with Post Office Saving Bank
A contract of a value exceeding ten lakh rupees, for sale or purchase of securities as defined in clause (h) of section 2 of the Securities Contracts (Regulation) Act, 1956 (42 of 1956)
Opening an account with a banking company to which the Banking Regulation Act, 1949 applies (including any bank or banking institution referred to in section 51 of that Act,)
Making an application for installation of a telephone connection (including a cellular telephone connection)
Payment to hotels and restaurants against their bills for an amount exceeding twenty five thousand rupees at any one time.
A person shall quote General Index Register Number in the documents pertaining to transactions specified in above clauses (a) to (h) till such time the permanent account number is allotted to him;
A person, being a minor and who does not have any income chargeable to income tax, making an application for opening an account referred to in the clause (f) of this rule, shall quote the permanent account number or General Index Register Number of his father or mother or guardian, as the case may be.
Any person, who has not been allotted a permanent account number or who does not have a General Index Register Number and who makes payment in cash or otherwise than by a crossed cheque drawn on a bank or by a crossed bank draft in respect of any transaction specified in clauses (a) to (h) , shall have to make a declaration in Form No. 60 giving therein the particulars of such transaction.
In simple terms :

IT IS MANDATORY TO QUOTE PAN in

application for opening an account with a bank
application for installation of a telephone connection (including a cellular telephone)
documents pertaining to sale or purchase of a motor vehicle
documents pertaining to sale or purchase of immovable property valued at Rs. 5 lakh or more
documents pertaining to deposits exceeding Rs. 50,000 in any account with a Post Office Savings Bank
documents pertaining to a contract of a value exceeding Rs. 10 lakhs for sale or purchase of securities (Shares, Debentures etc.)
payment to hotels & restaurants against their bills for an amount exceeding Rs. 25,000 at any one time
Returns of income
Challans for payment of direct taxes
All correspondence with Income-Tax Department
IF YOU HAVE APPLIED FOR ALLOTMENT OF PERMANENT ACCOUNT NUMBER (PAN) UNDER THE NEW SERIES AND HAVE RECEIVED A LETTER ASKING FOR FURTHER INFORMATION, THEN PLEASE SEND YOUR REPLY IMMEDIATELY

INDIVIDUALS SHOULD GIVE THEIR, AS WELL AS THEIR FATHER'S FULL NAME (EXPAND INITIALS).

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