Permanent Account Number (PAN) is a ten-digit alphanumeric number, issued in the form of a laminated card, by the Income Tax Department. It is mandatory to quote PAN on return of income, all correspondence with any income tax authority and on challans for any payments due to Income Tax Department.
It is also compulsory to quote PAN in all documents pertaining to financial transactions notified from time-to-time by the Central Board of Direct Taxes (CBDT). Some such transactions are sale and purchase of immovable property or motor vehicle or payments in cash, of amounts exceeding Rs. 25,000/- to hotels and restaurants or in connection with travel to any foreign country. It is also mandatory to mention PAN for obtaining a telephone or cellular telephone connection. 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.
No person who has already been allotted a PAN shall apply to obtain or possess another PAN and obtaining or possessing more than one PAN is against the law.
A PAN card contain following basic information i.e., name, father’s name (even in case of married women), date of birth, Permanent Account Number, signature and photograph.
Every person shall intimate the Assessing officer any change in his address or in the name and nature of his business on the basis of which the permanent account number was allotted to him to ensure they have his most current information. One must update all these changes to receive notices, refunds and other correspondences from the Income Tax Department in time.
It is also compulsory to quote PAN in all documents pertaining to financial transactions notified from time-to-time by the Central Board of Direct Taxes (CBDT). Some such transactions are sale and purchase of immovable property or motor vehicle or payments in cash, of amounts exceeding Rs. 25,000/- to hotels and restaurants or in connection with travel to any foreign country. It is also mandatory to mention PAN for obtaining a telephone or cellular telephone connection. 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.
No person who has already been allotted a PAN shall apply to obtain or possess another PAN and obtaining or possessing more than one PAN is against the law.
A PAN card contain following basic information i.e., name, father’s name (even in case of married women), date of birth, Permanent Account Number, signature and photograph.
Every person shall intimate the Assessing officer any change in his address or in the name and nature of his business on the basis of which the permanent account number was allotted to him to ensure they have his most current information. One must update all these changes to receive notices, refunds and other correspondences from the Income Tax Department in time.
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