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1st Crore
Dream Home
Dream Wedding
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Retirement
1st Crore
Trusted by 1L+ Indians
Want to Achieve any of the below Goals upto 80% faster?
Dream Home
Dream Wedding
Dream Car
Retirement
1st Crore
Dream Home
Dream Wedding
Dream Car
Retirement
1st Crore
Trusted by 3 Crore+ Indians
Want to Achieve any of the below
Goals upto 80% faster?
Dream Home
Dream Wedding
Dream Car
Retirement
1st Crore
Trusted by 3 Crore+ Indians
Want to Achieve any of the below
Goals upto 80% faster?
Dream Home
Dream Wedding
Dream Car
Retirement
1st Crore
Trusted by 3 Crore+ Indians
Want to Achieve any of the below Goals upto 80% faster?
Dream Home
Dream Wedding
Dream Car
Retirement
1st Crore
Trusted by 3 Crore+ Indians
Want to Achieve any of the below Goals upto 80% faster?
Dream Home
Dream Wedding
Dream Car
Retirement
1st Crore
Who Is Eligible for a PAN Card in India?
Who Is Eligible for a PAN Card in India?
Aug 5, 2024
The Government of India mandates that entities engaged in numerous financial transactions must obtain a PAN card. Here is a detailed overview of the eligibility criteria for different categories of applicants:
Individuals:
Any Indian citizen can apply for a PAN card by providing essential documents such as valid identity proof, proof of date of birth, and address proof. Specific details and acceptable documents can be found on the official website of NSDL.
Hindu Undivided Family (HUF):
A separate entity like HUF needs to apply for a PAN card in its name to facilitate financial transactions. The head of the family, known as the Karta, must submit personal details, proof of identity, address, date of birth, and an affidavit mentioning all family members' details.
Minors:
Although the minimum age to apply for a PAN card is 18 years, parents or guardians can apply on behalf of minors. This is necessary if the minor is a nominee for a property or if parents plan to invest in their names. The guardian must submit their documents and the child’s birth proof, along with the minor's Aadhaar number in the application form.
Mentally Retarded Individuals:
Representatives can apply for a PAN card on behalf of mentally retarded individuals.
Artificial Judicial Persons:
Entities like trusts, partnerships, and companies can apply for a PAN card by providing their registration certificate or other government-issued documents establishing identity and address.
Eligibility Criteria for Indian Companies
Partnership Firms:
Firms must submit a copy of their registration certificate issued by the Registrar of Firms or their partnership deed to obtain a PAN card.
Limited Liability Partnerships (LLPs):
LLPs need to provide a copy of the registration certificate issued by the Registrar of LLPs.
Trusts:
Trusts must submit their certificate and deed of registration number issued by the charity commissioner.
Companies:
Indian companies can apply for a PAN card online. They must first register with the State Registrar of Companies and submit a copy of the registration certificate provided by the Registrar of Companies.
Local Authorities:
Local authorities must present a copy of the agreement during the application process to obtain a PAN card.
Association of Persons:
Registered associations must submit a copy of their registration certificate for PAN card applications.
Eligibility Criteria for Foreign Citizens
Foreign citizens intending to conduct financial transactions in India must apply for a PAN card by furnishing valid proof of identity and address. They should fill out Form 49AA and attach the necessary documents.
Proof of Identity:
Passport or PIO (Person of Indian Origin) or OCI (Overseas Citizen of India) card.
Taxpayer Identification Number (TIN) or Citizen Identification Number (CIN) attested by the country’s consulate or an authorized official of an overseas Indian scheduled bank branch.
Proof of Residence:
OCI or PIO card or passport.
Ministry of External Affairs or Indian Embassy approved and attested TIN or CIN.
Bank account statement or Non-Resident External (NRE) account statement.
Certificate showing residential status or residence permit provided by police authorities.
Registration certificate with an Indian residential address issued by the Foreigner's Registration Office.
Visa grant or a contract or letter of appointment.
Letter issued by an Indian employer in original as proof of address.
Eligibility Criteria for Foreign Companies
Foreign companies, LLPs, and other organizations can also obtain a PAN card using Form 49AA and attaching the necessary documents:
Required Documents:
Copy of the registration certificate issued outside India, attested by the Apostille or Indian Embassy, High Commission, or consulate of the residing country.
Registration certificate issued in India or approval by Indian authorities to set up an office in the country.
Who Does Not Require a PAN Card?
While the PAN card is essential for tracking financial transactions and ensuring tax compliance, it is not mandatory for everyone. Entities that do not need a PAN card include:
Minors who are not liable to pay income tax can use their parent’s or guardian’s PAN card.
Non-Resident Indians (NRIs) do not require a PAN card for specific transactions.
Individuals without taxable income can present Form 60 for transactions like buying mutual funds, stating their income is below the taxable limit and they do not own a PAN card.
Importance of PAN Card
The PAN card is crucial for various reasons:
Filing Income Tax Returns: PAN is mandatory for individuals and entities with taxable income, aiding in accurate tax tracking and estimation.
Tax Purposes: PAN links financial transactions to the taxpayer, ensuring accurate tax computation and collection.
Loan Applications: PAN is required by banks and financial institutions for loan, credit card, and other credit applications.
Property Transactions: PAN is essential for real estate transactions like buying or selling property.
Identification: PAN serves as valid proof of identity for various official and non-official purposes.
Government Services: PAN is necessary for accessing government services, applying for passports, availing subsidies, and bidding on contracts.
Preventing Tax Evasion: PAN helps in tracking financial activities, preventing tax evasion, and ensuring transparency in financial transactions.
How to Apply for PAN Card?
Online Application:
Through NSDL Website:
Visit the NSDL website and select the “New PAN Indian Citizen (Form 49A)” application.
Fill out the form with accurate details.
Pay the necessary fees.
Send the required documents to the NSDL office via courier or post. The PAN card will be issued within 15 days after verification.
Through UTIITSL Website:
Complete the PAN card application form on the UTIITSL website.
Pay the application fee online.
Send the required documents to the UTIITSL office via courier. The PAN card will be issued within 15 days after verification.
Offline Application:
Download Form 49A from the NSDL e-Gov website.
Fill out the application with accurate details.
Attach your photograph and signature.
Submit the application and required documents to the nearest PAN center.
Pay the application fee.
Track the application status using the acknowledgment number provided. The PAN card will be issued within 15 days after verification.
Conclusion
Understanding the eligibility criteria, application process, and importance of the PAN card is crucial for individuals and organizations in India. Whether you are an individual, a minor, an HUF, or a company, the PAN card serves as an essential document for various financial transactions and regulatory compliance. By following the detailed steps and ensuring you have the necessary documents, you can successfully apply for and obtain your PAN card. This unique identification number not only helps in managing your taxes but also acts as a significant proof of identity in numerous situations.
The Government of India mandates that entities engaged in numerous financial transactions must obtain a PAN card. Here is a detailed overview of the eligibility criteria for different categories of applicants:
Individuals:
Any Indian citizen can apply for a PAN card by providing essential documents such as valid identity proof, proof of date of birth, and address proof. Specific details and acceptable documents can be found on the official website of NSDL.
Hindu Undivided Family (HUF):
A separate entity like HUF needs to apply for a PAN card in its name to facilitate financial transactions. The head of the family, known as the Karta, must submit personal details, proof of identity, address, date of birth, and an affidavit mentioning all family members' details.
Minors:
Although the minimum age to apply for a PAN card is 18 years, parents or guardians can apply on behalf of minors. This is necessary if the minor is a nominee for a property or if parents plan to invest in their names. The guardian must submit their documents and the child’s birth proof, along with the minor's Aadhaar number in the application form.
Mentally Retarded Individuals:
Representatives can apply for a PAN card on behalf of mentally retarded individuals.
Artificial Judicial Persons:
Entities like trusts, partnerships, and companies can apply for a PAN card by providing their registration certificate or other government-issued documents establishing identity and address.
Eligibility Criteria for Indian Companies
Partnership Firms:
Firms must submit a copy of their registration certificate issued by the Registrar of Firms or their partnership deed to obtain a PAN card.
Limited Liability Partnerships (LLPs):
LLPs need to provide a copy of the registration certificate issued by the Registrar of LLPs.
Trusts:
Trusts must submit their certificate and deed of registration number issued by the charity commissioner.
Companies:
Indian companies can apply for a PAN card online. They must first register with the State Registrar of Companies and submit a copy of the registration certificate provided by the Registrar of Companies.
Local Authorities:
Local authorities must present a copy of the agreement during the application process to obtain a PAN card.
Association of Persons:
Registered associations must submit a copy of their registration certificate for PAN card applications.
Eligibility Criteria for Foreign Citizens
Foreign citizens intending to conduct financial transactions in India must apply for a PAN card by furnishing valid proof of identity and address. They should fill out Form 49AA and attach the necessary documents.
Proof of Identity:
Passport or PIO (Person of Indian Origin) or OCI (Overseas Citizen of India) card.
Taxpayer Identification Number (TIN) or Citizen Identification Number (CIN) attested by the country’s consulate or an authorized official of an overseas Indian scheduled bank branch.
Proof of Residence:
OCI or PIO card or passport.
Ministry of External Affairs or Indian Embassy approved and attested TIN or CIN.
Bank account statement or Non-Resident External (NRE) account statement.
Certificate showing residential status or residence permit provided by police authorities.
Registration certificate with an Indian residential address issued by the Foreigner's Registration Office.
Visa grant or a contract or letter of appointment.
Letter issued by an Indian employer in original as proof of address.
Eligibility Criteria for Foreign Companies
Foreign companies, LLPs, and other organizations can also obtain a PAN card using Form 49AA and attaching the necessary documents:
Required Documents:
Copy of the registration certificate issued outside India, attested by the Apostille or Indian Embassy, High Commission, or consulate of the residing country.
Registration certificate issued in India or approval by Indian authorities to set up an office in the country.
Who Does Not Require a PAN Card?
While the PAN card is essential for tracking financial transactions and ensuring tax compliance, it is not mandatory for everyone. Entities that do not need a PAN card include:
Minors who are not liable to pay income tax can use their parent’s or guardian’s PAN card.
Non-Resident Indians (NRIs) do not require a PAN card for specific transactions.
Individuals without taxable income can present Form 60 for transactions like buying mutual funds, stating their income is below the taxable limit and they do not own a PAN card.
Importance of PAN Card
The PAN card is crucial for various reasons:
Filing Income Tax Returns: PAN is mandatory for individuals and entities with taxable income, aiding in accurate tax tracking and estimation.
Tax Purposes: PAN links financial transactions to the taxpayer, ensuring accurate tax computation and collection.
Loan Applications: PAN is required by banks and financial institutions for loan, credit card, and other credit applications.
Property Transactions: PAN is essential for real estate transactions like buying or selling property.
Identification: PAN serves as valid proof of identity for various official and non-official purposes.
Government Services: PAN is necessary for accessing government services, applying for passports, availing subsidies, and bidding on contracts.
Preventing Tax Evasion: PAN helps in tracking financial activities, preventing tax evasion, and ensuring transparency in financial transactions.
How to Apply for PAN Card?
Online Application:
Through NSDL Website:
Visit the NSDL website and select the “New PAN Indian Citizen (Form 49A)” application.
Fill out the form with accurate details.
Pay the necessary fees.
Send the required documents to the NSDL office via courier or post. The PAN card will be issued within 15 days after verification.
Through UTIITSL Website:
Complete the PAN card application form on the UTIITSL website.
Pay the application fee online.
Send the required documents to the UTIITSL office via courier. The PAN card will be issued within 15 days after verification.
Offline Application:
Download Form 49A from the NSDL e-Gov website.
Fill out the application with accurate details.
Attach your photograph and signature.
Submit the application and required documents to the nearest PAN center.
Pay the application fee.
Track the application status using the acknowledgment number provided. The PAN card will be issued within 15 days after verification.
Conclusion
Understanding the eligibility criteria, application process, and importance of the PAN card is crucial for individuals and organizations in India. Whether you are an individual, a minor, an HUF, or a company, the PAN card serves as an essential document for various financial transactions and regulatory compliance. By following the detailed steps and ensuring you have the necessary documents, you can successfully apply for and obtain your PAN card. This unique identification number not only helps in managing your taxes but also acts as a significant proof of identity in numerous situations.
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