PAN, TAN, DIN and DSC Application

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PAN, TAN, GST, PT, DSC, DIN, MSME (Udhyam), ESIC, EPF, Trademark and IEC Registration

PAN

Permanent Account number or Pan Card is an essential identity proof document for any Indian Citizen. It is also a very important document for all your Tax management purposes. Without a PAN, you will not be able to carry out any financial transaction. It is the Indian Income Tax Department that allocates this 10-digit alphanumeric and unique account number to a tax-paying person, company or HUF. It has lifetime validity. The Income Tax Department of India has made Pan card applications online easier over the years with the help of the internet.

BENEFITS OF A PAN CARD

Following are some of the Benefits of Owning a Pan Card

Purchase and sale of property

One of the best benefits of PAN card is that it is accepted in formalities involved during buying or selling immovable assets. A PAN card is mandatory for a transaction valued Rs. 10 lakhs or more.

To claim Income Tax refund

Many times, a taxpayer needs to pay more than the actual tax amount. To get the refund, the individual needs to link his/her PAN card to the bank account.

For Startups

In order to start a business or a company, it is mandatory to have a PAN card in the name of the organization.

Tax deduction

A PAN card is very important for taxation. If an individual who is receiving Rs. 10,000 in the form of interest from either a savings account or an FD and has not linked his PAN card with the bank account, then the bank will debit 20% of TDS instead of 10%.

For Banker’s cheque and Pay order

A PAN card is essential while requesting for a pay order, bank cheques and drafts. If an individual is transacting more than Rs. 50,000 then he/she will need the PAN card to complete the transaction.

Restaurant and hotel bills

If your hotel or restaurant bill exceeds Rs. 50,000 then for paying the bill you will need a PAN card.

To open a demat account

An individual should possess a PAN card to open a demat account, which is used to hold shares in the dematerialized form.

For taxation

A PAN card helps the Income Tax Department to assess an individual or entity’s monetary transactions. It helps in identifying persons involved in tax evasion. The PAN card has the name, photograph and other related information that even make it a valid identity proof.

Low misuse chances

The possibility of PAN card misuse is minimal. Notably, a PAN card will not change even if it is lost or stolen.

For tax evaluation

A PAN card is a tool that evaluates total tax revenue in India.

TAN

Tax Deduction and Collection Account Number better known as TAN is a 10-digit alphanumeric number. The number is required to be obtained by all persons who are responsible for deducting or collecting the tax.

The alphanumeric number is allotted by the Income Tax (IT) Department under Section 203A of the Income Tax Act, 1961.

It is required to be mandatorily quoted on all TDS returns.

WHY IS TAN REQUIRED?

TAN is required by all individuals because without it Tax Deducted at Source (TDS) or Tax Collected at Source (TCS) returns are not accepted by TIN facilitation centres. Banks do not accept the challans for TDS/TCS payments if TAN is not quoted.

It needs to be mentioned that failing to apply for TAN or not quoting the 10-digit alphanumeric number in specified documents like TDS/TCS returns, e-TDS/e-TCS returns, TDS/TCS certificates, and TDS/TCS, payment challans can attract a penalty of Rs.10,000.

TAN

APPLY

WHO CAN APPLY FOR TAN REGISTRATION/ TAN CARD?

Any individual or business entity that is supposed to deduct or collect tax at source on behalf of the Income Tax department needs to apply and obtain the 10-digit alphanumeric TAN.

BENEFITS OF TAN REGISTRATION/ TAN CARD

Following are some of the Benefits of Owning a TAN Registration/ TAN Card

1. TAN has a unique number with lifetime validity.


2. TAN is ultimately used for deductions such as salary, interest, and dividends. While depositing a tax, the challan type 281 should be used and the 10 digit TAN number should be mentioned correctly along with the name and address of the deductor.


3. As TDS certificates are issued by a person or entity which holds TAN, the tax payee has an opportunity to know how much tax has been paid by him/her.


4. Similarly, the tax payee can use this TDS certificate as proof of tax paid in any type of grievances.


5. TAN must be quoted on all tax documents.


6. Even if anyone forgets the TAN number after acquiring, it can be found out by approaching the webpage of NSDL on clicking the “Know your TAN” from the option.


7. Once the TAN application is successfully submitted, the status of the application can be tracked using the acknowledgment number.