Frequently Asked Questions
1What is a PAN number?
PAN or Permanent Account Number is a 10 digit alpha-numeric identity issued by the Income Tax Department of India. PAN is used by the Income Tax Department to track and manage all the Income Tax assesse in India.
2Who can apply for PAN number?
Any person (including Indian Nationals and Foreign Nationals) or artificial entities like Companies, LLP, Trust, Society, etc., can obtain a PAN.
3Is PAN number mandatory?
It is mandatory to quote PAN in all Income Tax filing with the Income Tax Department. Further, it is important to quote PAN in all documents pertaining to financial transactions that involve the sale and purchase of immovable property or motor vehicle exceeding Rs.25,000/- . It is mandatory to mention PAN while obtaining telephone or cellular connection. Likewise, PAN is required while making a bank deposit of Rs.50,000/- or more. Therefore, it is important for most Indian Nationals or Indian Residents to have PAN.
4Is it necessary to pay income tax if you have PAN number?
No, it is not necessary to pay Income Tax if you have a PAN. Income Tax will have to be paid only if there is taxable income.
5Which documents are required to get a PAN number?
To get a PAN number for individuals, a signed Form 49A along with the identity proof and address proof of the applicant is required. For other entities, proof of incorporation or registration like Partnership Deed, Certificate of Incorporation, etc., along with the address proof is required.
6In how many days can we get a PAN number?
A PAN number can be got in 10-20 working days from the date of application along with required documents.
7Does a proprietorship require a separate PAN Card?
No a proprietorship does not require a separate PAN, the PAN of the proprietor will serve as PAN for the proprietorship too.
8Are there any requirements like that of a certain age or income to obtain PAN card?
No, there is no requirement of any age or income to obtain a PAN.