PAN card is allotted to each and every tax payer by the Income Tax Department under the supervision of the Central Board of Direct Taxes.It is mandatory to show India pan card for various financial transactions in India such as receiving taxable salary or professional fees, sale or purchase of assets above specified limits, buying mutual funds etc.Also, any person running business in India having total sales, turnover or gross receipt exceeding Rs 5 lakh in the previous financial year must have an Card.
Applying online for India pan card
If you need to apply for Indian card, it is essential to consider following things in mind:
- Form 49A’ or ‘Form 49AA’ as applicable are used to apply for PAN card.
- One can find the location of PAN card office in their city by using the website of the Income Tax Department or National Securities Depository Limited (NSDL).
- It is also required to provide legitimate copies of identity and address proof along with the form.
- The payment of the fee for application can be made via cash, cheque or demand draft. Online payment can be made through net banking, credit or debit.
- It is easy to track the pan card status through official site of the Income tax department.
- One can get online assistance from private agencies to fill and submit online pan card application form
When do you need to furnish India pan card?
It is essential for Indians as well as foreign nationals to have pan card to indulge in various financial transactions in India. Here are some of the instances when you need to furnish Indian:
- It is important to get a PAN Number for payment of direct taxes, filing income tax returns and preventing the deduction of tax at higher rates.
- Pan card details are required for buying or selling immovable property worth Rs 5 lakh or more
- It is required to furnish for payment at hotels and restaurants of an amount exceeding Rs. 25,000 at any one time
- It is compulsory to furnish pan card for buying shares, bonds and debentures of company worth Rs 50,000 or more
- If someone deposits Rs 50,000 with any single banking institution in India within 24 hours, such person is required to show his/her pan card.
- Pan card is also compulsory to be shown for buying bullion and jewellery exceeding Rs. 5 lakh.
A PAN number is significant for taxation purpose and financial transactions in India. It acts as identification document to track all the related monetary information of anindividual entity. Today, pan card is also used as identity proof and address proof in unconventional areas such as taking gas connection or cellular connection in India. It is worth to know that PAN number is not affected by change of address throughout India. Any Indian or foreign national earning taxable income in India must have an India pan card.