The Cabinet Committee on Economic Affairs (CCEA) has announced the PAN 2.0 project of Income Tax Department.
Reetu | Nov 27, 2024 |
CBDT releases FAQs on PAN 2.0 Project
The Cabinet Committee on Economic Affairs (CCEA) has announced the PAN 2.0 project of the Income Tax Department.
This project aims to streamline and modernise the process of issuing and managing PAN and TAN, making it more user-friendly and efficient. With existing PAN database of 78 crore PANs and 73.28 lakh TANs, the project addresses the requirements of taxpayers, focusing on consolidation of multiple platforms/portals and efficient services to PAN/ TAN holders.
At the time of the announcement, Union Minister Ashwini Vaishnaw stated that the PAN upgrade will involve the addition of a QR code. This will be provided free of charge to all taxpayers. However, the question today is whether the existing PAN becomes inoperative if it lacks a QR code.
What is PAN 2.0?
PAN 2.0 Project is an e-Governance project of ITD for re-engineering the business processes of taxpayer registration services. The objective of the project is to enhance the quality of PAN services through adoption of latest technology. Under this project ITD is consolidating all processes related to PAN allotment/updation and corrections. The TAN related services are also merged with this project. Besides, PAN authentication/validation through online PAN validation service will be provided to user agencies such as financial institutions, banks, government agencies, central and state government departments etc.
How PAN 2.0 will be different from existing setup?
Integration of Platforms: Currently, PAN-related services are hosted on three distinct portals (e-Filing, UTIITSL, and Protean e-Gov). In the PAN 2.0 Project, all PAN/TAN-related services will be hosted on ITD’s one unified platform. The Portal would house all end-to-end PAN and TAN services such as allotment, update, correction, Online PAN Validation (OPV), Know Your AO, AADHAAR-PAN Linking, Verify Your PAN, Request for e-PAN, Request for PAN Card Reprint, and so on.
Comprehensive use of technology for paperless processes: Complete online paperless process as against prevailing mode
Taxpayer facilitation: PAN allotment, update, and correction will be free of charge, and an e-PAN will be given to the registered email address. For a physical PAN card, the applicant must submit a request along with the prescribed amount of Rs. 50 (domestic). For card delivery outside India, the applicant would be charged Rs. 15 plus India post charges at actuals.
Whether existing PAN CARD Holders will be required to apply for new PAN under the upgraded system? Do you need to change your PAN number?
No. The existing PAN card holders are not required to apply for new PAN under the upgraded system (PAN 2.0).
Do people have an option to get corrections done on PAN, like name, spellings, address change etc?
Yes. If existing PAN holders want to correct/update their existing PAN details such as email, mobile or address, or demographic details such as name, date of birth, etc., they can do so for free once the PAN 2.0 Project begins. Until the PAN 2.0 project is implemented, PAN holders can use the Aadhaar-based online facility to update/correct their email, mobile number, and address for free by visiting the link listed below:
In any other cases of updation/correction of PAN details, the holders can do so using the existing process either by visiting physical centres or applying online on payment basis.
Do I need to change my PAN card under the PAN 2.0?
No. The PAN card will not be changed until the PAN holders request an update/correction. The existing valid PAN cards will remain valid under PAN 2.0.
A lot of people have not changed their addresses and are continuing with old address. How will the new PAN be delivered? By when will the new PAN Card get delivered?
No new PAN card will be delivered unless the PAN holder requests for it owing to any updation/correction in their existing PAN. The PAN holders who want to update old address, they can do so free of cost using Aadhaar based online facility by visiting the below link:
Accordingly, the address will be updated in the PAN database.
If new PAN cards are QR code enabled, will older ones continue to function as it is? What will QR code help us with?
What is – the “Common Business identifier for all business-related activities in specified sectors”?
The Union Budget 2023 indicated that for corporate organizations that must have a PAN, the PAN will be utilized as a common identity for all digital systems of selected government institutions.
Whether Common Business identifier will replace the existing unique taxpayer identification number i.e. PAN?
No. PAN itself will be used as a Common Business identifier.
What does the “Unified Portal” mean?
Currently, the PAN-related services are hosted on three separate platforms. In the PAN 2.0 Project, all PAN/TAN-related services will be hosted on ITD’s one unified platform. The Portal would house all end-to-end services relating to PAN and TAN, such as allotment, update, correction, Online PAN Validation (OPV). Know your AO, link your AADHAAR to your PAN, verify your PAN, request e-PAN, request re-print of your PAN card, and so on, further simplifying the processes and avoiding delays in PAN service delivery, redressal of grievances, and so on caused by the presence of various modes of application receipt (online eKYC/online paper mode/offline).
For people holding more than one pan, how will you identify and weed out the extra PAN ?
According to the regulations of the Income-tax Act of 1961, no person can have more than one PAN. If a person has more than one PAN, he or she must notify the Jurisdictional Assessing Officer and have the additional PAN deleted/deactivated.
In PAN 2.0, with improved system logic for identifying potential duplicate PAN requests and a centralized and strengthened procedure for resolving duplicates, the cases of one person having several PANs will be minimized.
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