The Cabinet Committee on Economic Affairs (CCEA) has approved the Income Tax Department’s Permanent Account Number (PAN) 2.0 Project, which aims to streamline and modernise the process of issuing and managing PAN and Tax Deduction and Collection Account Number (TAN), making it simpler, more user-friendly, and efficient.
To clarify the taxpayers doubt, the income tax department has released the FAQs on PAN 2.0 project. The FAQs are released by the PIB on November 26, 2024. One of the FAQs talk about taxpayers having more than one PAN, how they can identify and get it cancelled to avoid any penal consequences.
For people holding more than one pan, how will you identify and weed out the extra PAN ?
According to the Press Information Bureau (PIB), FAQs on PAN 2.0 “As per the provisions of Income-tax Act, 1961, no person can hold more than one PAN. In case a person holds more than one PAN, he/she is obliged to bring it to notice of Jurisdictional Assessing officer and get the additional PAN deleted/de-activated. In the PAN 2.0, with the improved systems logic for identification of potential duplicate requests for PAN and centralized and enhanced mechanism for resolving the duplicates would minimize the instances of one person holding more than one PAN.”
Hence, if you come across any other PAN issued to you, then you should quickly get it cancelled by informing it to the income tax department.
What is the penalty for holding more than one PAN?
As per the Income-tax Act, no individual is allowed to hold more than one PAN. As per Section 272B of the Income Tax Act, the income tax officer can levy a penalty of Rs 10,000 on you for having more than one PAN card.
What is the procedure for cancellation/ surrender of additional PAN(s)?
According to the Protean website, “You may fill and submit PAN Change Request application form by mentioning the PAN which you are using currently on top of the form. All other PAN/s inadvertently allotted to you should be mentioned at item no. 11 of the form and the corresponding PAN card copy/s should be submitted for cancellation along with the form.”
Also Read: PAN 2.0: New PAN card to have a QR code, will your current PAN card become inoperative?
Do I need to change my PAN card under the PAN 2.0?
No. The PAN card will not be changed unless the PAN holders want any updation/correction. The existing valid PAN cards will continue to be valid under 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 make any correction/updation of their existing PAN details such as email, mobile or address or demographic details such as name, date of birth etc., they can do so at free of cost after the PAN 2.0 Project commences. Till the time the PAN 2.0 project is rolled-out, PAN holders can avail the Aadhaar-based online facility for updation/correction of email, mobile and address free of cost by visiting the below websites:
https://www.onlineservices.nsdl.com/paam/endUserAddressUpdate.html
https://www.pan.utiitsl.com/PAN_ONLINE/homeaddresschange
In any other cases of updation/correction of PAN details, you can do so using the existing process either by visiting physical centres or applying online on payment basis.
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 a new PAN under the upgraded system (PAN 2.0).
What is PAN 2.0?
PAN 2.0 Project is a one-stop platform that addresses issues/matters relating to PAN and TAN, including application, updates, corrections, Aadhaar-PAN connection, re-issuance requests, and online PAN validation. PAN 2.0 Project focuses on establishing PAN as a common identifier for all digital systems of specified government agencies.
As of now, PAN-related services are spread across three different platforms: e-Filing Portal, UTIITSL Portal, and Protean e-Gov Portal. All these services will be integrated into a single, unified portal.
Key features of PAN 2.0:
• A single portal for all PAN/TAN-related services to simplify access for users.
• Eco-friendly paperless processes to reduce paperwork.
• PAN will be issued free of cost, with quicker processing times.
• Personal and demographic data will be protected through enhanced security measures, including a PAN Data Vault.
• A dedicated call centre and helpdesk to address user queries and issues.