Everything You Need to Know About PAN 2.0

PAN 2.0 Project is an e-Governance project of the Income Tax Department for re-engineering the business processes of taxpayer registration services. The objective of the project is to enhance the quality of PAN services through the adoption of the latest technology.

A day after the Cabinet Committee on Economic Affairs approved the PAN 2.0, the Income Tax Department issued a detailed clarification on the project on Tuesday based on a list of 11 FAQs to give taxpayers a deeper insight into the new system. 1. What is PAN 2.0?

PAN 2.0 Project is an e-Governance project of the Income Tax Department for re-engineering the business processes of taxpayer registration services. The objective of the project is to enhance the quality of PAN services through the adoption of the latest technology.

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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 offered to user agencies such as financial institutions, banks, government agencies, central and state government departments etc.

2. How will PAN 2.0 differ from the current structure?

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i. Integration of Platforms: Currently, the PAN-related services are available on three separate portals (e-Filing Portal, UTIITSL Portal, and Protean e-Gov Portal). All PAN/TAN-related services are going to be hosted at a single unified portal of ITD under the PAN 2.0 Project. The said Portal would be hosting all end-to-end services of PAN and TAN like allotment, updation, correction, Online PAN Validation (OPV), Know your AO, Aadhaar-PAN linking, verify your PAN, request for e-PAN, request for re-print of PAN card etc.

ii. Comprehensive use of technology for paperless processes: Complete online paperless process as against prevailing mode

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iii. Facilitation to taxpayers: Free of cost allotment/updation/correction of PAN; free e-PAN to registered mail id. Physical PAN card will be delivered, and for this purpose, an application has to be made with a prescribed fee of Rs 50 for domestic. For delivery of the card outside India, Rs 15 plus India post charges at actuals would be recovered from the applicant.

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3. Whether existing PAN CARD Holders will be required to apply for new PAN under the upgraded system?

No. The existing PAN card holders are not required to apply for a new PAN under the upgraded system (PAN 2.0).

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4. 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 free of cost after the PAN 2.0 Project commences. Till the time the PAN 2.0 project is rolled out, the PAN holders can avail of the Aadhaar-based online facility for updation/correction of email, mobile and address free of cost by visiting the below URLs:

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i. https://www.onlineservices.nsdl.com/paam/endUserAddressUpdate.html

ii. https://www.pan.utiitsl.com/PAN_ONLINE/homeaddresschange

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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 a payment basis.

5. Do I need to get my PAN card changed under the PAN 2.0?

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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.

6. Many individuals haven't updated their new addresses and are still using the previous one. How will the new PAN be addressed? By when will the new PAN Card arrive?

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No new PAN card will be issued unless the PAN holder asks for it due to any updation/correction in their existing PAN. The PAN holders who wish to update their old address, can do so free of cost using Aadhaar based online facility by visiting the below URLs:

i. https://www.pan.utiitsl.com/PAN_ONLINE/homeaddresschange

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ii. https://www.onlineservices.nsdl.com/paam/endUserAddressUpdate.html

The address will be updated in the PAN database accordingly.

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7. If new PAN cards are QR code enabled then will old ones also sustain as it is? Then what would the QR code assist us for?

i. It has not been a new feature from 2017-18 time and had been incorporated in PAN card. The same shall be continued under the PAN 2.0 project with enhancements (dynamic QR code which will display the latest data present in the PAN database). The PAN holders having an old PAN Card without a QR code can apply for a new card with a QR code both in the existing PAN 1.0 eco-system as well as in the PAN 2.0.

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ii. The QR code assists in the validation of the PAN and PAN details.

iii. Currently, a particular QR reader application is available for the verification of QR code details. While reading through the reader application, all details are displayed, that is, photo, signature, Name, Father's Name / Mother's Name and Date of Birth are also reflected.

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8. What is - the "Common Business identifier for all business-related activities in specified sectors"?

It was announced in the Union Budget 2023 that for business establishments required to have a PAN, the PAN would be used as a common identifier for all digital systems of specified government agencies.

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9. 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.

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10. What does the "Unified Portal" mean?

Presently, the PAN-related services are hosted on three different portals. In the PAN 2.0 Project, all PAN/TAN-related services will be hosted on a single unified portal of ITD. All the end-to-end services related to PAN and TAN, such as allotment, updation, correction, Online PAN Validation (OPV), Know your AO, Aadhaar-PAN linking, verify your PAN, request for e-PAN, request for re-print of PAN card, etc. would be hosted by the said Portal so that these further simplify processes and avoid delay in delivery of PAN services, delay in redressal of grievances etc. caused due to different modes of receipt of applications- online eKYC, online paper mode and offline mode.

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11. For those having more than one pan, how would you detect and eliminate the additional PAN?

As per the provisions of the Income Tax Act, 1961, no person can hold more than one PAN. If a person holds more than one PAN, he/she is required to bring it to the notice of the Jurisdictional Assessing officer and get the additional PAN deleted/deactivated.

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In the PAN 2.0, with the improved systems logic for identification of potential duplicate requests for PAN and centralised and enhanced mechanism for resolving the duplicates would minimise the instances of one person holding more than one PAN.

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Read also| Centre Approves PAN 2.0 Project Worth Rs 1,435 Crore to Overhaul Taxpayer System

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