PAN 2.0 Project enables technology driven transformation of Taxpayer registration services and has significant benefits including:
- A single portal for all PAN/TAN-related services to simplify access for users.
- Eco-friendly paperless less 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 issue.
Changes for Existing PAN Cardholders
Old PAN cardholders need not worry—existing PAN cardholders are not required to apply for a new PAN under the upgraded system. The current valid PAN cards will remain fully operational under PAN 2.0 unless holders request an update or correction. No new PAN card will be issued unless a specific request for updates or corrections is made.
QR Code Feature in PAN 2.0
A look at the QR code feature and what’s changing under PAN 2.0:
- The QR code is not new; it has been part of PAN cards since 2017-18. Under PAN 2.0, it will be enhanced with a dynamic QR code displaying the latest data from the PAN database.
- PAN holders with older cards lacking a QR code can apply for a new card with a QR code under both the current PAN 1.0 system and the upgraded PAN 2.0.
- The QR code facilitates validation of PAN details, ensuring authenticity.
- A dedicated QR reader application is available to verify details. When scanned, it displays the holder’s photo, signature, name, parents’ names, and date of birth.
Penalty for not having PAN or having more than one PAN:
- Section 272B of the Income-tax Act imposes a penalty of Rs. 10,000 for taxpayers who fail to comply with PAN-related provisions. This includes not obtaining a PAN when required, knowingly quoting an incorrect PAN on prescribed documents, or providing an incorrect PAN to the person deducting or collecting tax.
- As per the Income-tax Act, no individual is allowed to hold more than one PAN. If a person does hold multiple PANs, they must inform the Jurisdictional Assessing Officer and request the additional PAN to be deactivated or deleted.
- Under PAN 2.0, the system has been enhanced with improved logic to identify duplicate PAN requests. This centralized and advanced mechanism will help minimize instances of individuals holding more than one PAN.
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