Avoid these PAN card mistakes or pay Rs. 10,000 fine
What's the story
The 10-digit unique Personal Account Number (PAN) issued by the Income Tax (IT) Department is an important document. Right from banking services to filling Income Tax Return (ITR) forms, PAN card finds its usage for many important works across the country. However, there are a few things to keep in mind if you are a PAN card user. Read on to know further details.
Extra careful
Pay extra attention when filling PAN details
When entering your PAN details, pay extra attention because even a single mistake can land you in trouble. Section 272B of the IT Act, 1961, empowers IT Department to fine Rs. 10,000 to a person who has provided incorrect PAN information. This is valid, especially at the time of filling out the ITR form, but also in other cases where PAN details are required.
Duplicate cards
Surrender any extra PAN card(s)
If you are possessing two or more PAN cards, that can draw you a hefty fine too. As per the law, the IT Department can cancel the duplicate PAN card and will charge a fine as penalty. Moreover, if there is any lapse in PAN card, your bank account may get frozen. So, you must surrender the second one immediately, following the prescribed guidelines.
Surrender
How to surrender the extra PAN card(s)
You can download the PAN Change Request application form from the Income Tax Department's official website. Fill and submit the form by mentioning the PAN that you are using currently on top of the form. Mention the details of the card(s) you are surrendering in item no. 11 of the form and attach a copy of the corresponding card before submitting.
Appling online
How to apply for PAN card correction online
Visit Protean eGov Technologies Limited or the UTIITSL portal. Fill in the PAN Change Request Form online. Select the checkbox next to the parameters that you wish to change. Check all your details and submit the form. Now, a 15-digit acknowledgment number will be displayed. Save, this number as it is required for further communication.
Appling offline
How to apply for PAN card correction offline
Download and print the PAN correction form from the UTIISTSL portal. Fill it and submit it to your nearest Protean eGov Technologies Limited or UTIITSL center. Submit the required documents. When filling in the details, remember to tick the box on the left margin for details that you would like to get changed on your PAN card.
Usage
When is PAN card used?
PAN details are required in almost all financial-related works. If you are carrying out transactions worth Rs. 2.5 lakh annually, then it is mandatory to have a PAN card. PAN is also compulsory for businesses with a turnover of more than Rs. 5 lakh. You will need a PAN if you are opening a Demat account or buying a vehicle.