PAN Card or commonly known as Permanent Account Number is a very important document for undertaking financial transactions. For e.g., if you want to trade in share market then to open a Demat Account, quoting PAN is mandatory.
Hence any change or amendment in PAN rules is sure to watch out for. Recently, CBDT introduced some new provisions regarding the applicability of PAN Card. What? You don’t know about them? Chillax! No worries when we are here for you my dear amigo.
Let’s understand the amendments in a simple, and easy manner.
- Want to enter into the financial transaction of ₹2,50,000 or more? You need a PAN Card first.
Yes, it is true! If you are a resident assessee other than an individual, who has entered into a financial transaction of ₹2,50,000 or more. And does not possess PAN Card then you need to apply for it on or before 31st May of the year immediately following the FY in which such transaction was executed.
- If you have a financial interest in the above business then you too need a PAN Card.
If you are a managing director/ director/ partner/ trustee/ author/ founder/ Karta/ CEO/ principal officer/ office-bearer or someone competent to act on behalf of the above mentioned business. Then you need to apply for PAN (if not possessed already) on or before 31st May of the year immediately following the FY in which such transaction was executed.
- Empowerment of Single Mothers
With the Indian law, as well as the society, becoming more open-minded, this PAN amendment is surely most welcomed. From now on, single mothers do not have to mention the father’s name while applying for her child’s PAN Card. This means mother’s name will hold equal power in the column of father’s name.
- Right to Equality
With the Supreme Court ruling in favor for equal rights of Transgender (or the 3rd Gender), this amendment was pretty obvious. Now the PAN Card application will have the option of Transgender, in addition to Male & Female.
- Mandatory Requirement of Quoting Aadhaar to apply for PAN.
While applying for PAN you need to quote your Aadhaar mandatorily. So, if you do not own an Aadhaar Card then you will not be able to apply for PAN Card.
It is important to note that, point number 1, 2, and 3 will come into effect from 5th December onwards.
So if you haven’t applied for PAN, and need one now, simply visit Tax2win and apply for one now. Our easy, hassle-free application process will get your PAN card within the shortest time, and the service fee is cheapest in the market.