Any taxpayer needs a permanent account number, also known as a PAN. A PAN is a 10 digit or letter combination. A PAN card is covered under the Income Tax Act, 1961. PAN cards will be required of all companies operating in India. A PAN card is mandatory for all businesses that generate revenue. PAN numbers must be entered during all company financial transactions as well as when registering and issuing invoices. It is therefore one of the mandatory documents required for forming a private limited company and other business structures.
You can apply online for the PAN card, and the process is straightforward. Form 49A is required by Indian companies for obtaining a new PAN card. A form 49AA can also be used by foreign citizens to get a PAN card.
How to apply for a company PAN card offline
- NSDL or UTIITSL have copies of form 49A that you can download and print.
- Complete the form and attach any necessary documents.
- NSDL processing centers require that the form be submitted with attachments. On the TIN website of the government, you can find the address of the processing center.
- Upon submission, you will receive an acknowledgment receipt from the department.
- Your company’s registered office will receive your PAN card after the documents have been verified. A fee of Rs. 110 will be charged for the application.
Online application for company PAN cards
Step 1
The NSDL website is worth visiting. In order to begin the process for obtaining a company PAN, choose 49A or 49AA as the application type, and then select a category from the next dropdown menu.
Step 2
Name your company (in the last name box), enter the company’s incorporation date, and provide your contact details. Next, complete the captcha code. At your email address, you will receive a token number.
Step 3
PAN applications for companies that lack e-sign and e-KYC facilities and application submissions must be done physically. Prefilled contact information for the company will include the company’s name, email address, and phone number. The registration number will be the only thing you need to enter. File and continue.
Step 4
Here, you will have to indicate the company’s source of income. Make a choice between income from a business or profession, and the business type from the drop-down menu. Additionally, if you receive income from real estate, capital gains, or other sources, please mention them.
Step 5
In the PAN database, you need to enter the address which will be your communication address after you complete all four steps above. This will include your contact information.
Step 6
You will need to enter an AO (assessing officer) code specific to your area of jurisdiction. If you are an Indian citizen, you can select your state and city. Visit the PAN page on the official website to find the AO Code for the PAN.
Step 7
The registration certificate of a company can be used as both an identity document and an address document.
You must sign the declaration. Once your signature is on the declaration, they will ask about your relationship with the company. Apply for the PAN of the business either as the director or authorized signatory. Fill out the form. Scanned copies of all required documents must be uploaded following this process. Once successfully uploaded, the submission can be reviewed. You should file the form if all the information you provided is accurate.
If the communication address is within India, you will have to pay Rs. 110; if it is outside India, you will have to pay Rs. 1020. The payment can be made with a DD (Demand Draft), via a debit card or credit card, or via Net Banking. Payments can only be made by credit or debit card by the director of the company.
Following the successful payment of a fee, you will receive an acknowledgment receipt. You can check the status of a company’s PAN application by using the number given on your acknowledgment. The registration certificate and demand draft (if any) must be sent along with the duly-signed acknowledgment to the NSDL office at the address given below.
Income Tax PAN Services Unit,
NSDL e-Governance Infrastructure Limited,
Firth floor, Mantri Sterling, Plot No. 341,
Survey No. 997/8, Model Colony,
Near Deep Bungalow Chowk, Pune – 411016.
Here are some things to keep in mind:
- A PAN application with acknowledgement must be superscribed on the envelope.
- NSDL office must receive it within a fortnight of the application date.
- Once proof and payment have been received, applications received with DDs will be processed.
What documents are required to apply for a PAN?
- Certified copy of the company’s incorporation certificate by the registrar of companies.
- Registered address proof showing where the company is based.
- An apostille must be obtained from an Indian embassy or high commission or consulate if the company does not have an office in India. The copy of the certificate of incorporation from the government where the registered office of the company is located must also be apostille by a resident of that country. To establish a business in India, you will also need the certificate issued by the Indian authorities.
- Along with the application, you must submit a demand draft for payment of fees.
What is the purpose of a company PAN?
All entities generating income in India are required to have a PAN card, regardless of whether they are a company, an individual, a HUF, a partnership firm, or a trust. A PAN card is of great importance to an organization in many circumstances.
- Your PAN is your company’s tax identification number.
- All financial transactions are tracked by the income tax department using your PAN. You will need to get a PAN even if you aren’t in a tax bracket.
- A company that generates income but does not have a PAN is considered a concealment of information by the government.
- PAN allows companies to submit their income tax returns and obtain various types of invoices and remittances.