 What is a PAN Card?
Full form of PAN is Permanent Account Number, which is
a ten digit alphanumeric number issued these days by
Indian Income Tax department in the form of a
laminated card.
Effective from July 2, 2007, it mandatory to mention
your PAN number on almost every kind of
financial/investment related transaction in India.
This can also be considered as a tax number that is
compulsory in India and is quite similar to a social
security number (SSN) in the United States of America
or the Tax identification number in the United Kingdom
(U.K). The PAN Card is processed by 2 major agencies
of the income tax authority of India, namely NSDL and
UTI.
Why do NRIs need a
PAN Number?
As per the Indian government it is now compulsory to
quote your PAN number in all financial and investment
pertaining transactions in India. A PanCard also
serves as a very important Indian ID proof and it is a
must in various investment opportunities in India. To
name a few, one needs a PAN card to make investments
in the Indian stock market, open a demat account, buy
or sell real estate/property, open a bank account
including a NRE/NRO accounts, obtain loan, claim
rental income, get a telephone connection, do business
in India, apply for visas or passport, to conduct
foreign remittances and more. Thus it is advised that
you register a pan number as soon as possible, for
this you can send us your pan card enquiry to us as
well.
What are the Benefits of a PAN Card?
Possessing a permanent account number may not bring
any benefits, however it is more of a compulsory rule
laid by the Income Tax Department of India. A PAN card
is now a must for a person of India origin (PIO),
overseas citizen of India (OCI) and non resident
Indian (NRI) if they wish to carry any financial
transaction in India.
Do I have to file taxes if I get a PAN Number from
India?
Getting a PAN does mean you have to pay taxes in
India. You only pay tax if you make money in India.
However it is still advised to file ZERO tax/Nil
Returns because it enhances your credibility and makes
it easy for one to get various types of loans.
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