More transactions need PAN
Now, you must present your PAN card for a acquisition of jewellery worth Rs 5 lakhs or maybe more from this month. Besides jewellery, furnishing PAN could well be mandatory for a lot of other transactions also. These include issue of your debit card by way of a bank. A payment of Rs 50,000 or higher in a year towards term life insurance premium will even require PAN. The move is predicted to help the tax department track top grade transactions .
The Finance Ministry has told you that anyone who is really a transaction of Rs 25 lakhs plus more, and ceases to quote the PAN, will get summons through the Income Tax Department, and that he could even be penalised. Action against such defaulters will probably be taken from the Central Information Branch (CIB) on the Income Tax Department. The CIB is going to be empowered to issue notices to such individuals plus attach the home and property of those not addressing the summons.
PAN is really a ten-digit alphanumeric number issued in the form of any laminated card with the Income Tax Department. It is mandatory to quote PAN on returns of revenue and all correspondence with any taxes authority. It is mandatory to quote PAN on challans for virtually any payments a result of the Income Tax Department.
Getting a PAN
An application for the NSDL PAN Status needs to be made only on Form 49A. It can be downloaded through the website from the Income Tax Department. Applications can be produced through the Internet too. Further, obtain correction in PAN data or for the new PAN card (for the existing PAN) will also be made over the Internet. If an application for allotment of PAN is submitted with the Internet and payment made by way of a nominated bank card the PAN is allotted on priority and communicated through email.
Identity and address proof
Individual applicants have to affix one recent coloured photograph stamp size (3.5x2.5 cm) on Form 49A. Also, a single document classified by Rule 114 should be supplied as proof identity and address. Designation and code in the assessing officer concerned of Income Tax Department will have for being mentioned on Form 49A
The documents for evidence of identity in the case of individual applicants, including minors and HUF applicants , generally is a copy in the school leaving certificate, degree certificate of your recognised educational institution, depository account, debit card, ration card, property tax assessment order, passport, voter identity card or driving license.
It can be a certificate of identity signed with a MP, MLA, municipal councillor or maybe a gazetted officer. In case the UID status can be a minor, any one of these documents of any with the parents or guardian behaves as evidence of identity. In case the PAN application is done on behalf of any HUF, all of these documents from the Karta on the HUF provides as evidence identity.
For address proof, it is possible to attach a copy from the electricity bill, teleph one bill, passport, property tax assessment etc.