PAN is required very much now for all financial transactions. Apart from financial transactions, PAN is now a day required at many other places.
Who all can get a PAN Card ?
- Individuals
- Resident Indians
- Non-Resident Indians
- Person of Indian Origin (POI)
- Overseas Citizens of India (OCIs)
- Minors in all the above category can also get PAN
- Institutions
- Partnership firms/ LLP/ Pvt Ltd/ Ltd/ PSUs
- NGOs/ Societies/ Associations
- Governments/ Government Bodies/ Body Corporates/ Independent Bodies
Where PAN can is a must ?
If you have started working in a company/ government job and receiving salary, you have to produce PAN to your employer. Employer will deduct TDS if you fall under taxable income. If you are working as a consultant or as a professional, then also you need to produce PAN for TDS deduction.
- All types of banks (private/public/ co-operative/small finance) will ask you for PAN if you want to open bank account with them.
- For investments in fixed deposits of Rs. 50,000/- above, you have to cite your PAN. This rule is also valid for other investments like mutual funds, bonds etc.
- For opening mutual fund account and to open DMAT account for starting stock market investments, you need to have PAN card.
- Banks will need your PAN cards if you need credit card. For any kind of loans also you need to possess PAN and produce it to banks for processing your application.
- If you have to buy or sell new or used car/vehicle which is valued more than Rs. 5,00,000/-, you will need to produce your PAN card.
- In case you need to deposit cash of Rs. 50,000/- above in your bank account, you/depositor have to mention your PAN in the deposit slip.
- For insurance investment/ premium payment of Rs. 50,000/- above, you must need PAN.
- Want to buy jewellery, you need to produce your PAN if your purchase value worth Rs. 5,00,000/- above.
- If you are buying or selling property you have to give your PAN copy at the time of registration.
- When you rent your house/property, you have to give your PAN to your tenant and also for registration of leave and license agreement.
Finally, we all know to file income tax return we need PAN Card.
