PAN – TIN Allotment

PAN - TIN Allotment

What is PAN / TIN?

Permanent Account Number or PAN:

Permanent Account Number or PAN is a unique 10 digit alpha-numeric code. The taxpayers use this as an identification and Tax related matters. The Income Tax Department of India issued PAN Card to every individual, firm or business who is liable to pay tax.

PAN Card serves as an important proof of identity. It is an Alpha-numeric number, who represents the identity of an individual, business or firm.

For example AJZPB6548R (This is a PAN Card Number)

  • The first three letters are from alphabetic series (AAA to ZZZ). It could be any combination of letters such as CBJ, TYC or anything like these.
  • The fourth character represents that if the person is individual, business, company, firm or trust. Letter ‘P’ denotes an Individual, ‘C’ denotes Company, ‘F’  denotes a Firm, ‘T’ denotes a Trust, ‘L’ denotes Local Authority and ‘H’ denotes Hindu Undivided Family.
  • The fifth character is the first letter of your surname.
  • Next four characters are a random selection of a number from 0001 to 9999.
  • And the last character is a code generated by applying a formula on first nine alphabet and numbers.

Tax Payer Identification Number or TIN:

TIN Number or Tax Payer Identification Number refer as VAT Number or Sales Tax Number. The State Tax Department allocated this 11 digits unique number. While on Tin Card, the first two-digit represents the respective state code. And the other 9 digits of TIN different for each state governments.

Tin Number is used to identify businessman and dealers who are registered under VAT, same work as PAN Card. TIN Number registration is must in India. due to businesses like selling goods, manufacturing products, e-commerce sellers, exporters, and dealers etc. Now you can apply for a TIN Number online through e-government portal. To apply for TIN Number each state has different applicability. So here are some documents you must have. These are such as Identification Proof, Address Proof of Residence & Bussiness, photograph, Sale Invoice, Bank Statement, security etc.