PAN
Permanent Account Number (PAN) is a unique alphanumeric, 10-digit identification number issued by the Income Tax Department of India to each taxpayer. It is used to track financial transactions and is necessary for various payments. A PAN card is a tangible plastic card displaying one’s PAN number, name, date of birth, and photograph. The PAN number remains constant despite changes in address or job profile, serving as lifelong proof of identity.
Different types of PAN cards serve specific functions:
- PAN card for businesses and organizations: Facilitates tax compliance, financial transactions, and regulatory requirements for corporate entities.
- PAN card for Cooperative Societies and Trusts: Enables financial transparency, accountability, and compliance for cooperative societies, trusts, and similar entities.
- PAN card for individual taxpayers: Essential for filing income tax returns, making investments, and conducting financial transactions on behalf of individuals.
- PAN card for business units or partnership firms: Facilitates tax compliance and financial transactions for partnership firms and other business entities.
Structure of pan card
A PAN card is much more than just a card-carrying the user’s basic information. It’s created in such a way that each specific character, alphabet, and so on denotes a variety of different things that can be written on it. The construction of a PAN card can be defined as follows:
By default, the first five characters of the Permanent Account Number are printed in uppercase letters and are followed by four numerals, while the tenth and last character is a letter. ‘For instance, AAA XX123 4B’.The PAN number’s first three characters comprise an alphabetic sequence.
The cardholder type is identified by the fourth character, which might be either an individual or a person. For instance, BBBPZ123XA