PAN card verification involves the authentication of the Permanent Account Number (PAN) provided by the Indian Income Tax Department. PAN, a distinct ten-character alphanumeric identifier, is assigned to every taxpayer in India. This universal identification number serves a pivotal role in numerous financial and legal transactions within the country. Various methods are available for PAN card verification, offering individuals the means to confirm the legitimacy of their PAN cards.
What is PAN Card Verification?
PAN card verification serves as a crucial step in validating an individual's Permanent Account Number (PAN) when they intend to participate in the Indian stock market. This mandatory online procedure is required for anyone seeking to engage in the buying or selling of securities within India.
The regulatory authority overseeing the Indian securities market, the Securities and Exchange Board of India (SEBI), has mandated the provision of PAN details for all such transactions.
PAN card verification plays a pivotal role in maintaining market integrity and safeguarding against fraudulent activities. It enables regulatory authorities to monitor the ownership of securities and curtail illicit trading practices. In essence, PAN card verification involves cross-referencing the PAN information furnished by the investor with the comprehensive database maintained by the Income Tax Department.
Once the verification process is completed, the investor is assigned a distinct identification code known as a PAN-based identifier (PAN ID). This PAN ID is employed to meticulously track all their stock market transactions, ensuring transparency and compliance with regulatory guidelines.
What is the PAN Number Verification Process?
When it comes to PAN verification, there are several methods available, and one of these methods is PAN card verification through NSDL.
Step 1: Initiate the PAN verification process by visiting either the NSDL website or the Income Tax e-filing website dedicated to NSDL PAN verification.
Step 2: Provide the requisite details as requested.
Step 3: Ensure you specify your PAN Card status, whether it pertains to an individual, firm, HUF (Hindu Undivided Family), etc.
Step 4: Complete the procedure by entering the provided captcha code and submitting the information.
Step 5: Your PAN and its verification status will be displayed.
Step 6: It's essential to verify the verification status within 5 days of the acknowledgment of the information.
Required Documents for Online PAN Verification:
Online PAN verification by PAN number is a crucial process for individuals and businesses seeking to validate the authenticity of PAN (Permanent Account Number) cards issued by the Indian Income Tax Department.
This verification procedure necessitates the submission of specific documents, offering essential information to authenticate the cardholder's identity, address, and other pertinent details.
Below, we outline the necessary documents for online PAN card verification.
Required Documents:
- Authorisation Letter on Official Letterhead: An authorization letter on the company's official letterhead.
- Terms and Conditions on Official Business Letterhead: Submission of terms and conditions on the official business letterhead.
- Duplicate Copy of PAN Card: Provide a duplicate copy of the entity's PAN card, duly signed by an authorized representative.
- Entity Declaration (Duplicate): Submission of the entity declaration in duplicate, signed by an authorized representative.
- Certificate of Incorporation (Duplicate): Furnish a duplicate copy of the certificate of incorporation, signed by an authorized representative.
- Copy of License or Certificate: Include a duplicate copy of the license or certificate issued by the relevant regulatory body, signed by an authorized representative.
- Cheque or Demand Draft: A cheque or demand draft to cover the applicable charges, payable to 'Protean eGov Technologies Limited – TIN.'
Verification by Name and Date of Birth
To verify your PAN number using your name and date of birth, follow these steps:
- Register for the NSDL's e-governance website's online services.
- Log in using your registered information.
- Input your name and date of birth to access the data and status of your PAN card.
PAN Card Verification via Aadhaar Number
The government has made it mandatory to link PAN cards with Aadhaar, a 12-digit unique identification number issued by the Unique Identification Authority of India. Here's how to verify your PAN card using your Aadhaar number:
- Visit the income tax e-filing portal.
- Select the "Link Aadhaar" option under the quick links.
- Follow the on-screen instructions.
- Enter your PAN and Aadhaar numbers and select "View Link Aadhaar Status."
- Review the details displayed on the screen.
These procedures ensure the accurate verification of PAN cards, promoting transparency and compliance with regulatory requirements.
Verification of PAN Details Issued by UTI Infrastructure Technology and Services Limited
UTI Infrastructure Technology And Services Limited (UTIISL) is a prominent government financial services provider in India, specializing in delivering financial technology solutions to various government financial sectors. Like NSDL, UTIISL is authorized to issue PAN cards to Indian citizens who apply through their platform. To confirm the validity of your PAN card issued by UTIISL, you can visit their dedicated PAN website and log in using your provided credentials. Once logged in, you can choose the option to verify your PAN card by furnishing the required information. The website will subsequently display the results of the verification process.
PAN Verification Under Section 194N
The Indian government has introduced several measures to combat the circulation of unaccounted money in the economy. One such measure is the introduction of Section 194N of the Income Tax Act, which mandates banks to deduct tax at source (TDS) on cash withdrawals exceeding a specified limit.
Here's how to complete income tax PAN verification under Section 194N:
Step 1: Access the income tax portal.
Step 2: Select the "TDS on Cash Withdrawal" option.
Step 3: Provide your PAN and mobile number details.
Step 4: Accept the declaration and proceed.
Step 5: Enter the OTP sent to your registered mobile number and click "Continue."
Step 6: The system will display the TDS deduction percentage.
e-Verification of PAN Card
You can use your PAN card for verifying your income tax return. Here are the steps to do so:
Step 1: Log in to the income tax portal.
Step 2: Navigate to "My Account."
Step 3: Select "e-verify my return."
Step 4: Choose the option "I want to generate an Aadhaar OTP to e-verify my return."
Step 5: Enter the OTP to complete the verification process.
Entities Eligible for PAN Verification
PAN (Permanent Account Number) verification is a critical process used to authenticate the information of PAN cardholders. This verification is carried out by various government bodies, financial institutions, and organizations authorized by the Income Tax Department of India.
The following entities and organizations are eligible to conduct PAN verification:
- RBI-approved payment banks
- Central Vigilance Commission
- Stamp and Registration Department
- Reserve Bank of India
- Income Tax Projects
- Central and State Government Agencies
- Depositories
- Goods and Service Tax Network
- Commodity Exchanges/Stock Exchanges/Clearing Corporations
- Entities required to submit a Statement of Financial Transactions/Annual Information Return
- Companies mandated to file a Statement of Financial Transactions/Annual Information Return
- Regulatory Bodies establishing educational institutions
- Central KYC Registry
- RBI-approved credit information agencies
- Depository Participants
- Authorities issuing the Digital Signature Certificate (DSC)
- National Pension System’s Central Recordkeeping Agency
- Credit card institutions
- Mutual Funds
- Insurance Repository
- Insurance Companies
- Housing Finance Companies
- RBI Prepaid Payment Instrument Issuers
- RBI Non-Banking Financial Companies (NBFCs)
- SEBI-registered Investment Advisors
These entities play a vital role in ensuring the accuracy and legitimacy of PAN card information, promoting financial transparency, and compliance with regulatory norms.
FAQs on PAN Verification
Q: What are the annual registration fees for accessing online PAN verification?
A: The annual registration fees for all three verification methods within online PAN verification amount to Rs.1200, excluding Goods and Service Tax (GST).
Q: How can I check the status of my online PAN verification registration?
A: To track your registration status for online PAN verification, you can use the provided acknowledgment number. If the registration is successful, you will receive a confirmation message displaying your user ID. In the case of rejection, a notification indicating the rejection reason will be provided.
Q: What is the procedure to utilize this service?
A: To benefit from this service, organizations must initiate the registration process on the Protean eGov Technologies Limited e-Gov website. Subsequently, they need to furnish details about their organization, digital signature certificates, and make the necessary payments.
Along with this, entities are required to submit certain documents, such as an authorization letter, terms and conditions on the company's letterhead, a copy of a license/certificate issued by a regulatory body (if applicable), an incorporation certificate, a copy of the PAN card, and a demand draft/cheque for the applicable charges payable to 'Protean eGov Technologies Limited - TIN'.
Upon receiving the documents and fees, the application is forwarded to the Income Tax Department for approval. Once approved, the registered entity will be assigned a user ID, which allows them to perform online PAN verification.
Q: Is it necessary to enter the full name during PAN verification?
A: Yes, you must provide the first name, middle name, and last name during the PAN verification process.
Q: Do I need to make an initial advance payment for PAN verification?
A: An initial advance payment is required, and you can choose the amount at your discretion.
Q: Are there any additional charges, such as Swachh Bharat Cess (SBC), for PAN verification?
A: Yes, there is a Swachh Bharat Cess (SBC) applied at a rate of 0.5%. As a result, you will need to pay Rs.60 for all types of verification methods.
Q: Can an organization renew its PAN verification service?
A: Certainly, organizations can renew their PAN verification system online. This can be done by logging into the official website using the provided user ID and digital signature. Afterward, choose the 'Renewal of facility' option and then click 'Submit'. This process facilitates the renewal of the PAN verification service.
