Instant Permanent Account Number (PAN) allotment was proposed by the Finance Minister in the Budget 2020. The decision was taken to facilitate easy allotment of PAN to people. According to the new rules, any individual having a valid Aadhaar Card number can apply for an instant PAN, which will be made available in the PDF format.
The user has to enter his Aadhaar number to generate an OTP on their registered mobile number. Once the validation process is completed, a 15-digit acknowledgement number will be generated. If the PAN card has already been issued to the user, then they can download the PAN in the PDF format and a copy will be sent to the user’s e-mail ID.
Some basic requirements to get instant PAN through Aadhaar-based e-KYC:
- The user should have a valid Aadhaar card.
- The Aadhaar card must be linked to the user’s registered mobile number.
- There is no need for submission of any kind of KYC documents as it is a paperless process.
- Possession of more than one PAN card is punishable under Section 272B (1) of the Income Tax Act, 1961.
Steps for applying Instant PAN Through Aadhaar:
- Visit the official e-filing home page of the IT department (https://www.incometaxindiaefiling.gov.in/home).
- Click ‘Instant PAN through Aadhaar’ option under the ‘Quick Links’ section of the homepage to redirect you to the instant PAN allotment webpage.
- Click ‘Get New PAN’ and this will redirect you to the instant PAN request webpage.
- Enter your Aadhaar number for PAN allotment along with the captcha code. Click ‘Generate Aadhaar OTP’ to receive the OTP on your registered mobile number.
- Enter the OTP and click on the ‘Validate Aadhaar OTP and Continue’.
- You will get redirected to the PAN request submission page where you will be required to validate your Aadhaar details. Click ‘Submit PAN Request’ button.
- You will receive acknowledgement number post submitting your Aadhaar details for validation.
Linking your PAN with your Aadhaar has become mandatory and should be done by March 31, 2020 after which individuals will have to pay a penalty to get their PAN – Aadhaar linking completed. PAN – Aadhaar linking is also required for filing your ITR.