INSUBCONTINENT EXCLUSIVE:
Furnishing of PAN card is mandatory for a contract valued above Rs 1 lakh for sale/purchase of securitiesPAN or Permanent Account Number is
a ten-digit alphanumeric number issued by the Income Tax Department to an assessee
PAN enables the taxman to link transactions of the person
These include tax payments, TDS (tax deducted at source)/TCS (tax collected at source) credits and income tax returns
In other words, PAN acts as an identifier for the person with the Income Tax Department
Quoting of PAN is mandatory for filing of income tax return (ITR)
Besides, furnishing of PAN card details is also mandatory for carrying out specific tasks such as sale or purchase of immovable property
valued at Rs 5 lakh and above, according to the Income Tax Department's website - incometaxindia.gov.in.Importance of PAN card1
Quoting of PAN is also required for setting up a time deposit - or fixed deposit - exceeding Rs 50,000 with a financial institution
Also, a cash deposit exceeding Rs 50,000 in a post office savings account requires PAN, according to the taxman.2
Payment to hotels and restaurants against bills above Rs 25,000 at any one time requires furnishing of PAN card details
(Read: How to link PAN with State Bank of India account)3
Furnishing of PAN is also mandatory for a contract valued above Rs 1 lakh for sale or purchase of securities, and payment of Rs 50,000 or
more to a mutual fund for purchase of its units.PAN card rules for taxpayers4
PAN is required for payment in cash for purchase of a bank draft, pay order or banker's cheque for an amount of Rs 50,000 or more in a day,
The personal identification number issued by the Income Tax Department is also mandatory for deposit of cash amount to Rs 50,000 and above
Payment of an amount of Rs 50,000 or more to a company for acquiring its shares, or to a company/institution for acquiring its debentures or
bonds also requires quoting of PAN.8
Applications for obtaining a PAN can be made in both offline and online modes
Depository Limited) or financial service provider UTIITSL (UTI Infrastructure Technology And Services Limited)
(Read: How to apply for a PAN card online)
