Permanent Account Number (PAN) is an important document for all taxpayers. Companies, whether incorporated in India or abroad, need PAN if they are doing business in India. At the same time, companies that have Indian origin but are generating income outside the country also need to quote PAN for several purposes in the country. The process to apply for a PAN Card for Company is simple and can be done online. Companies incorporated in India have to fill Form 49A in order to apply for a fresh PAN.
Step 1- Visit the Paperless PAN Application Section on the NSDL website at https://www.onlineservices.nsdl.com/paam/endUserRegisterContact.html. Select Form (49A or 49AA) from the ‘Application Type’ dropdown menu and select ‘category’ as ‘Company’ from the next dropdown menu.
Step 2- Fill out the Title (M/s), Name of the Company (in the ‘Last Name’ Box), Date of Incorporation of the Company, email ID and Contact Number. Fill the Captcha Code and proceed. A token number will be generated and sent to the email address provided by you. You can now continue the PAN Application.
Step 3- In case of Company PAN Application, e-KYC and e-sign facility is not available and the application documents can be only forwarded physically. The company’s name, email ID and contact number will be prefilled. You only have to fill the Registration Number of your company. Submit and proceed.
Step 4- In this part, you have to mention the source of income of the company. Select ‘Income from Business / Profession’ and from the menu provided, select the type of business. If you are also earning other income from house property, capital gains or other sources, mention the same.
Step 5- Next you have to fill out the office address which will also be your communication address in the PAN database. Other contact details will be prefilled. Proceed to the next step.
Step 6- Now you have to provide the Assessing Officer (AO) Code which is designated according to area jurisdiction of your location. You can click on the ‘Indian Citizen’ option and then select ‘State’ and ‘City’. You can also go to the ‘AO Code search for PAN’ Page on NSDL Website.
You can now proceed to the documentation page.
Step 7 In case of companies, the Certificate of Registration issued by the registrar of companies can be used as both identity proof and address proof.
Sign the declaration. Here you will be asked about your relationship with the company. Either the Director or an Authorised Signatory and apply for a company’s PAN. Submit the form. Now you have to upload scanned copies of the required documents.
Your complete filled form will be available for review. If all the information provided by you is correct, submit the form.
You are now required to pay the fee which is Rs 110, if communication address is within India and Rs 1,020, if communication address is outside India. The payment can be made by way of demand draft, credit/debit card or net banking. In case of company, only a director can make the credit/debit card or net banking payment.
On successful payment of the fee, an acknowledgement receipt will be generated. The acknowledgement number mentioned on the receipt can be used by the applicant to check the application status of the company’s PAN. The duly signed acknowledgement has to be sent to the NSDL office at the below mentioned address along with the copy of registration certificate and demand draft (if any).
Income Tax PAN Services Unit,
NSDL e-Governance Infrastructure Limited,
5th floor, Mantri Sterling, Plot No. 341,
Survey No. 997/8, Model Colony,
Near Deep Bungalow Chowk, Pune – 411016
When mailing this acknowledgement, keep the following things in mind -
The envelop should be super scribed with 'APPLICATION FOR PAN--- N-Acknowledgement Number'
It should reach NSDL office within 15 days from the date of online application
- Applications received with demand draft shall be processed only on receipt of relevant proofs and realization of payment.
For PAN application, companies have to submit some documents as proof of identity and address. The registration certificate issued by the Registrar of Companies can serve the purpose of both identity proof and address proof for the companies. Depending on the type of entity, the following documents can be accepted as proof of identity and address -
|For Companies||Certificate of Registration issued by the Registrar of Companies|
|For Limited Liability Partnership Firms||Certificate of Registration issued by the Registrar of LLPs|
|For Partnership Firms||
Partnership Deed; or
Certificate of Registration issued by the Registrar of Firms
Trust Deed; or
Certificate of registration number issued by Charity Commissioner
|For Association of persons (other than Trusts) or Body of Individuals or Local authority or Artificial Juridical Person||
Certificate of registration number issued by charity commissioner or registrar of cooperative society or any other competent authority; or
Any other document originating from any Central or State Government Department establishing identity and address of such person
The government of India has made PAN mandatory for all entities that are generating income in the country, whether it is an individual, a company, an HUF, a partnership firm or a trust. Having a PAN is beneficial for the company in a number of ways, such as -
PAN is basically your company’s tax identity.
PAN is used by the Income Tax Department to track all the financial transactions. Even if you do not fall in the tax bracket, you are required to possess PAN.
If companies do not have PAN and are generating income, it is considered as withholding of information from the government.
- PAN will help a company in filing Income Tax Returns and in getting different types of invoices and remittances.