In India, the Permanent Account Number (PAN) is mandatory for taxpayers, as it is needed for numerous financial dealings such as paying income tax, securing tax refunds, and engaging with the Income Tax Department. This distinctive 10-digit alphanumeric code is issued to assist the department in monitoring the flow of funds.
PAN Card : Some people accidentally end up with more than one PAN, whether due to multiple applications, surname changes after marriage, or fraudulent motives. It is crucial to understand that having multiple PANs is against the law and may lead to a penalty of up to 10,000 rupees.
If you possess multiple PANs, it’s essential to begin the cancellation process immediately to avoid legal penalties. This can be done by filling out the PAN change request application form found on the Employees’ Provident Fund Organisation (EPFO) website. Your current PAN should be indicated at the top of the form, and any additional PANs should be listed in item number 11. You will also need to submit copies of the PAN cards that are to be canceled along with the form.
Preventing Over-Allotment of PANs
To ensure that you are not allotted more PANs, avoid applying for a new PAN when you move to another city. Since your PAN is permanent, it remains unchanged even if you change cities. It is important to have only one PAN and cancel any additional PANs immediately to avoid legal penalties.
