A business PAN card refers to a permanent account number (PAN) specifically issued for businesses or entities in India. Business PAN cards are typically required for tax filing, opening bank accounts, legal compliance, claiming tax deductions, and conducting other financial activities on behalf of the business entity.
PAN has a typical format of ABCFu1234D. The first three characters, i.e. ‘ABC’ in the above number is an alphabetic series ranging between AAA and ZZZ.
The 4th character, i.e. ‘T’, represents the PAN holder’s status. The alphabet ‘F’ represents Firm, ‘T’ represents Trust, , ‘H’ for HUF, ‘P’ for Individual, ‘C’ for Company etc.
The 5th character, i.e. ‘U’, represents the first alphabet of the PAN holder’s last name.
The next four characters are sequential digits ranging between 0001 and 9999. The 10th character, i.e. ‘D’, is an alphabetic check digit that runs from A to Z.
Here’s the procedure for obtaining a PAN card online:
Directly Visit the NSDL website Form and fill out Form 49A
For the option of ˜Application Type’ select (New PAN – Indian Citizen), and select the category as “Firm”. Fill in all the details like company name, date of application, etc.
Provide the business legal name under Last name, Date of Incorporation, Official Email ID and registered mobile number. Ensure that the details match the official records, as any discrepancies may lead to application rejection or delays.
Enter details of your Firm once again in the “Last Name” section and the Name that you would like to be Printed on the PAN Card.
Select the primary source of income for your business from the dropdown. Specify whether the income arises from sales, services, investments, or other revenue streams.
As you are registering for a Business PAN card, enter the full address of your office and all necessary details.
Fill in the assessing officer code (AO code). It can be found in the AO code search panel on the NSDL website. Select Indian Citizen or Foreign Citizen as applicable along with state where your business is registered.
Upload copies of the required documents including essential ones like certificate of incorporation. For address proof and date of birth proof upload partnership deed and pay the fees. Ensure these documents are clear, complete, and in the specified format.
Under declaration, enter details of name of applicant, authorised signatory/partner, city and date of application and Submit the form.
After these steps, you will get an acknowledgement number to track progress details regarding your PAN card. Send a signed acknowledgement form and all documents official including partnership deed to the NSDL head office within 15 days.
Here’s the procedure for obtaining a PAN card offline:
There are many documents you need to start a business in India and a PAN card is among the most important ones. Any individual or corporation (Indian or foreign) involved in business in the country needs to get registered and have a company PAN card.
Additionally, if your company is generating money from outside India but was registered in India, has a permanent establishment, or even has an office in India, will need a PAN card.
If you come under any of the following entities, you should have a business PAN card:
Here are the key documents required for obtaining an Indian Company PAN Card:
Here are the key documents required for obtaining a Foreign Company PAN Card:
The corporate PAN card issuance fee payment is mandatory, and the accepted payment method is a bank draft payable in INR (Indian rupee) to PAN or UTIITSL (UTI Infrastructure Technology And Services Limited), Protean eGov Technologies Limited, with Mumbai as the destination. When making this payment, you must know how to choose a payment gateway that aligns with your business needs.
Getting a PAN card for your business is one of the crucial steps to ensure that you maintain financial integrity. Detailed below are the processing time and fees associated with applying for a business PAN card.
The estimated processing time for a business PAN card issuance is around 15 days.
| ">Applicant Type | ">New PAN Card | ">Duplicate/Reprint PAN Card |
| ">Applicants Residing in India | ">Rs. 101 (Rs.86 Application Processing fee + 18% GST) | ">Rs.110 (Application Processing fee of Rs.93 + 18% GST) |
| ">Applicants Residing Abroad | ">Rs 1011.00 (Rs. 86 Application Processing fee + Dispatch Charges Rs. 857) + 18% GST | ">Rs 1020.00 (Application fee Rs.93.00 + Dispatch Charges Rs. 771.00) + 18% GST |
Your company’s PAN card enables invoice payments, remittances, and tax returns. Like individuals, companies need to provide their Tax Registration Number (TRN) to payers, which is obtainable only after acquiring a PAN.
Below are some of the key reasons to have a company PAN card:
An apostille is a certificate that authenticates the origin of a public document so that it can be recognised in foreign countries. It verifies that the signer’s signature, capacity, and seal/stamp on a document are genuine. In the context of foreign companies seeking a PAN card in India, apostilled documentation proves the organisation’s legitimate existence and operation outside India.
Here are the key requirements:
Follow the below steps to obtain apostilles:
For U.S. federal, apostilles are provided by the U.S. Department of State. The documents must be authenticated by the competent state authority where the document was executed.
The original documents in the notarised and authenticated way should be submitted to the appropriate office together with any necessary forms and fees.
For countries which are signatories to the 1961 Hague Convention, apostilles can be obtained from specific authorities such as the U.S. Department of State for federal documents and the state authorities for state-issued documents. It is worthwhile to seek guidance from local officials or legal experts on the authentication processes that are unique in the countries that are not a part of the Hague Convention.
The PAN for business is an essential instrument that serves as a basis for financial transactions, besides ensuring compliance with financial regulations. As a primary benefit, it helps track all the financial transactions mandated by the Income Tax Department.
Not having a PAN card can potentially result in higher rates of tax and non-eligibility for specific tax-related procedures. A PAN card is necessary for filing income tax returns, opening a bank account and making investments. Additionally, it enables businesses to claim tax breaks and benefits.
It is important to know how to get a business PAN card. Applying for a business PAN card is comparable to the process of applying for an individual PAN card, and the difference lies in some details like the need for a Certificate of Registration in case of a business PAN Card. While the issuance processing time is estimated to be approximately 15 days, the fee structure varies for different organisations.
A business PAN card is indispensable for businesses in India as it assists in smooth transactions, adherence to tax laws, and receiving approval for TRN (tax registration number). There are additional benefits of a PAN card, including eligibility for tax rebates and incentives.
The absence of a PAN card may lead to higher tax rates and ineligibility to meet specific tax-related prerequisites. Legal business operations necessitate getting two vital documents including GST (goods and services tax) and PAN numbers. The process of how to get a GST number for a business is very important for businesses to run their business smoothly.
After knowing how to apply for a business PAN card , you must know about some of the key challenges and their solutions to avoid unnecessary hassles:
It is essential to know some tips on how to get a PAN card for business. Read all the instructions provided in the PAN card application form and submit the required supporting documents. The application form should be filled out using block letters and a black pen, preferably for the offline form so that the information is easy to read and understand. To ensure compliance with regulation, the CEO or the authorised signatory must sign the form.
Use the customer care services in case you have any questions related to the application process. There is a variety of payment methods available for Indian and foreign companies, and it is crucial to choose the right one based on the company’s status. This will minimise issues that may arise during the application process.
The fee for applicants residing in India is INR 110 , which includes a processing fee of INR 93 plus a GST of 18%. For citizens outside the country, the cost is INR 864, exclusive of GST.
To get a hard copy of your PAN card, you can submit a request through the official NSDL or UTIITSL websites. The physical PAN card will be processed and dispatched to the address provided in your application form. Additionally, an E-PAN for a private limited company in PDF format will be sent to the e-mail ID mentioned in the application form.
You can get the PAN card details by taking the company PAN number , searching for the name of the PAN card holder, by date of birth, or by address.
The PAN format for businesses is similar to that for individuals. It is a 10-digit alphanumeric number, which the Income Tax Department allows. The initial three characters are alphabets, followed by four digits, and terminated with a single alphabet. This PAN number is often used for GST search by PAN.
Currently, there is no option of getting a PAN card within two days. Generally, processing the PAN card takes around 15 days. The applicants are encouraged to apply in advance to enable them to receive the PAN card in time.
A PAN card is an alphanumeric 10-digit number issued by the income tax department. The first three characters are invariably letters. The fourth type of character stands for the entity that owns it (individual, company, etc.). The rest of the characters are a mixture of figures and symbols.
The PAN is an abbreviation for permanent account number. It is a unique identification (UID) number issued by India’s Income Tax Department.
A PAN card is necessary for different financial processes such as filing income tax returns, opening a bank account, and making high-value transactions. It assists the government in tracing financial transactions and avoidance of tax.
Yes, a PAN card is a mandatory document for obtaining GST registration. Additionally, understanding how to register a business in India is crucial for new entrepreneurs.
The Apostille Convention is an international pact that makes the procedure of verifying documents to be used in other nations a lot easier. It eliminates the need for extra certification by endorsing the original document with an apostille certificate.
You can get the PAN application form either from the official website of either NSDL or UTIITSL.
Businesses, which include sole proprietorships, partnerships, companies and other legal entities, are entitled to apply for a business PAN card.
Saurin heads Content at Razorpay. He's a fintech enthusiast who enjoys long walks in the Bangalore weather. He says he's a "cool dad" (those are his words, his son has refused to comment). He writes primarily on personal and business finance, and a little bit on marketing.
