FAQs (Frequently Asked Questions)

What is a PAN Card?

Permanent Account Number (PAN) is a ten-digit alphanumeric number, issued in the form of a laminated card, by the Income Tax Department, to any “person” who applies for it or to whom the department allots the number without an application.

PAN was introduced to facilitates linking of various documents, including payment of taxes, assessment, tax demand, tax arrears, etc. relating to an assessee, to facilitate easy retrieval of information and to facilitate the matching of information relating to investment, raising of loans and other business activities of taxpayers collected through various sources, both internal as well as external, for detecting and combating tax evasion and widening of the tax base.

What is the meaning of a PAN Card?

A typical PAN is AFZPK7190K.
First three characters i.e. “AFZ” in the above PAN are alphabetic series running from AAA to ZZZ
The fourth character of PAN i.e. “P” in the above PAN represents the status of the PAN holder. “P” stands for Individual, “F” stands for Firm, “C” stands for Company, “H” stands for HUF, “A” stands for AOP, “T” stands for TRUST, etc.
Fifth character i.e. “K” in the above PAN represents the first character of the PAN holder’s last name/surname.
The next four characters i.e. “7190” in the above PAN are sequential numbers running from 0001 to 9999.
Last character i.e. “K” in the above PAN is an alphabetic check digit.

Uses of PAN Card

Quoting the PAN is mandatory when filing Income Tax returns, tax deduction at source, or any other communication with Income Tax Department. PAN is also steadily becoming a mandatory document for opening a new bank account, a new landline telephone connection / a mobile phone SIM card, purchase of foreign currency, bank deposits, purchase and sale of immovable properties, vehicles, etc

Information PAN Card Shows

PAN card displays Applicant Name, Father’s Name, and Date of birth and PAN of an individual applicant. It also contains Photos and signature of the individual.

Applicant or Representative Assessee (in case of applicant being Minor) should sign the application using BLACK ink pen only. In application the applicant or Representative Assessee (in case of applicant being Minor) should sign at the 3 specified positions.
In the left hand box, sign across the affixed photograph.
In the right hand box, sign below the photo in the space provided.
In the bottom right hand box in the space provided on page 2 of the new pan application form.

Applicant should affix two recent COLOUR photographs with white/plain colour backgrounds.

Applicant photograph should be neat, clear, and legible to get qualified for scanning purpose by the authorities.

Applicant should affix two (same) colour photographs of 3.5cms X 2.5cms size.

Applicant photographs should not be stapled or clipped in the form.

First name is the name that was given to you when you were born. Your first name comes in front of your surname/last name.

Example 1– KAMALA REDDAPPA NAIDU
In the above example “KAMALA” is the first name.

Example 2 – ROHIT SHARMA
In the above example “ROHIT” is the first name.

A person’s middle name is placed after the first name and before the surname/last name. When the full name is presented, it is placed between the first name and the surname/last name.

Example 1 – KAMALA REDDAPPA NAIDU
In the above example “REDDAPPA” is the Middle name.

Example 2 -PREMKUMAR NIKHIL YADAV
In the above example “NIKHIL” is the Middle Name.

A surname is a family name added to a given name. It is usually placed at the end of a person’s given name. A family name is passed or given to children from one or both of their parents’ family names.

Example 1 – KAMALA REDDAPPA NAIDU
In the above example “NAIDU” is the family name or Sur name.

Example 2 – ROHIT SHARMA
In the above example “SHARMA” is the family name or Sur name.

Example 3 – PREMKUMAR NIKHIL YADAV
In the above example “YADAV” is the family name or Sur name.

Last name can include specific locations, such as the individual’s place of origin or NATIVE PLACE or ancestral home town.

Or/And
Last name can also be the person’s father’s name.

Example 1– Name with Native place
SUBBARAO RAJU KOTHAPALLI
In the above example “KOTHAPALLI” is the native place or place of origin of the person.

Example 2 – Name with Father Name
MURUGAN ARUNACHALAM
In the above example “ARUNACHALAM” is the father’s name of the person.

Example 3– Name with Father Name and Native Place
RAMYA SHANKARANARAYANAN GURUVAYOOR
In the above example “RAMYA” is the person’s name and “SHANKARANARAYANAN” is her father’s name and “GURUVAYOOR” native place.

Display name is the applicant name which is printed in the pan card.
Display name can exhibit maximum of twenty five characters of the applicant name (including first, middle, last/sur name) else the same will be shortened as per norms by the pan authorities.

Applicant with longer names (exceeds 25 characters) may suitably abbreviate as first character of First Name and first character of Middle Name and full Last/Surname.

OR

Displaying the first name in full with first character of middle name with full Last/Surname.

The PAN is unique to each individual and is valid for the life time of the holder. All persons who have been allotted a PAN need not apply again. Obtaining or possessing more than one PAN is against the law.

From the date of filling the application form with the pan authorities, tentatively it will take 15 to 20 working days for the allotment of new pan number to the applicant; thereafter the pan card will be dispatched by the pan authorities to the applicant postal address.