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Friday, 31 January 2014

New PAN allotment norms put on hold;old procedure to continue


New norms for issuance of PAN card requiring verification of

original documents have been put on hold with the Finance

Ministry on Thursday announcing that the existing procedure will

continue.
PAN is a 10-digit alphanumeric number issued in the form of a

laminated card by the Income Tax department

"The Central Board of Direct Taxes (CBDT) has decided to keep in

abeyance the decision to change the procedure for PAN allotment

till further orders. Accordingly, the operation of Circular

(concerned) issued to PAN service providers has been directed to be

put on hold till further orders," the Finance Ministry said in a

statement.

In the meantime, it added, the old procedure of PAN application

and allotment "shall continue".

The Ministry, however, did not give reasons for keeping the

proposed norms on hold.

Currently, a PAN applicant has to just submit photo copies of

documents required. The originals are not checked.

The new norms were to come into force from February 3.

Under the proposed procedure, copies of proof of identity, address

and date of birth attached with PAN application forms were to be

checked against original documents when applications were to be

submitted at PAN facilitation centres.

The original documents would be returned to applicants

immediately after verification.

PAN is a 10-digit alphanumeric number issued in the form of a

laminated card by the Income Tax department to any person or

entity applying for it or to whom the department has allotted a

number without an application.

Officials in the Income Tax department said that the cost of

obtaining a PAN card, under the proposed norms, after rounding off

has been fixed at Rs.105, including taxes.

The new procedure notified by the Income Tax department for

obtaining a PAN card, is expected to eliminate the problem of fake

and multiple cards

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