PAN Card for Company

A Permanent Account Number, or PAN, is a necessary document for each taxpayer. It’s a one-of-a-kind 10-character string of letters and digits. The Income Tax Act of 1961 specifies the PAN card criteria. A PAN card is required for all tax-paying individuals, partnerships, corporations, and so on. It also functions as an identification for a variety of applications.

How to Apply for a Company PAN Card?

Do you need a Business PAN Card?

Any corporate organization conducting business in India, whether registered in India or overseas, needs a PAN card. A PAN card is required for every individual or entity doing business with an Indian company. It is also necessary for everyone involved in earning money outside of India, regardless of whether the firm is incorporated, has a permanent establishment, or an office in India.

A list of bodies that require PAN Cards in India

• Company
• Partnership firm
• Association of persons
• Limited Liability Partnership (LLP)
• Body of Individuals
• Trust
• Incorporations
• Limited companies
• Private firms
• Associations
• Foreign institutional investors
• Hedge funds

Documents Needed to Get a PAN Card for a Company

In order to apply for a PAN card in India, organizations must provide the following papers together with the application form:

• Identity/address verification:
• Copy of Certificate of the Incorporation
• Copy of No Objection Certificate issued by the Ministry of Corporate Affairs.

Guidelines for a Company PAN Card

• Read the instructions on the form and make sure all supporting papers are included before applying.
• In the case of offline forms, the form should be filled out in block letters using a black pen.
• The form should only be signed by the CEO of the firm’s authorized signatory.
• The PAN Department provides a customer service line where you may get information and ask questions.
• The mode of payment will change depending on whether the firm is Indian or overseas.

Why does a Business Need a PAN Card?

• It is a reference number that the Income Tax Department uses to trace your financial activities. You will be compelled to include your PAN on all transactions and tax documents.
• Even if you are not required to pay taxes, you must have one if you earn money.
• Companies, whether registered abroad or in India, are obligated to pay tax on transactions conducted in the nation. Without the PAN, the government will deduct the maximum amount of tax.
• Your PAN will assist you in getting bills paid, remittances, and completing income tax forms.
• Companies, like people, must furnish their Tax Registration Number (TRN) to whoever is paying them. A TRN can only be obtained if the firm possesses a PAN.
• In the case of foreign corporations, it was made necessary by Section 206AA of the Finance Act of 2009, which was revised in 2009. All international parties who offer or produce a payment to a counterpart in India would be required to disclose their PAN under this modification. This covers not just persons, but also corporations, partnerships, limited liability companies, and any other type of entity.
• In the absence of a PAN, the government will levy withholding tax, which might amount to more than 30% of the entire invoiced payment.