What is the full form of PAN?
The full form of PAN is a Permanent Account Number. The PAN card is a ten-digit alphanumeric character issued through the Department of Income Tax. PAN comprises both numeric and alphabetic digits. PAN card comes in a tangible form in that the specific PAN number is assigned, including Organization Name, DOB, and a photo that can also be provided as identification proof and for several other regulatory standards.
PAN Card format
The PAN card format contains information about the person, such as name, Date of birth (DOB), as correlated with the KYC regulations. The PAN card provides the following pieces of information:
- Individual’s Name
- Name of the applicant’s father
- The applicant’s Birth Date. Registration date with the appropriate authority in the case of non-individuals.
- The PAN card is issued as AAAPL1234C. In the PAN format’s first four characters are English characters, the following four are English numerals, and the last one is a letter again.
Example: Consider a PAN card number ABCPNXXXXC
- The fourth character of the ten-digit numbers reflects the holder status of the PAN number.
- P is an Individual
- C means Company
- H stands for the HUF (Hindu Undivided Family)
- A describes the AOP (Association of Persons)
- B stands for BOI (Body of Individuals)
- G symbolises the Government Agency
- J stands for Artificial Judicial person
- L stands for local authority
- F reflects Firm or Limited Liability Partnership
- T symbolises Trust
- The fifth character of the PAN 10-digit number corresponds to the first character of the Individual’s surname or last name. For non-individual 5th characters, describe the first letter of the PAN cardholder name.
- Sixth to ninth characters are numerals from 0001 to 9999.
- The tenth character represents the alphabetic check digit.
Various types of PAN
The various types of PAN cards are listed below.
- HUF – Hindu Undivided Family
- Company or Corporation
- Artificial Judicial Person
- AOP – Association of person
- Firm or Limited Liability Partnerships
Necessary documents for PAN Card
The documents are explicitly needed for two primary purposes to substantiate proof of identity and proof of address. The following are the essential documents required for the PAN numbers depending on the PAN form they apply for.
Required documents are
- Voter ID
- Driving licence
- Adhar card
2. HUF (Hindu Undivided Family)
Required documents are
- An affidavit of Hindu Undivided Family on behalf of members, including DOB identification of the member and address proof of the members.
- Register certificate of the company issued by the register.
- Trust deed and registered certificate number issued by trust and charity commissioner.
- Registered certificate number issued by the commissioner of the cooperative society.
- Bank statement of residential country, passport, and bank statement of NRE account in India.
Importance of PAN Card
- PAN number is required to prove identity and file an income tax return.
- For bank purposes such as opening an account, getting a loan or credit card, etc., a PAN number is required.
- A PAN is an essential document for selling or purchasing a property worth more than five lakh.
- PAN number is necessary when buying or selling automobiles, etc.