Permanent Account Number (PAN) is a ten-digit alphanumeric code issued in the form of a laminated card, by the Income Tax Department, to any person who applies for it. PAN enables the department to link transactions of the person with the relevant department. These transactions include tax payments, TDS/TCS credits, returns of income/wealth/gift/FBT, specified transactions, correspondence and so on. PAN, thus, acts as an identifier for the person with the tax department. PAN can be called the Indian counterpart of the NI (National Insurance) Card in UK for almost all purposes. PAN was introduced to facilitate linking of various documents including payment of taxes, assessment, tax demand, tax arrears etc. relating to an assessee, to facilitate easy retrieval of information relating to investment, raising of loans and other business activities of tax payers as well as giving social benefits to the PAN card holder eventually through various National Distribution Schemes. http://www.pearlaccountants.org/index.html
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