Economy

Here are the new PAN card rules coming into effect from December 5

Updated : November 27, 2018 10:20 AM IST

The application has to be filed on or before May 31 of the assessment year for which such income is assessable.

The notification has made it mandatory for entities that have made financial transactions worth Rs 2.5 lakh or more in a financial year to apply for a PAN card.

The Income Tax department has released a new set of rules for permanent account number (PAN) card applicants, in order to prevent tax evasion. The rules will come into effect from December 5.

Here are the details:

As per the new rules, it's not mandatory to furnish father's name for a person whose mother is a single parent.

Every individual is required to apply for a PAN on or before May 31, be it a managing director, director, partner, trustee, author, founder, karta, chief executive officer, principal officer or office bearer (or any such person who does not have PAN).

The document remains vital for tax assessment and is required for financial transactions such as opening bank accounts and filing of income tax returns (ITR).

The notification has made it mandatory for entities that have made financial transactions worth Rs 2.5 lakh or more in a financial year to apply for a PAN card.

Nangia Advisors LLP Partner Suraj Nangia told newswire PTI that resident entities shall have to obtain PAN even if the total sales/ turnover/ gross receipts are not or are not likely to exceed Rs 5 lakh in a financial year.

Have you signed up for Primo, our daily newsletter? It has all the stories and data on the market, business, economy and tech that you need to know.

Have you signed up for Primo, our daily newsletter?

It has all the stories and data on the market, business, economy and tech that you need to know.

To keep watching CNBC-TV18, India's No. 1 English Business News Channel, call your Cable or DTH Operator and subscribe now for just Rs. 4 per month. You can also subscribe to CNBC-TV18 Prime HD for Re 1/- per month.Find out more

Here are the new PAN card rules coming into effect from December 5

You May Also Like

TVS Motor unveils its first electric two-wheeler with 75 km range; price starts at Rs 1.15 lakh

Have a plan to add 1,000-1,200 beds over next 3-4 years, says Ashutosh Raghuvanshi of Fortis Healthcare

Closing Bell: Sensex, Nifty end 1% lower on Coronavirus fears; metal, bank stocks drag

Trending on CNBC-TV18

recommended for you