The government has launched the PAN 2.0 initiative to streamline and integrate all PAN (Permanent Account Number) and TAN (Tax Deduction and Collection Account Number) services under a single digital platform.
Developed by the Central Board of Direct Taxes (CBDT) with a budget of ₹1,435 crore, the modernisation drive seeks to simplify processes, enhance security, and improve accessibility for taxpayers.
One taxpayer, one PAN
The Income Tax Act, 1961, explicitly prohibits individuals from holding multiple PAN cards.
As per recently released FAQs by the CBDT, "In case a person holds more than one PAN, he/she is obliged to bring it to notice of Jurisdictional Assessing Officer and get the additional PAN deleted/de-activated."
Individuals found in possession of multiple PANs are legally required to surrender the additional card(s) to the jurisdictional Assessing Officer.
Failure to surrender duplicate PAN invites penalties
Non-compliance with this regulation can lead to a penalty of up to ₹10,000 under Section 272B of the Income Tax Act.
The tax authorities may impose this fine if duplicate PANs are detected during routine audits or investigations.
Unwitting possession of multiple PANs is not uncommon, yet ignorance of legal consequences does not exempt individuals from penalties.
Failure to surrender an additional PAN voluntarily may prompt enforcement action by the Income Tax Department.
Also read: Cabinet approves PAN 2.0 upgrade with QR code feature
How to surrender an additional PAN?
Taxpayers can surrender duplicate PANs through both online and offline modes:
Online process:
- Visit the Protean eGov Technologies Ltd website (https://www.proteantech.in/) and access the ‘Changes or PAN Card Correction’ form.
- Enter the necessary details and verify PAN information.
- Select the ‘Contact Details’ section and specify the PAN to be surrendered.
- Attach supporting documents, pay the requisite fee, and submit the form.
Offline process:
- Submit Form 49A for Change/Correction in PAN at the nearest PAN Service Centre, clearly mentioning the PAN to be surrendered.
- Alternatively, send a written request to the Jurisdictional Assessing Officer, providing details of the retained PAN and the one to be cancelled.
PAN 2.0: A step towards digital tax governance
The PAN 2.0 project is set to redefine tax-related services with several key features:
- A single integrated platform for PAN/TAN applications, corrections, and updates.
- Minimal paperwork with faster processing through digital channels.
- Free e-PAN issuance with digital delivery.
- Enhanced data security with encrypted storage and access.
- A dedicated taxpayer helpline for resolving queries.
While the new system will enhance efficiency, existing PAN cards will remain valid, and taxpayers need not reapply.
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