Govt issues FAQs on PAN 2.0; says QR code not a new feature

Existing PAN holders will not need to apply for a new card under the upgraded system, the department clarified, adding that OR codes have been incorporated in PAN cards since 2017-18 and is not a new feature.

The finance ministry's Central Board of Direct Taxes (CBDT) on November 26 issued a set of responses for Frequently Asked Questions or FAQs around its PAN 2.0 initiative that aims to streamline and modernise the process of issuing and managing this identity card.

Existing PAN holders will not need to apply for a new card under the upgraded system, the department clarified, adding that OR codes have been incorporated in PAN cards since 2017-18 and is not a new feature.

"The same will be continued under PAN 2.0 project with enhancements (dynamic QR code which will display latest data present in PAN database)," the department said.

PAN holders with a version of the card that does not have QR code can exercise the option of applying for a new card with QR code in existing PAN 1.0 ecosystem as well as in the PAN 2.0.

The QR code helps in validating the PAN and PAN details.

The PAN 2.0 project, worth Rs 1,435 crore, is likely to be rolled out in 2025 itself, however exact dates have not been decided yet, a ministry official said.

Here is a list of the remaining FAQ responses:

How PAN 2.0 will be different from existing setup?

1) Presently, PAN related services are hosted on three different portals (e-Filing Portal, UTIITSL Portal and Protean e-Gov Portal). In the PAN 2.0 Project, all PAN or TAN related services will be hosted on a single unified portal of the Income Tax Department.

This Portal would host all end-to-end services related to PAN and TAN like allotment, updating, correction, Online PAN Validation (OPV), Know your AO, AADHAAR-PAN linking, verify your PAN, request for e-PAN, request for re-print of PAN card, among others.

2) Complete online paperless process as against prevailing mode

3) Allotment/updating/correction of PAN will be done free of cost and e-PAN will be sent to the registered mail id. For physical PAN card, the applicant has to make a request along with the prescribed fee of Rs 50 (domestic). For delivery of card outside India, Rs 15 and India post charges at actuals will be charged.

Do people have an option to get corrections done on PAN, like name, spellings,
address change etcetera?

Existing PAN holders can make any correction or update their existing details such as email, mobile or address or demographic details such as name, date of birth, amon others, free of cost after PAN 2.0 project commences.

Till the time the PAN 2.0 project is rolled-out, holders can avail the Aadhaar based
online facility for the same.

In any other cases of updating or correction of PAN details, the holders can do so using the existing process either by visiting physical centres or applying online on payment basis.

A lot of people have not changed their addresses and are continuing with
old address. How will the new PAN be delivered? And, by when will the new PAN Card get delivered?

No new PAN card will be delivered unless the PAN holder requests. Those who want to update their old address, can do so free of cost using the Aadhaar-based online facility.

What is - the "Common Business identifier for all business-related activities in
specified sectors"?

In the Union Budget 2023, it was announced that for business establishments
required to have a PAN, the card will be used as the common identifier for all digital
systems of specified government agencies.

Also, PAN itself will be used as a Common Business identifier.

For people holding more than one pan, how will you identify and weed out the extra PAN?

As per the provisions of Income-tax Act, 1961, no person can hold more than one
PAN. In case a person holds more than one, he or she is obliged to bring it to notice of Jurisdictional Assessing officer and get the additional PAN deleted or deactivated.

With improved systems for identification of potential duplicate requests for PAN, instances of those who hold more than one such card would minimise, the department said.