The Income Tax Department has replaced the existing Permanent Account Number (PAN) application forms with four new, specialised forms, effective April 1.
Earlier, PAN applications were processed using just two standard forms- Form 49A for Indian citizens and Form 49AA for NRIs and foreign entities, as prescribed under Rule 114 of the Income-tax Rules, 1962.
However, under the revised system, applicants will now have to choose a form based on their category.
Form 93 will be used by resident individuals, Form 94 for Indian companies or entities incorporated in India or unincorporated entities formed in India, Form 95 for foreign individuals and Form 96 for entities incorporated outside India or unincorporated entities formed outside India.
The revised structure aims to make the documentation process concise, user-friendly, and easier to understand. The updated forms have been aligned with the provisions of the Income-tax Act and related rules.
At the same time, the department has removed several unnecessary or repetitive fields that were part of the earlier application system. These include details such as salutations, name abbreviations, and certain KYC-related requirements.
Another important change is the introduction of mandatory contact details, particularly mobile numbers and email IDs. This will allow applicants to directly receive updates, track application status and get real-time notifications from the IT Department.
Other changes include a clearer and larger photograph requirement to improve identification and verification.
For individual applicants in India, some new rules have been added. Now, you must write your full name properly (no shortcuts unless it matches Aadhaar). The mother's name is also required, which was not compulsory earlier. A new section also asks about your residency status, like whether you are a resident, non-resident, or RNOR.
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Applicants falling under non-resident or RNOR categories will also be required to submit additional details such as passport information and Tax Identification Number (TIN).
The government has also made a separate system for corrections in PAN. Now there are two simple forms, one for individuals and one for companies and other organisations. These can be updated online or at PAN centres.
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