Income Tax (IT) department issuing one of the most important card Permanent Account Number or PAN card which is an identity proofs for registrations and transactions, which makes it a vital factor in taxation. To check for tax evasion and ensure greater flexibility,the IT department has released the following new guidelines to keep in mind while updating your existing PAN card or applying for a new one.
The last date for all entities that have made financial transactions worth or above Rs 2.5 lakh to apply for PAN card is May 31, according to the notification published by the Central Board of Direct Taxation (CBDT).
Father’s name not mandatory
Under the new rules, it is not mandatory to quote father’s name in the application forms submitted by applicants raised by single mothers. The applicants selecting the option of only having their mother as a parent would be given the option to furnish the name of the mother alone.
An amendment has been made to section 139A of the Income Tax Act, as per a 2018 budget suggestion, which requires all non-individual entities who have made transactions worth Rs 2.5 lakh to apply for PAN card by May 31. This implies that a Hindu Undivided Family (HUF) that has conducted transactions of Rs 2.5 lakh or more than that in the year 2018 are required to apply for PAN by the end of May, 2019. Any individual, recognised as the managing director, director, partner, trustee, founder, partner, office-bearer, CEO, karta, principal officer or any individual authorised to represent the entity who has not been allotted any PAN is required to apply for the same before May 31 of the following financial year……..Read More>>