Any resident entities that have made financial transactions worth Rs 2.5 lakh or more in the last fiscal need to apply for a PAN card on or before May 31, according to a notification issued by CBDT last year. The rule applies to all non-individual entities, be it a company, charitable trust, LLP, association of persons, body of individuals or Hindu Undivided Family (HUF). In case these entities fail to apply for PAN card, they will be penalised. The notification dated November 19, 2018, says that any such entity that crosses the Rs 2.5 lakh threshold in any financial year will have to apply for PAN latest by May 31 of the applicable assessment year.
The notification also mentions that people heading these entities should also apply for PAN card if they are not allotted one by May 31 of the fiscal that follows. The list includes managing director, director, partner, trustee, author, founder, karta, chief executive officer, principal officer, office bearer, or any person competent to act on behalf of such entities.
In case you fail to follow this, a penalty of Rs 10,000 for non-compliance of the Section 139A of the Income Tax Act can be imposed by the assessing officer. In addition, without a PAN card entities cannot undertake transactions listed in Rule 114B of the Income-tax Rules.
Get PAN card in just 48 hours
Now, you can get a PAN card in just 48 hours by filling Form 49A or Form 49AA. The application can be made online through NSDL website www.tin-nsdl.com. The PAN application form can be downloaded free of cost from the NSDL website and you can also get it from any NSDL TIN-Facilitation Centre (TIN-FC). For this, you will need two recent colour photographs with white background (size 3.5 cm x 2.5 cm). You will also have to submit documents such as ID proof, address proof and proof of date of birth.
These documents could include your birth certificate, driving license, Aadhaar card, passport, electricity bill and ration card. Apart from this, you must provide your mobile number and email address. The form will have your digital as well as physical signature. Make sure that the details filled in the form are accurate and error free.
As soon as the details mentioned by you are verified, you will receive your PAN card in 2 days.