Avoid a ₹10,000 penalty! Learn how to keep your PAN card information accurate, why two PAN cards are illegal, and how to fix mistakes on your existing card.
Your PAN card is a vital document in India. It’s needed for opening bank accounts, making large transactions, and buying valuables.
However, inaccuracies in the PAN card application form or updates can lead to costly mistakes, penalties, and even legal issues.
PAN card accuracy
The Income Tax Department uses the Permanent Account Number (PAN) to track tax payments and identify individuals and businesses.
PAN card accuracy is crucial for tax compliance, financial transactions, and avoiding costly mistakes.
Follow important tips, you can ensure your PAN card details are accurate and up-to-date. Remember, accuracy matters.
Penalties for Incorrect PAN Details
Providing incorrect information on your PAN card application is a serious offense under the Income Tax Act. The penalty? A whopping ₹10,000 fine!
Here are some common mistakes to avoid:
- Filing IT returns incorrectly: Ensure all details used for filing your Income Tax returns exactly match your PAN card.
- Accidental errors: A simple typo or mistaking a zero (0) for the letter O can cause problems.
- Double-check all your PAN details before submitting them anywhere.
Having Two PAN Cards is Illegal
Having two PAN cards for the same person is illegal and can also result in a fine. This can happen accidentally in a few ways:
- Keeping the old card: Some people hold onto their old PAN card when applying for a new one due to a mistake.
- Duplicate applications: Others might apply multiple times if they haven’t received their first card, leading to a duplicate PAN being issued.
Always check the application status of your first PAN card before applying for a new one. This can save you time and hassle. If you need a new PAN card due to errors, you must surrender the old one.
Fixing Mistakes on Your PAN Card
Made a mistake on your PAN card? Don’t worry! You can get it corrected. Here’s how:
- Offline method: Fill out Form 49A and submit it along with your old PAN card to your nearest NSDL center. You’ll receive a receipt for your submission.
- Online method: Visit the PAN service portal: https://www.pan.utiitsl.com/, click on “Change OR Correction,” enter your details, and update your PAN card electronically.
By following these simple tips, you can ensure your PAN card is accurate and avoid any unnecessary penalties. Remember, a little care goes a long way in keeping your finances secure!