PAN Card: The government is committed to enhancing all services associated with the Permanent Account Number (PAN) through advanced e-governance initiatives. In this regard, the government has introduced PAN 2.0, which aims to completely eradicate duplicate PANs. However, individuals possessing multiple PAN cards should exercise caution. The Income Tax Department has resolved to implement stringent measures against holders of duplicate PAN cards. Under the new regulations, failure to surrender any additional PAN card may result in a penalty of up to Rs 10,000.
Imperative to surrender it without delay
According to the Income Tax Act of 1961, both taxpayers and non-taxpayers are prohibited from holding more than one PAN card. If an individual inadvertently or deliberately possesses a duplicate PAN card, it is imperative to surrender it without delay. Non-compliance may lead to severe repercussions from the government, which is treating this issue with utmost seriousness. The identification of duplicate PAN cards is being facilitated through the use of innovative technology.
PAN 2.0 scheme
The recently approved PAN 2.0 scheme aims to streamline and modernize the management of PAN and Tax Deduction and Collection Account Number (TAN). Its objectives include the elimination of duplicate PAN cards and the prevention of fraudulent activities. Additionally, the government seeks to expedite and simplify the processes related to PAN and TAN. This initiative employs new technology to ensure that each individual holds only one PAN card, thereby mitigating the risk of fraud.
Penalty of up to Rs 10,000
Individuals who fail to surrender a duplicate or secondary PAN card may incur a penalty of up to Rs 10,000, as stipulated under section 272B. Furthermore, such individuals may encounter difficulties in filing tax returns and may experience disruptions in banking and financial transactions. To avoid incurring this penalty, it is advisable to promptly surrender any extra PAN cards. The government is adopting a firm stance against duplicate PAN cards, and those who intentionally utilize multiple PAN cards may face legal action.