Avoid Multiple PAN Cards – Heavy Penalty Alert!

In the digital age, the Permanent Account Number (PAN) has become one of the most critical identification tools for Indian taxpayers. It’s not just a card — it’s your unique identity in the Income-tax system, used for filing returns, opening bank accounts, buying property, and countless other financial transactions. However, holding more than one PAN card can land you in serious trouble, attracting hefty penalties.

📜 What the Law Says

Under Section 139A of the Income-tax Act, 1961, every individual, business, or entity conducting financial transactions above certain thresholds must have a PAN. Importantly, the law explicitly states that:

No person should possess more than one PAN.

If a person has more than one PAN — whether due to oversight, mistake, or deliberate action — it violates the law.

Furthermore, Section 272B(1) specifies the penalty:

💡 Possessing more than one PAN can attract a fine of ₹10,000.

🔍 How Multiple PANs Can Happen

There are several ways people unintentionally end up with more than one PAN:

  • Applying for a new PAN instead of correcting details in the existing one.

  • Forgetting about an older PAN card and applying afresh.

  • Clerical errors or duplicate allotments due to data mismatches.

While these may not always be intentional, the Income-tax Department still considers them violations.

⚠️ Why It’s a Problem

Having multiple PAN cards can lead to:

  • Mismatch in Tax Records – Confusion during return filing.

  • Duplicate Tracking – The system may flag you for suspicious activity.

  • Delayed Refunds – Due to data inconsistencies.

  • Penalties – As mentioned, a ₹10,000 fine for each violation.

🛠️ How to Check if You Have Multiple PANs

If you suspect you might have more than one PAN, follow these steps:

  1. Visit the Income Tax e-Filing portal.

  2. Use the “Know Your PAN” service with your Aadhaar number or personal details.

  3. If more than one PAN is listed, you must take immediate action.

✅ What to Do If You Have More Than One PAN

  • Surrender the Duplicate PAN – This can be done online or at a PAN Service Center.

  • File a Request – Use Form 49A correction facility to keep only one valid PAN.

  • Retain the Oldest Valid PAN – Usually, your first issued PAN is the one you keep.

You can surrender extra PAN cards online via:

💡 Expert Tip

Always update your PAN details instead of applying for a new one. This avoids duplication and future legal hassles.

📌 Final Thoughts

Your PAN is your financial fingerprint in India’s tax system. Holding more than one is not only unnecessary but also illegal. Whether it happened by mistake or not, the penalty is real — ₹10,000 can be a costly price for something so avoidable.

If you are unsure about your PAN status or need professional assistance in correcting it, consult a tax expert immediately.

📞 Contact us today: +91 7305701454
📧 Email: auditsiva2@gmail.com
🌐 Website: www.taxlaservices.com

#BestAuditorInChennai #IncomeTaxUpdate #TaxPenalty #PANCardRules #FinanceTips #TaxlaServices #TaxCompliance



Comments

Post a Comment

Popular posts from this blog

UPI Transactions Are Now Under GST Radar—Stay Compliant with Taxla Services

Image
Digital payments have revolutionized the way businesses operate, with platforms like GPay, PhonePe, Paytm , and others offering convenience and efficiency. However, with this convenience comes the responsibility of tax compliance. Recently, a merchant in Tamil Nadu faced a tax notice after their UPI transactions crossed the GST threshold of ₹20 lakhs in a financial year. Why Are UPI Transactions Being Monitored? The GST Department is closely monitoring digital payment platforms to ensure businesses comply with tax regulations. Transactions conducted via UPI are no longer immune to scrutiny. If your business turnover exceeds ₹20 lakhs (or ₹10 lakhs for specific categories), GST registration is mandatory —regardless of the payment method used. What Does This Mean for You? Unregistered Businesses: If you’re operating without GST registration but your annual turnover exceeds the threshold, you could face penalties and notices. Digital Payment Records: All UPI transactions are recorded an...
Read more

New Tax Rule Alert! – Tax Officials Can Access WhatsApp & Email During Searches

Image
The Government of India has introduced a significant provision under the New Income Tax Bill 2025 , granting tax officials the authority to access digital communication platforms like WhatsApp, email, and cloud storage apps during search and seizure operations . 📜 Key Provisions of the Rule: Expanded Access Rights Tax officials can now inspect your WhatsApp chats, email inbox, cloud storage files, and installed applications on your devices during income tax searches. This move aims to enhance investigation efficiency and curb tax evasion through digital means. Parliamentary Panel Approval A Parliamentary Standing Committee reviewed the clause and raised no objections in its official report dated 21 July 2025 . The inclusion of this clause highlights the government’s focus on modernizing enforcement by including digital evidence in tax cases. Applicable During Official IT Raids Access is permitted only during authorized searches under Section 132 of the...
Read more

🧾 TDS Payment (AO Permitted) – Due Date Alert!

Image
Deadline: 7th July 2025 | Period: April–June 2025 Tax deductors and businesses—this is a timely reminder! If you're permitted to deposit TDS quarterly by your Assessing Officer (AO) under certain provisions of the Income Tax Act, the due date for the April–June 2025 quarter is fast approaching. 🔍 What is AO-Permitted Quarterly TDS Payment? Under normal circumstances, TDS must be deposited monthly. However, specific deductors can obtain permission from the Assessing Officer (AO) to deposit TDS on a quarterly basis —typically to reduce compliance burden for eligible deductors. Quarterly TDS deposit is permitted under the following sections : Section 192 – Salary payments Section 194A – Interest (other than securities) Section 194D – Insurance commission Section 194H – Commission or brokerage If you have this quarterly permission , the due date for April to June 2025 TDS payment is: 🗓 7th July 2025 🚨 What Happens If You Miss the Deadline? Failure to...
Read more