How to Apply for a Company PAN Card in India: Requirements, Steps, and Tips

In India, a Permanent Account Number (PAN) is vital for any individual or entity earning taxable income. For companies, a PAN card serves as an official tax identifier, required to conduct essential financial transactions, comply with tax regulations, and maintain legal operations. Whether your business is a startup or an established entity, obtaining a PAN card is a must.

This guide walks you through everything you need to know about applying for a company PAN card in India, covering both online and offline application processes, required documents, and essential tips.

What is a Permanent Account Number (PAN)?

A Permanent Account Number, or PAN, is a unique 10-digit alphanumeric identifier issued by the Income Tax Department of India. Originally introduced in 1976, PAN cards became mandatory for all taxpayers, and since 1996, businesses have also been required to have a PAN. A PAN card allows the government to track financial transactions, making tax compliance straightforward for individuals and businesses alike.

Why Do Businesses Need a PAN Card?

Every registered business, from partnerships and companies to trusts and limited liability partnerships, must have a PAN card. For companies, the PAN card is necessary for:

• Filing income tax returns
• Opening bank accounts
• Completing high-value transactions
• Issuing invoices
• Managing remittances and financial compliance

Without a PAN, your business may face penalties or operational restrictions, so getting one early in your company’s life cycle is essential.

Methods to Apply for a Business PAN Card

You can apply for a company PAN card either online or offline, depending on your preference and convenience. Here’s how each method works.

Offline Application Process for a Business PAN Card

The offline process is ideal if you prefer submitting physical documents. Here are the steps:

• Get Form 49A: Download the form from the NSDL or UTIITSL websites, or collect it from a local PAN service center.
• Fill Out the Form and Attach Documents: Complete Form 49A with details about your business. Gather the necessary supporting documents like the Certificate of Registration and proof of address.
• Submit the Application: Take the form and documents to your nearest NSDL or UTIITSL center. After submitting them, you’ll receive an acknowledgment number for tracking.
• Track Your Application: Use the acknowledgment number to monitor the application’s progress.
• Receive Your PAN Card: After verification, the PAN card will be mailed to your company’s registered address within 15 business days.

Online Application Process for a Business PAN Card

Applying online is convenient and straightforward, especially for companies looking for a quicker solution.

Steps to Apply on the NSDL Website:

Visit the NSDL Portal: Go to the official NSDL website, which handles PAN applications.

1. Choose Form 49A: Select the option to apply using Form 49A, which is for Indian companies.
2. Fill in Business Details: Enter essential details like company name, incorporation date, email, and contact number. Select your business type, whether it’s a limited liability partnership, trust, or association of persons.
3. Generate a Token: After submitting the form, a token number will be generated. Save this to proceed with the application.
4. Add Additional Details: Provide further details about your company, such as address and AO (Assessing Officer) code. Only a company director or authorized signatory can apply for a business PAN.
5. Upload Documents: Scan and upload required documents, including the Certificate of Registration, proof of address, and ID. Review and confirm the accuracy of the information.
6. Pay the Fee: The application fee is approximately ₹107 for a physical PAN card and around ₹72 for an e-PAN card. Payment can be made via debit card, credit card, net banking, or demand draft.
7. Receive an Acknowledgement Number: Once payment is made, an acknowledgment number is generated, which you can use to track your application status.
8. Mail the Acknowledgement and Documents: Print and sign the acknowledgment form and mail it to the NSDL office along with the required documents within 15 days.

Steps to Apply on the UTIITSL Website:

Visit the UTIITSL Portal: Go to the official UTIITSL website.

1. Choose PAN Card Services: Under the services, select “PAN Card as Indian Citizen/NRI,” and proceed to apply online.
2. Select Company Type: Choose the type of company structure applicable to your business. UTIITSL requires a physical submission of documents for companies.
3. Fill in Details and Upload Documents: Enter your business details and upload necessary documents like the Certificate of Incorporation, ID, and address proof.
4. Pay the Processing Fee: Complete the payment online and receive an acknowledgment number.
5. Send Documents to UTIITSL: Print the acknowledgement form, sign it, and mail it with the required documents to the UTIITSL office.

Documents Required for PAN Application

The documents required for a company’s PAN application vary depending on the business type:

• Proprietorship Firm: PAN of the proprietor along with proof of identity, address, and date of birth.
• Private Limited Company: Copy of the Certificate of Incorporation issued by the Registrar of Companies.
• Partnership Firm: Partnership deed and registration certificate from the Registrar of Firms.
• Limited Liability Partnership (LLP): Partnership deed and registration certificate from the Registrar of Companies.

Ensure that all documents are up-to-date and complete to avoid delays.

Important Tips for Successful PAN Applications

1. Fill Out the Form in Capital Letters: This helps avoid misinterpretation and ensures clarity.
2. Provide Correct Contact Information: Make sure to enter a valid phone number and address, as these details will be stored for future correspondence.
3. Double-Check for Errors: Review all information carefully before submitting to prevent errors.
4. Send Acknowledgment Promptly: Ensure the acknowledgment form and documents reach the NSDL or UTIITSL office within 15 days after online submission.
5. Track Your Application Status: Use the acknowledgment number to stay updated on the application’s progress.

Processing Time and Receiving Your PAN Card

Once the application and supporting documents are submitted, it typically takes about 15 working days to receive the PAN card. Upon approval, the PAN card is mailed to your business address.

Key Points to Remember

• Ensure the PAN Card Holder is Authorized: Only directors or authorized signatories can apply for a company PAN card.
• Use the Correct AO Code: The Assessing Officer (AO) code is essential for processing, so make sure it’s accurate.
• Follow Mailing Instructions: If you choose to mail documents, label the envelope with “APPLICATION FOR PAN— # Acknowledgement Number” for smoother processing.
• Avoid Multiple PANs: Having more than one PAN for a business entity can lead to penalties, so apply for only one.

Conclusion

Securing a PAN card for your business is a straightforward but essential step in establishing your company’s financial identity in India. With a PAN card, your company is ready for compliant tax reporting, streamlined invoicing, and efficient financial management.

Following the steps above and gathering the right documents will make the application process smooth. For entrepreneurs looking for guidance, platforms like Credlix offer support throughout the PAN application process, simplifying everything from document verification to submission.

With your company PAN card in hand, you’re well on your way to legally and financially establishing your business presence in India.

Also Read: Check credit score by PAN