The Permanent Account Number (PAN) will soon get a facelift as the Centre has given nod for PAN 2.0 Project to enhance income tax payement services.
The project was approved by the Cabinet Committee of Economic Affairs chaired by Prime Minister Narendra Modi on November 25, 2024.
#Cabinet approves #PAN 2.0 Project of the Income Tax Department. The financial implications for the PAN 2.0 Project will be Rs. 1,435 crore.
— PIB India (@PIB_India) November 25, 2024
The PAN 2.0 Project enables technology-driven transformation of Taxpayer registration services
-Union Minister @AshwiniVaishnaw… pic.twitter.com/WcE9liwweT
What is PAN 2.0 Project?
PAN 2.0, an e-Governance project to digitse the taxpayer registration, is a mordenised version of the existing PAN cards which will now feature QR codes. The unified portal will have enhanced cybersecurity for user data.
The existing PAN/TAN 1.0 system will be upgraded by integrating the core and non-core PAN/TAN activities and the PAN validation service.
The system will quicken services and grievance redressal, save expenditure and make the operations paperless.
The Centre has set a budget of Rs 1,435 crore for PAN 2.0 Project. PAN, an 10-character alphanumeric ID, is currently issued as a laminated card.
Union Minister Ashwini Vaishnaw said PAN card is part of our life, which is important for the middle class and small businesses. "The existing system will be upgraded and the digital backbone will be brought in a new way."
Is it mandatory to upgrade PAN cards?
Vaishnaw said the existing PAN cards will remain valid and taxpayers do not need to apply for new ones. However, they can upgrade the cards with new QR code and additional features without paying any additional cost.
