PAN 2.0: What You Need to Know About the New System, Features, and Fees
The Cabinet Committee on Economic Affairs (CCEA) has approved the PAN 2.0 project, introducing QR-enabled cards and making the 10-digit PAN a ‘common business identifier’ across all government digital systems. Here’s what you need to know about the changes and how they will affect you.
What is the PAN 2.0 Project?
The PAN 2.0 Project is a ₹1,435 crore initiative by the Income Tax Department to modernize the Permanent Account Number (PAN) system. Its goal is to make PAN a unified common business identifier for government agencies, providing a digital portal, paperless services, and improved grievance redressal systems.
Union Information and Broadcasting Minister Ashwini Vaishnaw explained that industry demands for a single business identifier led to this move. They requested a unified identifier instead of multiple numbers. PAN/TAN/TIN will now be part of this system, Vaishnaw said.
Key Changes Under PAN 2.0
- Unified Portal: One fully online platform for all PAN-related services.
- Security Upgrades: Introduction of QR codes and PAN Data Vaults for improved cybersecurity.
- Faster Services: Speedier, eco-friendly, and cost-effective taxpayer services with better grievance resolution.
- Enhanced Consistency: A single source of truth system for more accurate data.
Do You Need to Apply for a New PAN?
No, existing PAN holders will not need to reapply for a new PAN under PAN 2.0. However, you will have the option to upgrade to a new PAN card featuring enhanced features like the QR code.
Will You Have to Pay for a New PAN Card?
No, there is no charge for upgrading your PAN card. The government will issue new PAN cards with QR codes for free as part of the project.
What About Older PAN Cards?
Older PAN cards will remain valid. You will receive an upgraded PAN card with features like QR codes, but it’s optional. You can continue using your existing card if you prefer.
How Many PAN Cards Are in Circulation?
Currently, about 78 crore PANs have been issued, with 98% of them belonging to individuals.
How to Apply for PAN 2.0?
Details about the application process and the timeline for the full rollout of PAN 2.0 are yet to be announced by the Income Tax Department.
