PAN Card is issued to individuals, companies, non-resident Indians or anyone who pays taxes in India. etc.
PAN Card is Mandatory on these services
- Life Style Segment, Saving or Investment, Banking, Real Estate and also on like-
- Purchase or sale of any motor vehicle other than two wheelers.
- if demat account is to be opened with a depository, security or any person affiliated to SEBI
- If you apply for the issue of debit or credit card, then you have to give PAN card.
- if you spend more than Rs 50,000 on a trip abroad or in the purchase of foreign currency.
- in case of time deposit of more than Rs 50,000 in any bank or cooperative bank or deposits of more than Rs 5 lakh in a financial year.
- f you contract or sell security with a transaction of more than Rs 1 lakh at a time, then it is mandatory to give PAN.
Not mandatory situations
- In case you do not have PAN, Income Tax department rules allows you to carry out any of the above transactions after signing a declaration in Form 60 which states that you do not hold a PAN card and the income is below taxable limit.
- Minors are allowed to quote PAN card number of a parent or guardian only if he or she does not have any taxable income.
- NRIs get relaxation in quoting PANs in some cases.
- According to rule 114B, the central government, state governments and the consular offices are not required to mention PAN card numbers.