PAN Application for Partnership Firms
A Permanent Account Number (PAN) card is a vital document for businesses in India. It serves as a unique identification number for tax purposes and is mandatory for most financial transactions. Partnership firms, in particular, need to obtain a PAN card to comply with the regulations set by the Income Tax Department. However, the process of applying for a PAN card for a partnership firm can be daunting and includes several formalities and documents that need to be completed and submitted. Here, we will provide a detailed guide to make this process easier.
How to apply for PAN card – Online Process
- Visit https://www.onlineservices.nsdl.com/paam/endUserRegisterContact.html. It is the official website of NSDL that offers online PAN card application services.
- Select the option “New PAN – Indian Citizen (Form 49A)” for Indian firms or “New PAN – Foreign Citizen (Form 49AA)” for foreign firms.
- Read the instructions carefully before filling out the online application form. The form will ask for details such as firm name, address, contact details, etc. Fill in all the required fields accurately.
- Next, you will be asked to choose the type of entity for which the PAN card is required. Select “firm” as the entity type.
- Upload the required documents such as proof of identity, proof of address, and proof of business registration. Make sure that the documents are clear and legible. The list of accepted documents can be found on the website.
- Verify the information provided in the application form before proceeding to make payment. The application fee can be paid using a credit card, debit card, or net banking.
- Once the payment is made, submit the application and note down the acknowledgement number for future reference.
How to apply for PAN card – Offline Process
- Download Form 49A from the official website of NSDL that offers PAN card application services. You can also obtain the form from any TIN facilitation center.
- Fill out the form with the required information such as firm name, address, contact details, etc. Make sure to fill in all the fields accurately. The form also includes a checklist of documents to be submitted, which includes proof of identity, proof of address, and proof of business registration.
- Attach the required documents to the form. The list of accepted documents can be found on the website. Ensure that the documents are clear and legible. If the documents are not clear, the application may be rejected.
- Submit the application form and documents to any TIN facilitation center or PAN center. You can find the nearest center on the website. Ensure that you carry the originals of all the documents along with you for verification.
- Pay the application fee at the center using cash, demand draft, or cheque.
- After submitting the application and fee, you will receive an acknowledgment receipt. Keep this receipt safe as it can be used to track the status of your application.
The PAN card will be dispatched to the address mentioned in the application form. You can also track the status of your application online using the acknowledgment number at https://tin.tin.nsdl.com/pantan/StatusTrack.html
Once you receive the PAN card, verify the details printed on it. If there are any errors, you can apply for a correction by submitting Form 49A with the correct details and relevant documents.
Guide to filing the PAN Application form
- Applicant Details: Fill out the applicant details section of the form accurately. This section requires information such as the name of the firm, the address of the firm, the date of incorporation, the email address and phone number of the authorized signatory.
- Representative Assessee Details: This section is applicable only if the partnership firm is represented by a representative assessee. If not, you can skip this section.
- AO Code Details: In this section, you need to provide the details of the assessing officer (AO) of the firm. This information can be obtained from the https://tin.tin.nsdl.com/pan/servlet/AOSearch
- Registration Details: This section requires you to provide the registration details of the firm, such as the registration number, date of registration, and type of registration.
- Communication Address: Fill in the communication address of the firm, which can be the same as the registered office address.
- Other Details: In this section, you need to provide details of the authorized signatory, such as their name, date of birth, and contact details.
- Documents to be submitted: This section lists the documents that need to be submitted along with the application form. Ensure that you have all the necessary documents before filling out the form.
- Signature and Photograph: Sign the form in the designated space and attach a recent photograph of the authorized signatory.
- Payment of Fee: The application fee can be paid using cash, demand draft, or cheque. The fee is Rs. 110 (for Indian firms) and Rs. 1,020 (for foreign communication address). The fee can also be paid online through the NSDL or UTIITSL website using a credit card, debit card, or net banking.
List of Documents required
- Proof of Partnership Firm: Partnership firms need to submit a copy of their Partnership Deed or Certificate of Registration issued by the Registrar of Firms as proof of their existence. In the case of a Limited Liability Partnership (LLP), a copy of the LLP Agreement and Certificate of Incorporation issued by the Registrar of Companies needs to be submitted.
- Proof of Office Address: In addition to the documents mentioned earlier, partnership firms need to submit a copy of their Rent Agreement, if the office premises are rented, along with a copy of the latest Electricity Bill or Property Tax Receipt.
- Proof of Identity and Address of Partners: Partnership firms need to submit proof of identity and address of all the partners. The proof of identity and address documents of each partner must be self-attested and submitted along with the application form.
- Authorization Letter: In case the authorized signatory is not a partner in the firm, a copy of the authorization letter from the partners authorizing the signatory to apply for PAN on behalf of the firm needs to be submitted.
- PAN of Partners: If any of the partners already have a PAN, their PAN card copies need to be submitted along with the PAN application form.
- Photographs: Partnership firms need to submit a recent passport-sized photograph of each partner and the authorized signatory.
- Digital Signature Certificate: Where the Partnership firms opt to submit their application forms online, then a Digital Signature Certificate (DSC) of any of the partners or authorized signatories will be required. By doing this physical proof is not required to be submitted. In such cases, the DSC must be registered with the Income Tax Department’s portal.
It is important to note that all documents submitted must be valid and in the name of the partnership firm or the partners. Any discrepancy or inconsistency in the documents submitted may lead to the rejection of the PAN application. Hence, it is advised to carefully review all documents before submitting the PAN application form.
Frequently Asked Questions (FAQs)
What are the points to keep in mind before making the PAN application for a firm?
Ensure that –
Partnership deed of the firm is duly notarized.
Authority has been provided to one partner to act as an authorized partner and to sign on behalf of the firm
Date of formation and place of business is mentioned in the deed
Each page of the deed is signed by all the partners along with two other witnesses
Deed is stamped using the rubber stamp of the firm.
How long does it take to process a PAN card application for a partnership firm?
The processing time for a PAN card application for a partnership firm typically takes around 15-20 business days from the date of submission. However, it is important to note that incomplete or incorrect applications may result in longer processing times.
Is there a validity period for a PAN card for a partnership firm?
No, there is no validity period for a PAN card for a partnership firm. Once issued, it is valid for the lifetime of the firm, unless there are any changes or errors that require a correction or update.