Permanent Account Number or PAN is a unique 10-character alphanumeric code that is assigned by the Income Tax Department. It is used as an identity proof, and every individual should have only one PAN number. If you obtain more than one PAN card, then it is considered an illegal activity, and you have to pay the penalties for that, or even face legal actions.
In this blog, we have provided the information on how you can proceed with a duplicate PAN card and how you can surrender it to the Income Tax Department. Understand the reasons for having duplicate PAN cards, and then surrender them to avoid penalties.
What are the Reasons for Having Two PAN Cards?
There can be several reasons why people get two PAN cards:
- New PAN after marriage: Most of the women who change their city after their marriage apply for a new PAN card with their new surname. Instead, they should get their last name changed on their existing PAN card by using the correction services.
- Multiple Applications: There can be chances that a person applies for a PAN card, and he does not receive it within the timeline; he may reapply for it. This can result in having more than one PAN card. A person who has applied for a PAN should check the status of the PAN online instead of reapplying for it.
- Fraudulent Purposes: Some people also apply for multiple PAN cards because they have an intention to save money or cheat the government. This is an illegal act, and it will attract penalties or legal actions.
- Changes/Corrections in PAN: When a person wants to change or correct details in their PAN card, they apply for a new card instead of applying for the correction in the existing PAN card. Hence, it results in having more than one PAN number.
How to Apply for the Surrender of Duplicate PAN?
For whatever reason, no person should hold more than one PAN card. According to the Income Tax Act, a penalty of up to ₹10,000 may be imposed under Section 272B for holding multiple PANs.
So, if you have obtained more than one PAN card, then you should apply for the surrender of the additional ones. You can apply for a PAN card surrender offline or online.
Online Method
PAN Card Surrendering can also be done on the Income Tax Portal, and submit the request for surrender.
You can easily apply for the surrender of your PAN card online by following the steps mentioned below:
- Fill and submit the 'Reprint of PAN card/ Changes or correction in existing PAN data' application on the website of Protean.
- Under the contact details in the PAN card correction form, you need to tick the check box present in the left margin and mention all the additional PANs that you want to cancel/surrender.
- Then upload all required documents, pay the specified fees, and submit the form.
- After the successful payment, an acknowledgment slip will be generated.
Offline Method
You can apply for the surrender of a duplicate PAN card offline by filing the PAN Correction Form. For a correction or change in PAN, you need to mention the PAN number required to be surrendered and submit the form at the nearest PAN centre. You should save the acknowledgement copy for future reference.
You can also write a letter to the Assessing Officer of your jurisdiction (you can find your jurisdiction officer from the portal of Income Tax e-filing). You need to mention your personal details, such as date of birth, full name on your PAN card, PAN card number required to be retained, and the details of the duplicate PAN card that needs to be surrendered. Also, keep the acknowledgment you have received.
Understand with a Real-Life Scenario
Name Change After Marriage Leads to Duplicate PAN
Saniya got married and changed her surname after that. She applied for a new PAN card mistakenly, instead of updating her existing PAN card.
After a few months, she realized that she had two different PAN numbers, which created confusion for her at the time of Income Tax Filing on the Income Tax Department of India Portal.
Due to the mismatched records, her ITR got flagged. Then she:
- Submitted a correction request for the PAN card.
- Choose one PAN for her,
- And, applied to surrender the duplicate PAN card.
Key Insights: You should always update the details in your existing PAN card instead of applying for a new one.
Final Thoughts
Having more than one PAN card individually is considered an illegal offence in India. This can lead to penalties and even legal action. If you have two PAN cards, then it is recommended that you surrender the additional one to the Income Tax Department immediately. You can do it online as well as offline. You can also get expert assistance in surrendering your PAN card with Visament. Our professional team is available 24/7 on the platform and provides you with the services at affordable prices.
Frequently Asked Questions
Yes, it is completely illegal to have more than one PAN card in India, and it can attract a penalty of Rs 10,000. If you have two PAN cards, then you should immediately surrender the additional PAN card to the Income Tax Department.
Holding a duplicate PAN card is considered illegal under Section 139A of the Income Tax Act, 1961. It attracts a penalty of Rs 10,000 under Section 272B of the IT Act.
The most common reasons why people obtain duplicate PAN cards are reapplying because of fear of loss/delays, changing the personal information by applying for a new card instead of correcting it, and unintentional errors, like obtaining a PAN as a minor and then as an adult again.
Generally, it is recommended that you keep your older PAN card and surrender the newer card. You should do this especially if your older PAN card is linked to your bank accounts, Aadhar card, and income tax returns.
The easy way to check whether you have multiple PAN cards or not is by logging in to the Income Tax e-filing portal. Then go to the 'My Profile,' and then you will find your registered PAN details, such as name, number, and DOB. This shows the PAN linked to your account, and it will not show if you have multiple PAN cards. You can visit a PAN service centre or contact UTIITSL/NSDL directly to check for duplicate PAN cards.
The only way you can resolve the issue of a dual PAN card is by surrendering the additional one. This way, you can avoid the legal complications in the future.
Talk to our documentation experts for free guidance on your application.