Learn everything about Permanent Account Number (PAN) and Tax Deduction Account Number (TAN) registration in India. Detailed process, documents, timelines, and compliance requirements.
PAN is a 10-digit alphanumeric number issued by the Income Tax Department to identify and track taxpayers in India.
👉 PAN is mandatory for:
TAN is also a 10-digit alphanumeric number required by the Income Tax Department from entities that deduct or collect taxes.
👉 TAN is required for businesses/entities that:
❗ Important: Without TAN, you cannot file TDS returns, and penalties may apply. Every employer and business making taxable payments must obtain TAN.
The requirement varies by entity type. Here's a comprehensive breakdown:
| Entity Type | PAN Required? | TAN Required? | Notes |
|---|---|---|---|
| Private Limited Company | ✓ Mandatory | ✓ Mandatory (if TDS applicable) | Auto-allotted via SPICe+ during incorporation |
| LLP (Limited Liability Partnership) | ✓ Mandatory | ✓ Mandatory (if TDS applicable) | Auto-allotted via SPICe+ during incorporation |
| Partnership Firm | ✓ Mandatory | ✓ Mandatory (if TDS applicable) | Separate PAN required; not auto-allotted |
| Sole Proprietorship | ✓ Mandatory | ⚠ Conditional | Can use owner's PAN initially; TAN if TDS deducted |
| Individual/Freelancer | ✓ Mandatory | ⚠ If income exceeds threshold | Required for filing ITR and financial transactions |
| Trust/NGO/Association | ✓ Mandatory | ⚠ If TDS applies | Separate PAN required |
✅ Key Takeaway: Every business must have PAN. TAN is required only if TDS/TCS applies. Most employers and businesses making payments to vendors/contractors must have TAN.
Both PAN and TAN can be applied through multiple authorized platforms. Here are the official modes:
Online applications are faster, easier, and more convenient:
Go to Protean eGov Technologies Limited or UTI Infrastructure Technology and Services Limited authorized portals
Complete the application with accurate details – PAN (Form 49A) or TAN (Form 49B)
Upload identity proof, address proof, and incorporation documents (if applicable)
Sign using DSC (for companies/LLP) or Aadhaar OTP (for individuals)
Pay processing fee (approx ₹110 for India dispatch)
Receive acknowledgement number; track application online
💡 Tip: Apply online through official portals for faster processing. Both Protean and UTI offer the same service quality. Choose based on convenience.
Follow these detailed steps to successfully apply for PAN registration:
✅ Processing Timeline: Online PAN applications are typically processed within 7-10 working days. You'll receive acknowledgement immediately after submission.
TAN registration is similar to PAN but specifically for entities deducting/collecting taxes. Here's the process:
Form 49B is mandatory for TAN application – available on income tax portal and authorized platforms
❗ Important: TAN should be obtained before you start deducting TDS. Filing TDS returns without TAN is illegal and attracts penalties.
If you're registering a Private Limited Company or LLP, PAN and TAN are automatically allotted as part of the incorporation process – no separate application needed!
👉 For Private Limited Company: PAN & TAN are automatically allotted through SPICe+ (MCA Online Platform) during incorporation. No separate application required.
👉 For LLP: PAN & TAN are automatically allotted through MCA portal during LLP incorporation. No separate application required.
💡 Benefit: If you're starting a company, incorporate first – PAN & TAN will be auto-allotted, saving time and effort. Only Partnerships and Sole Proprietorships need to apply separately.
Prepare these documents before applying for PAN & TAN. The exact requirements vary by entity type:
Before and after obtaining PAN & TAN, ensure the following for smooth compliance:
| Process Step | Timeline | Notes |
|---|---|---|
| Online Application Submission | Immediate | Acknowledgement received instantly |
| Document Verification | 2-3 days | Authority verifies submitted documents |
| Processing | 4-7 days | Authority processes application |
| PAN/TAN Allotment | 7-10 working days | Certificate issued (total from submission) |
| Delivery by Courier | 5-7 days after allotment | Physical copy delivered to address |
| Total Timeline (Online) | 10-15 working days | Fastest mode; includes courier delivery |
| Offline Application Processing | 15-30 days | Not recommended; slower process |
✅ Key Point: PAN and TAN are permanent once allotted. You receive them once in a lifetime and they never expire or need renewal.
Non-compliance with PAN & TAN regulations attracts serious penalties and legal consequences. Understand the risks:
❗ Critical Warning: Ignoring PAN & TAN requirements is not a minor compliance issue – it can lead to legal action, imprisonment, and permanent business damage. Always ensure timely and accurate registration.
✅ Best Practice: Apply for PAN & TAN immediately upon business registration. The process is simple, inexpensive, and quick. Avoiding it creates only problems and penalties.
Official portal for PAN registration
PAN application form for Indian entities
PAN application for foreign entities
TAN application form (mandatory)
Official TAN registration portal
Official guidelines for TAN registration
Check your application status online
Income Tax Department help resources
Customer support and assistance
Our compliance experts at Trugydex Solutions can guide you through the entire PAN & TAN registration process, ensure timely compliance, and help you avoid penalties.
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