The Income Tax Department has revised the Permanent Account Number (PAN) application system by introducing four new specialised forms, replacing the earlier standardised application structure.
The changes came into effect from April 1.
Old PAN application system replaced
Previously, PAN applications were processed using two primary forms under Rule 114 of the Income-tax Rules, 1962. These included Form 49A for Indian citizens and Form 49AA for non-resident Indians and foreign entities.
Under the new framework, applicants will now be required to select forms based on their specific category.
Four new PAN application forms introduced
As part of the updated system, the department has introduced the following forms:
- Form 93 for resident individuals
- Form 94 for Indian companies, entities incorporated in India, or unincorporated entities formed in India
- Form 95 for foreign individuals
- Form 96 for entities incorporated outside India or unincorporated entities formed outside India
Officials said the revised classification is intended to make the application process more structured and easier to navigate.
Aim to simplify documentation process
The Income Tax Department stated that the updated system has been designed to make documentation more concise, user-friendly and easier to understand. The new forms have been aligned with the provisions of the Income-tax Act and associated rules.
At the same time, several redundant or repetitive fields that were part of the earlier system have been removed. These include details such as salutations, name abbreviations and certain KYC-related requirements.
Mandatory contact details introduced
A key change in the revised system is the requirement for mandatory contact information. Applicants must now provide mobile numbers and email addresses, enabling the department to send updates, application tracking information and real-time notifications directly.
Officials also noted that improvements have been made to the photograph requirement, with clearer guidelines and larger image specifications introduced to enhance identification and verification.
New rules for individual applicants in India
For individual applicants in India, additional requirements have been introduced. Applicants must now provide their full name without abbreviations unless it matches Aadhaar records. The mother's name has also been made a mandatory field, which was not required earlier.
A new section has also been added to capture residency status, including whether the applicant is a resident, non-resident or RNOR (Resident but Not Ordinarily Resident).
Applicants classified as non-resident or RNOR must also provide additional information such as passport details and Tax Identification Number (TIN).
Separate correction system for PAN updates
The government has also introduced a simplified system for PAN corrections. Under the revised process, there are now two separate forms, one for individuals and another for companies and organisations. These updates can be made either online or through designated PAN service centres.