Table of Contents

Introduction

Permanent Account Number (PAN) is an alphanumeric identifier consisting of 10 digits. The fourth character of the PAN indicates the cardholder’s status, such as ‘P’ for individuals, ‘C’ for companies, and so on. It is not permissible for one person to hold two PAN cards.

The government, through the Income Tax Department, utilizes PAN to monitor tax-related transactions associated with an individual. PAN functions like a database for all individual transactions, such as TDS/TCS, credit, income tax payment, investments in land, share market, mutual funds etc. It helps the department identify and track an individual’s tax-related transactions.

What is PAN 2.0?

The PAN 2.0 is an initiative to modernize how taxpayers register and manage their PAN and TAN through advanced technology. It aims to improve the current system by bringing all PAN and TAN services into one single online portal, making the process smoother and paperless. Free e-PAN services and easy updates make it more convenient for taxpayers.

The old PAN card is a physical card issued by Income Tax Department of India which is handle by different websites such as NSDL, UTIITSL and e-Filing Portal.

Under PAN 2.0 all these services will be combined into one portal Unified Digital Portal. It has QR code feature which is different from traditional feature, it will be a dynamic QR code that will display the latest data from the PAN database. When QR code will be scanned it will display the holder’s photo, signature, name, parents’ names, and date of birth.

The objective of PAN 2.0 is to enhance efficiency, security, and ease of access, ensuring a strong digital framework that simplifies compliance and strengthens financial transparency. The entire process will be online and paperless, replacing the current mixed-mode system.

Getting new pan card or updating old one will be free of cost. The e-PAN will be sent directly to your registered email ID. If physical PAN card will be needed, you can request it by paying ₹50 in India. For delivery outside India, an additional charge of ₹15 plus actual postal charges will apply.

Features of PAN 2.0

The PAN 2.0 focuses on eco-friendly paperless process, it will provide an enhanced, user-friendly, easy to apply and high security PAN card. Here are the key features:

Unified Digital Portal: A single portal for all PAN/TAN-related services to make easy for user to access their account.
Helpdesk: There will be a dedicated helpdesk and call center to answer users question.
Eco-Friendly: It will be a paperless process; PAN card will be issued to your registered e-mail id within few minutes.
Enhanced Security: As compare to traditional PAN it will give more security to users personal and demographic data including a PAN Data Vault (It gives security using encryption, adheres to legal and regulatory standards, access control etc.)
Cost: e-PAN will be issued free of cost and updation and correction of pan will be free of cost.

Benefits of PAN 2.0

PAN 2.0 aims to streamline and modernize the process of issuing and managing PAN and TAN, it is more user-friendly and efficient. It is an important step toward straighten up the Digital India initiative. The objective of the project is to enhance the PAN related services through adaptation of new technology. It will eliminate the physical paperwork and will make the process faster and more convenient. PAN 2.0 will provide enhanced security to protect the sensitive data and reduce the risk of fraud. Here are some benefits:

Less cost: Allotment, updation and correction of PAN will be free of cost and physical card will be available on nominal fee.
High security: QR code displaying user’s information will make difficult for fraudsters to misuse someone’s personal information for their melafied intentions.
Integration with other system: It will be integrated with other system seamlessly linking with Aadhar, banking and other financial system for tracking their transactions and compliance.
Common identifier: For varies government-related processes PAN card will be used as common ID for all digital system.
Reduce duplication: Department receives multiple duplicate application, in PAN 2.0 better and advanced technology will be used to identify duplicate application and centralize process will resolve these duplicate applications. It will reduce the chances of one person having more than one PAN.

Who is required to apply new PAN?

The person holding PAN card under existing system are not required to apply for a new PAN under the updated system. The current PAN card will remain valid and fully functional under PAN 2.0. If the users want to update/correct address, mobile number, e-mail, date of birth etc. in their existing card, they can do so by visiting the website given below:

Users can also make changes by visiting the physical centers or applying online on payment basis.

Application of PAN 2.0 – Step by step

Users are not required to apply for PAN 2.0 unless there is some correction or updation in current card. Existing card will remain valid without QR code but if user wants to update its existing card with QR code card they can simply apply through following methods:

How to apply PAN 2.0 via NSDL

Step 1: Visit the NSDL url below:

https://www.onlineservices.nsdl.com/paam/requestAndDownloadEPAN.html

Step 2: Enter PAN, Aadhar number (for individuals) and date of birth.

After filing the above details, it will ask you to tick the checkbox to accept the terms. Tick the check box and after validation of captcha submit the request.

Step 3: Next page will redirect you to choose the method for receiving a OTP. Choose you method and enter the OTP on your provided details. OTP received will be valid for 10 minutes only, enter the OTP within provided time and validate OTP.

Step 4: After validating your details through OTP you will be redirected to payment dashboard. e-PAN is free if your pan was issued within the last 30 days otherwise you have to pay a nominal fee of Rs.8.26 (including GST). After successfully making payment you will receive your e-PAN within few minutes to your registered e-mail ID in password protected PDF.

How to apply PAN 2.0 via UTIITSL

Step 1: Visit the official website of UTIISIL

Step 2: Provide your PAN, date of birth and captcha code.

Step 3: Check your registered e-mail ID if it is registered your PAN will be issued on e-mail id, if it is not registered you have to update it under PAN 2.0 project once this project will be fully functional.

Step 4: A fee of Rs.8.26 (including GST) will be applicable if your PAN has been issued more than 30 days ago.

Step 5: After submitting the request and making the payment your e-PAN will be sent to your registered e-mail ID.

Difference between PAN and PAN 2.0

Traditional PAN and PAN 2.0 are different from each other in many aspects which is given below:

Aspect	PAN	PAN 2.0
Definition	Alphanumeric 10 digit card used for monitor tax related transaction.	Same 10 digit alphanumeric but upgraded version with QR code facility.
Cost	Physical card were available with some charges.	e-PAN is free, physical card is chargeable with nominal fee.
Application process	It required physical form for some services. Partial paper based.	Fully digital and paperless.
Portal	There are various portals available for PAN services such as NSDL, UTIISL, e-filing.	Only one digital portal will provide all PAN related services.
Duplicacy	There were no method available to identify and resolve duplicacy of PAN application.	Advance technology will be used to identify duplicate application and central system will resolve this issue.
User support	Limited support for user queries.	Dedicated helpdesk and call centers to address queries.
Security	Basic security measurement.	High security with data encryption and protection.

Conclusion

PAN 2.0 is an advanced digital initiative of government of India to modernizing India’s tax identification system. It simplifies PAN related service, make it user friendly and enhance security. It has various advance features like free e-PAN services, advanced duplicate detection, and a centralized helpdesk. PAN 2.0 not only benefits taxpayers and businesses but also strengthens the country’s digital governance framework, paving the way for a more streamlined and tech-driven future.

PAN 2.0 – The Future of Tax Identification