1. Build your Credit Score
2. Reduce your Current Borrowing / EMI Costs
The Permanent Account Number is issued by the Income Tax Department, and it is one of the most important documents in the country due to its large benefits. If you wish to convert Indian currency into a foreign currency, open a demat account or open a bank account, you'll be required to provide PAN details.
The main motive behind issuing PAN card was for making tax calculations simplified for the Income Tax Authorities. Since the PAN card holds all the information regarding the financial transactions of an entity, it is necessary to provide your PAN card details while filing for Income Tax returns. The Income Tax Act of 1961 states that people who are not the residents of the country such as NRIs(Non-Resident of India), OCIs(Overseas Citizen of India) and PIO(Person of Indian Origin) are eligible for applying for PAN card. Companies, firms and governments can also apply for PAN card.
There are many uses of PAN card. It is one of the primary documents required in many official procedures. Your PAN card details could act as your identity proof and could help you in tracing your transactions.The card can be used to avoid tax evasion and helps the Income Tax Department to trace back all the financial transactions that you make on a daily basis. Whether you’re planning on buying a new property, wish to apply for a home loan or even credit card, you need to provide your PAN card details to complete any of these procedures. However, there are many other uses of PAN card apart from tracing your financial transactions.
Here are some of the uses of PAN card: