Government announces ₹1,435 crore PAN 2.0 Project.

Tags: Government Schemes

Government announces ₹1,435 crore PAN 2.0 Project.

Why in the news?

• The government on November 25, 2024 announced the PAN 2.0 Project of the Income Tax Department with a financial outlay of Rs.1,435 crore.

What is PAN?

• Permanent Account Number (PAN) is aten-digit alpha-numeric number,issued in the form of a laminated card, by the Income Tax Department, to any “person” who applies for it or to whom the department allots the number without an application.

What is the PAN 2.0 Project?

• The PAN 2.0 Project represents an electronic governance initiative aimed at modernising taxpayer registration services. 
• The PAN 2.0 upgrade introduces an enhanced dynamic QR code that reflects current information from the PAN database. 
• The QR code serves as a verification tool to confirm PAN details and establish authenticity. Users can access aspecific QR reader application for verification purposes.
• Upon scanning, the application displays essential information including the cardholder's photograph, signature, name, parental details, and date of birth. 

Objectives:

• This initiative focuses on improving PAN services through contemporary technological solutions. The project consolidates all PAN-related processes, including allotment, updates and modifications, whilst incorporating TAN services into its framework.
• Additionally, the project will offer online PAN authentication and validation services to various organisations, including financial institutions, banks, government bodies, and both central and state government departments.

How is PAN 2.0 different from existing PAN?

• The new PAN 2.0 Project will unify all PAN/TAN services onto a single portal.
• The system will transition from the current procedures to a completely online, paperless operational framework.
• PAN allocation, modifications, and corrections will be provided at no cost, with e-PAN documents delivered to registered email addresses.