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As a taxpayer with a PAN card, if you are wondering about the latest release of PAN 2.0 by the Income Tax Department and are concerned about whether your current PAN will still be valid or if you’ll need to apply for a new one, then this blog is for you. 

In this blog, we will address your questions about whether you need to apply for a new PAN Card and will understand the features and benefits of PAN 2.0. 

What is PAN 2.0?

The Income Tax Department has recently introduced PAN 2.0, to improve the process of issuing and managing Permanent Account Numbers (PAN). Under this PAN 2.0 initiative, applicants receive e-PAN cards with secure QR code, delivered directly to their registered email IDs at no cost. A minimal fee applies for those who prefer a physical PAN card.The goal of the Income Tax Department for this initiative is to modernize and speed up the process of issuing and managing Permanent Account Numbers (PAN) and Tax Deduction and Collection Account Numbers (TAN). Through technological innovations, processing, and consolidation, this procedure will enhance the user experience and improve taxpayer registration services. The Income tax department will combine all PAN allocation, correction, and update procedures under a single system. 

PAN 2.0 Key Features and Benefits

The main features of PAN 2.0 are as follows-

1.  There will be one portal for all kinds of services related to PAN and TAN.
2. It is an eco-friendly process and will reduce the paperwork.
3.  A QR code will be added to the PAN card, further enhancing its security. The QR code contains encrypted personal details like your name, date of birth, and PAN number, which can only be accessed using special scanning tools, making it very difficult for anyone to fake or tamper with the card.
4. Under the PAN 2.0 initiative, applying for, updating, or reissuing a PAN card is completely online. This eliminates paperwork and makes it easier for people to submit and track their applications.
5. A dedicated help desk and the call centre will be there, which will resolve the queries and issues of the user. 

Eligibility for PAN 2.0

To apply for a new PAN card, individuals need to fulfil some eligibility criteria, whether they are a new applicant or an existing cardholder.

Existing PAN card holder: If you are an existing PAN card holder, you are automatically eligible for the PAN 2.0 upgrade. You can request the new QR-enabled PAN without reapplying. 

New applicants: New applicants need to fulfil some eligibility criteria by providing the following documents: 

• Proof of Identity: Adhar card, voter ID, Passport, or Driving license.
• Proof of Address: Utility bills, Bank statement, or Rent Agreement
• Proof of Date of Birth: Birth Certificate, School Leaving Certificate, or Passport.

PAN Card 2.0 Application Process – Step-by-Step Process

To apply for a new PAN card or to upgrade the existing PAN card to a QR-enabled version, here are the steps mentioned below:

Steps to Apply for PAN 2.0 via NSDL?

Now, an applicant can easily apply through the NSDL (Protean) Portal through the mentioned steps-

1. If an applicant wishes to apply for a new PAN card, they must visit the NSDL website.
2.  Then, you must select the type of application, whether it is for Indian citizens, foreign citizens, or you wish to upgrade your existing PAN.
3.  Then, you must select the category such as individual, association of person, body of individual, etc.
4.  Then, you will be asked for details such as name, date of birth, email address, mobile number, etc.
5.  After continuing with your application, you will be redirected to a new page where you will submit your digital e-KYC.
6.  You have to mention whether you want a physical PAN card or not, and then you are required to enter the last four-digit aadhaar number.
7. Then, you are required to enter your details and contact details in the next part of the form.
8.  By entering your area code AO type, you can proceed to the last part of the form, document submission and declaration.
9. To upgrade your existing PAN card, you need to enter your PAN and personal information and then submit the application. 
10. You can select the e-KYC option to verify using aadhaar OTP.
11. Then, you will be redirected to a payment page where you have to submit the fees. After the successful payment, click on the continue button.
12. Then you are required to tick the declaration, select the authentication option and click on continue with e-KYC.
13. Enter the OTP received on your aadhaar registered mobile number and click on continue with E-sign.
14. After applying successfully, an acknowledgement in the PDF form will be generated. 

Steps to Apply for PAN 2.0 via UTIITSL?

1.  An applicant is required to visit the UTIITSL website and click on the PAN card application page under the PAN service section.
2. Then click on Apply for a new PAN card (Form 49A).
3. Then, you are required to choose between the physical mode of application and the digital mode of application.
4. You are required to fill in your details.
5. After verifying all the details, click the submit button.
6. Once the verification is completed, you will be redirected to the payment page.
7.  Once the payment is made successfully, you will receive a payment confirmation. You can either save this or take a printout of it.
8.  Then, you are required to affix your two passport-size photos on the printed form and put your signature on the space provided in the form.
9. Then you have to submit the form to your nearest UTIITSL office along with the attached copy of your identity, address and date of birth proof documents.

How is PAN 2.0 different from Existing PAN?

The significant differences between the existing PAN and PAN 2.0 are as follows-

Particulars	Existing PAN	PAN 2.0
Platforms	Right now, the services related to the PAN are available on three different platforms: e-Filing, Protean e-Gov portal and UTIITSL.	Under PAN 2.0, services related to PAN/TAN will be available on a single portal of the Income Tax Department.
Paperless Process	There is a difference between online and offline processes.	The process is completely online.
Security	It has a basic security feature.	The PAN 2.0 has QR codes that enhance the security with dynamic data for real-time verification.
Grievance	The grievance is time-consuming and takes more time.	It has a centralized and faster response mechanism.
Verification Process	The verification can be done manually or online through a status check.	It has an automated verification process, which can be done through a QR code.
User-Friendly	The process is complex and takes a lot of time.	It has a simplified and user-friendly process.
Submission of Documents	Earlier physical copies and scanned documents are required to be submitted.	The process is entirely online and has a process which is document-free.

Validity of Existing PAN Card

Since current legitimate PAN cards have no expiration dates, the PAN card issued by the income tax authorities will always be valid. Due to the government’s launch of PAN 2.0, new PANs will be provided to new applicants; however, this does not imply that existing PANs will no longer be valid. As a result, current PAN card holders are exempt from applying for new PANs; their current PANs remain valid. 

Is PAN 2.0 Mandatory for Everyone?

The Indian government has made it clear that you do not need to apply for PAN 2.0 if you currently have a PAN card. However, you can apply for a new PAN 2.0 if you deliberately choose to upgrade your PAN with improved security features like a QR code. Since the current PAN cards are valid for life, the government has achieved a smooth transition, and they do not want reapplications; it is not required. 

Conclusion

In conclusion, the government recently unveiled PAN 2.0, which centralizes the application procedure for new PAN cards and improves the security features of PAN. However, if you already have a PAN, you won’t need to apply for a new one; your current PAN will remain valid. 

Frequently Asked Questions (FAQs)