PAN 2.0: New PAN card to come with QR code - Key points you need to know

PAN 2.0: The Cabinet Committee on Economic Affairs (CCEA) chaired by Prime Minister Narendra Modi, has approved the PAN 2.0 initiative. Announced on 25 November, this project aims to modernise the existing PAN card system, making it more efficient and user-friendly for taxpayers. With a budget of Rs 1,435 crore, the government intends to create a seamless digital experience for users by upgrading the current PAN/TAN system.

What is PAN 2.0?

PAN 2.0 is an updated version of the Permanent Account Number (PAN) system, introduced to make tax-related processes easier for taxpayers. This upgrade aligns with the Digital India programme and focuses on combining all PAN/TAN services into a single, paperless platform. It includes new features such as QR codes on PAN cards, a centralised online portal, and better data security to improve the overall experience for users.

Key Features of PAN 2.0

Modern Technology for Efficiency

The new system will use advanced technology to make PAN services faster and more efficient, reducing delays and errors.

QR Codes on PAN Cards

A key addition in PAN 2.0 is the inclusion of QR codes on new PAN cards. These QR codes will allow users to quickly verify their taxpayer details, making the process easier and more reliable.

Centralised Online Portal

All PAN-related services will now be accessible through a single online platform. This will help taxpayers manage their PAN cards easily and resolve any issues faster.

Improved Security Measures

Stronger cybersecurity will be introduced to protect taxpayer data, ensuring it is safe from breaches or unauthorised access.

Environmentally Friendly System

By switching to a fully digital, paperless system, PAN 2.0 supports eco-friendly practices, helping to reduce waste and lower operational costs.

Benefits of PAN 2.0 for Taxpayers

The new PAN 2.0 system offers several advantages to taxpayers, including:

- Faster Service: The improved system ensures quicker processing of PAN-related requests.

-Fewer Errors: Data accuracy will be higher, reducing mistakes in taxpayer information.

-No Extra Cost: Existing PAN cardholders can upgrade to the new system for free.

-Eco-Friendly Practices: By minimising paper usage, the system contributes to sustainability.

What Will Happen to Current PAN Cards Without QR Codes?

Many people may wonder if their old PAN cards will still work. Union Minister Ashwini Vaishnaw has confirmed that current PAN cards remain valid, and there is no need for taxpayers to apply for a new PAN number. However, users have the option to upgrade their PAN cards with the new QR code features at no additional cost.

Why is PAN 2.0 Necessary?

India has issued over 78 crore PAN cards, with 98% of them held by individuals. Although the current system has served taxpayers well, it does not have the advanced technology needed to handle modern tax processes.

The PAN 2.0 initiative addresses these issues by upgrading the entire system and improving services for taxpayer registration. It is a step towards e-Governance and aligns with the government’s efforts to promote digital transformation.

PAN 2.0 Rollout: What to Expect

The government has not yet announced the exact launch date for PAN 2.0, but it is expected to transform the way taxpayers interact with the system. With features like enhanced security, faster services, and a paperless approach, this upgrade will benefit individuals and businesses alike.

Taxpayers are encouraged to follow official updates from the Income Tax Department to stay informed about the rollout and benefits of PAN 2.0.

The PAN 2.0 initiative, which introduces QR codes and other advanced features, is a significant step forward for India’s tax system. It aims to make processes simpler, safer, and faster for taxpayers while also promoting eco-friendly practices.

Stay updated with official announcements and explore how PAN 2.0 benefits can make managing your taxes easier and more efficient.

For more news and current affairs?from around the world, please visit?Indiatimes News.