Every individual in India needs to have a PAN card to make financial transactions. It can be a purchase of a property, the opening of an NRE bank account, or filling ITR to get a refund of TDS. Today we aim to deal with rules related to a PAN card issued to an NRI. Let’s check the process of applying for an NRI PAN Card & answer questions related to obtaining a PAN Card by a Non-Resident Indian.
Why PAN Card?
In India, PAN (Permanent Account Number) is a plastic card with ten character alphanumeric code combination, name of the individual, father’s name, date of birth, date of establishment in case of the business, signature, and picture of the individual. It is issued to Resident, NRIs, HUF, and Minors & all types of Institutions.
The PAN card serve as identification documents. It also acts as a requirement for all financial transactions. It helps maintain a track record of an individual’s financial transactions. Authorities also track tax evasion and ensure compliance with applicable laws.
Why NRI PAN is required?
- Claiming back refunds of TDS that has been deducted
- Buying and selling of property in India
- Filing of Income Tax in India
- Opening of Demat account for holding the stocks and securities
- Carrying on Financial Transactions in India
- Purchase of a car in India
- Deposit of more than INR 50K in Bank Account
- Buying any Securities like Shares or Mutual funds.
- Buying Gold in India above 2 Lakhs
- Investing in FD in Indian Bank
- KYC for any Banking Transactions or remittances.
In nutshell – if you have affairs in India, it is better to be ready with a NRI PAN card.
Process of obtaining NRI PAN Card
NRI needs to fill in form 49A if they have Indian citizenship.
NRIs with citizenship of another country have to fill in Form 49 AA. Click for Form
Or here
They can submit forms online or through UTIITSL and NDSL websites.
After submitting the form, an acknowledgment copy along with a 15- digit number generated needs to be sent to the designated address with the documents.
If the communication address provided by NRI is in India, the cost will be Rs 107. If the address of dispatch is outside India cost to be paid will be Rs 989. This will include a plastic PAN Card & dispatch charges.
Online applications have to pay fees through debit/credit card or Net banking.
You may also send a demand draft to UTIITSL/NSDL, along with the documents and form by post.
Documents Required:
- Two passport-sized photographs need to be provided in the acknowledgment form.
- Copy of the passport/Birth Certificate, Driving License, Magistrate signed affidavit as identity proof.
- Address Proof.
- Bank account statement in the residing country.
- NRE bank account statement duly attested with at least two transactions in the past 6 months.
If you have a PAN Card & wish to download in soft, follow these steps:
Follow these easy steps for PAN Card Download
1: Log in to the Income Tax Department website https://www.onlineservices.nsdl.com/paam/requestAndDownloadEPAN.html
2: Click on Download e-PAN option.
3: Now enter your PAN number
4: After that enter your Aadhar card number.
5: Enter your date of birth and accept the terms and conditions.
6: An OTP will be sent to your registered mobile number.
7: Enter OTP and confirm it.
8: After confirmation, the payment option will appear.
9: You have to pay Rs 8.26. It can be paid by UPI, Debit, or Credit card.
10: After making the payment, you can download the e-PAN card.
11: This password to open this PDF will be your date of birth.
FAQs for NRI PAN
Q1. Do I need to link my PAN Card to Aadhar?
Ans. NO. The CBDT vide notification 37/2017, has exempted nonresidents from quoting in PAN applications and Income Tax Returns. If you’re a non-resident for only income tax purposes in India then you are not be required to obtain an Aadhar number. Linking PAN and Aadhar is also not required.
Q2. Can I apply for PAN Card just before the transaction and use acknowledgment for transactions?
Ans. Yes only in some cases. But it is better to be ready and obtain it beforehand.
Q3. I was a resident with PAN and changed my status to NRI. Should I apply for a separate PAN?
Ans. NO the same PAN works out. It is illegal to obtain 2 or more PAN. PAN is life long document.
Q4. I don’t see any affairs in India. Just have some income & investments. Should I need a PAN?
Ans. Yes, you should. If you have some income in India, and you are filling tax in your country of residence they may ask you to quote Tax Identification number in India. Also under new rules like FATCA you need to disclose your foreign Tax IDs.
Do write to us using the email or comments section below on your queries related to NRI PAN CARDS.
