It is mandatory to quote PAN on return of income and all correspondence with any income tax authority. It is mandatory to quote PAN on challans for any payments due to the Income Tax Department. It is also compulsory to quote PAN in all documents pertaining to financial transactions notified from time to time by the Central Board of Direct Taxes. Some such transactions are sale and purchase of immovable property and payments in cash of amounts exceeding Rs. 25,000/- to hotels/restaurants/in connection with travel to any foreign country. It is also mandatory to mention PAN for obtaining a telephone or cellular connection. Likewise, PAN has to be mentioned for making a time deposit exceeding Rs. 50,000/- with a Bank or post office or depositing cash of Rs. 50,000/- or more in Bank. It is the statutory responsibility of a person receiving documents relating to economic or financial transactions notified by the CBDT to ensure that PAN has been duly quoted in the document.
Why to have PAN, Tax Filing, Income tax return Here we explained that It is mandatory to quote PAN on return of income and all correspondence with any income tax authority.
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