Indian Government Approves ₹1,435-crore Project for PAN 2.0
- The government has approved a ₹1,435-crore project to revamp the system of issuing permanent account numbers.
- The PAN 2.0 project aims to create a “common business identifier” for all digital systems of government agencies.
- The project was approved by the Cabinet Committee on Economic Affairs (CCEA), chaired by Prime Minister Narendra Modi.
- PAN is a unique 10-digit alphanumeric number issued by the Income Tax Department to Indian taxpayers.
- The project aims for ease of access, speedy service delivery, improved quality, single source of truth and data consistency, eco-friendly processes, cost optimization, and security and infrastructure optimization.
- The project will also make personal data protection mandatory for all entities using PAN data.
PAN 2.0 Project
- An e-Governance project re-engineering taxpayer registration services.
- Aims to enhance digital experience for taxpayers.
- Upgrades the current PAN/TAN 1.0 eco-system.
- Benefits include faster processing of applications and updates, a unified database, free card upgrades for current PAN holders, and digital procedures for paperless procedures.
- Existing PAN cards remain valid, and new PAN cards with upgraded features, like QR codes, will be issued at no additional cost.
- Application process details are yet to be specified by the Income Tax department.
Benefits
- Applications and updates will be processed more quickly, limiting waiting time.
- A unified database promotes consistency and prevents errors in taxpayer information.
- Current PAN holders are eligible to upgrade their cards for free of charge.
- Paperwork is eliminated via digital procedures, which encourage sustainability.
- The platform protects critical taxpayer data using reliable technologies.
Conclusion
PAN 2.0 project marks a transformative step toward modernizing India’s taxpayer registration system, enhancing efficiency, security, and user experience. By introducing features like faster processing times, a unified database, paperless procedures, and upgraded PAN cards with QR codes, the initiative ensures streamlined services for taxpayers while promoting sustainability. The emphasis on personal data protection further bolsters trust in the system, safeguarding critical information. With its focus on cost and infrastructure optimization, PAN 2.0 not only simplifies compliance for individuals and businesses but also strengthens the nation’s digital governance framework.
