Outlook Business Desk
The Indian government has launched PAN 2.0, a major initiative costing Rs 1,435 crore aimed at digitizing the Permanent Account Number (PAN) system.
The upgrade introduces a QR code on PAN cards for improved security and data consistency. Existing PAN cards remain valid, with no reapplication needed. The project supports the Digital India vision, aiming to simplify processes and improve taxpayer experiences
PAN 2.0 aims for easier registration and faster processing for taxpayers by creating a unified system for accurate and integrated information
The shift to paperless systems with optimized, cost-effective infrastructure ensures eco-friendliness. Strengthened digital infrastructure for greater protection and flexibility promises greater security
Around 78 crore PAN cards have been issued, with the majority (98%) allocated to individual taxpayers. This large-scale distribution highlights the significance of the PAN system in India's financial ecosystem, with most of the population relying on it for tax and financial purposes
The upcoming overhaul will significantly enhance the digital experience for taxpayers, streamlining processes and improving user interaction with the system. Importantly, current PAN cardholders will not need to take any action, ensuring a seamless transition while maintaining the full functionality of the existing system
The PAN 2.0 project is a significant step towards modernising the tax identification system in India, ensuring better service delivery and efficiency for taxpayers