The importance of Permanent Account Number or PAN card has improved in a few years, and it is today an essential part of our routine lives. The most important task of allotting PAN to a unit is for the cause of verification and to verify all the connected monetary information of that unit. At the outset, the significance of PAN was for filing IT returns.

Uses of PAN cards:

Bank Fixed deposits: If you open a fixed deposit account in bank with an amount more than Rs. 50,000, a copy of PAN card needs to be given. In absence of PAN, the bank will take away TDS of 20% or at the present rate, whatever is higher.

Disbursement in Restaurants or Hotels: You may be requested to submit a copy of your PAN if you pay cash in hotels or restaurants next to bills for a sum more than Rs. 25,000.

Disbursement to Travel Managers: Cash payment going beyond Rs. 25,000 for travel to any foreign country in single payment requirements you to make your PAN copy.

Rental Contracts: Nowadays, landlords ask for a copy of the PAN card of residents, as the main identity proof, while giving their possessions.

Jewellery Shops: High-value buying of jewellery in cash should come with a copy of the PAN card of the buyer, mostly as a mode to hold back the use of black money.

Thus, it is essential to know your pan card and its important uses.

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