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The Permanent Account Number (PAN) is a unique ten-digit alphanumeric number issued by the Government of India to all tax payers. It is a universal identification tool
that tracks all financial transactions taxable by the Government. This permanent number assigned to the PAN holder serves as an essential ID proof.
Pan Card :-
NSDL, the first and largest depository in India, established in August 1996 and promoted by institutions of national stature has established a state-of-the-art infrastructure that handles most of the securities held and settled in dematerialized form in the Indian capital market. Although India had a vibrant capital market which is more than a century old, the paper-based settlement of trades caused substantial problems like bad delivery and delayed transfer of title, etc. The enactment of Depositories Act in August 1996 paved the way for establishment of NSDL.
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PAN, or permanent account number, is a unique 10-digit alphanumeric identity allotted to each taxpayer by the Income Tax Department under the supervision of the Central Board of Direct Taxes.
PAN is mandatory for financial transactions such as receiving taxable salary or professional fees, sale or purchase of assets above specified limits, buy mutual funds and more. It also serves as an identity proof.
The primary objective of PAN is to use a universal identification key to track financial transactions that might have a taxable component to prevent tax evasion.