Why PAN card?
PAN or Permanent Account Number is a 10 digit alphanumeric identity assigned to each taxpayer only by the Department of Income Tax, under the supervision of the Central Board of Direct Taxes. It also serves as proof of identity. 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.
(a) The sale or purchase of any immovable property valued at five lakh rupees or more
(b) the sale or purchase of a motor vehicle or vehicle, [the sale or purchase of a motor vehicle or vehicle does not include two wheeled vehicles, inclusive of any detachable side car with a extra wheel, attached to the motor vehicle ] (c) A time deposit, exceeding fifty thousand rupees, with a banking
(d) A deposit, exceeding fifty thousand rupees, in any account with Post Office Savings Bank;
(e) A contract of a value exceeding one lakh rupees for sale or purchase of securities;
(f) Open a bank account
(g) Submit an application for installation of a telephone connection (including a cellular telephone connection)
(h) Payment to hotels and restaurants against their bills for an amount exceeding twenty-five thousand rupees at any one time
(i) a cash payment for the purchase of bank drafts or pay orders or bank checks for an amount aggregating fifty thousand rupees or more in a single day;
(j) Cash deposit for a total of fifty thousand rupees or more with a bank in a single day;
(k) Payment in cash in connection with travel to any foreign country for an amount exceeding twenty-five thousand rupees at any one time.