Every commercial entity and taxpayer in India operates under two primary statutory identifiers issued by the Income Tax Department: the Permanent Account Number (PAN) and the Tax Deduction and Collection Account Number (TAN). While PAN tracks financial transactions and income tax assessments, TAN is legally mandatory for any business or employer deducting Tax Deducted at Source (TDS) on salaries, contractor invoices, professional fees, or commercial rent.
Operating a business without a valid TAN while deducting tax from vendors or employees is a direct violation of Section 203A of the Income Tax Act, carrying mandatory fines of ₹10,000. At KOKJAGUAR Consultancy in Magarpatta City, we provide express PAN allotment and TAN registrations for firms, trusts, and corporate entities. To secure your tax credentials, explore our PAN and TAN registration services in Pune.
| Feature | Permanent Account Number (PAN) | Tax Deduction Account Number (TAN) |
|---|---|---|
| Purpose | Income tax identification & financial tracking | Deducting and depositing TDS on payments |
| Application Form | Form 49A (Indian) / Form 49AA (Foreign) | Form 49B |
| Mandatory For | All individuals, firms, companies, trusts | All employers, deductors, and commercial payers |
Explore our sub-guides on TAN registration rules for employers and partnership/trust PAN card allotment.
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