Structure of new series of PAN :

The Permanent Account number under the new series depends on the next constant permanent parameters of a taxpayer and uses Phonetic Soundex code formula to create certain uniqueness:-

a. Full name of the taxpayer;

b.Date of birth / Date of Incorporation;

c. Status;

d. Gender in case of individuals; ande.

e.Father’s name in case of individuals (including in the cases of married ladies)

These 5 fields are known as core fields, without which PAN can't be assigned.

The PAN under the new series is appointed centrally by a customised application system (IPAN / AIS) for all-India uniqueness. The system automatically generates a 10 character PAN using the knowledge within the above five core fields. PAN has the following structure:-

Structure of PAN

Know PAN by name, Permanent Account Number

The fourth character of the PAN must be one of the following, depending on the type of assesse:

C — Company

P — Person

H — HUF (Hindu Undivided Family)

F — Firm

A — Association of Persons (AOP)

T — AOP (Trust)

B — Body of Individuals (BOI)

L — Local Authority

J — Artificial Juridical Person

G — Govt

The fifth character of the PAN is that the initial character (a) of the last name / surname of the person. in the case of private Pan card, where the fourth character is "P" or (b) of the name of the Entity/ Trust/ Society/ Organisation within the case of Company/ HUF/ Firm/ AOP/ BOI/ native Authority/ Artificial Juridical Person/ Govt, where the fourth character is "C","H","F","A","T","B","L","J","G".

Know Pan By Name

The phonetic PAN (PPAN) is a new concept that helps prevent allotment of more than one PAN to assess with the same/similar names. AIS works out the PPAN supported some necessary key fields of an assessee using an enclosed algorithmic program. At the time of PAN allotment, the PPAN of the assessee is compared with the PPANs of all the assessees to whom PAN has been assigned everywhere the nation. If an identical PPAN is detected, a warning is given to the user and a replica PPAN report is generated. In such cases, a brand new PAN will solely be assigned if the Assessing Officer chooses to override the duplicate PPAN detection.

A unique PAN are often assigned under this technique to seventeen crore taxpayers under every alphabet under every status (i.e. individual, HUF, Firm, Company, Trusts, Body of people, Association of Persons, etc.)

Permanent Account Number under new series :

Since a taxpayer can make payment of taxes or have financial transactions anyplace in India, a unique all india remunerator-identification range is important for linking and process transactions/documents regarding a taxpayer on computers, as additionally for data matching. Therefore, a replacement series of Permanent Account number was devised. Section 139A of the Act was amended w.e.f. 1.7.95 to change allotment of PAN under new series to persons residing in areas notified by the Board. Applications for allotment of PAN under new series were created obligatory in old delhi, Mumbai, and chennai w.e.f. 1.6.96, and in remainder of the country w.e.f. 11.2.98.