What are PAN and TAN?

PAN: The Income Tax Department of India issues PAN, or Permanent Account Number, a 10-character alphanumeric code that uniquely identifies individuals, companies, and other entities required to pay taxes in India.

TAN: The Income Tax Department of India issues TAN, or Tax Deduction and Collection Account Number, as a 10-character alphanumeric code. All entities, including Private Limited Companies that must deduct or collect tax at source (TDS/TCS), are required to obtain it.

When should you Apply for PAN & TAN for Pvt Ltd Company?

If you’re setting up a Private Limited Company in India, applying for a PAN (Permanent Account Number) and TAN (Tax Deduction and Collection Account Number) is one of the first and most essential steps after incorporation. In fact, thanks to the government’s integrated process, you can now apply for both PAN and TAN right at the time of company registration.

1. At the Time of Incorporation (Best Option)

The Ministry of Corporate Affairs (MCA) has made things easier by including the option to apply for PAN and TAN within the SPICe+ (Simplified Proforma for Incorporating Company Electronically Plus) form. So when you’re incorporating your company through the MCA portal, you can apply for PAN and TAN at the same time; no need to file separate applications later.

Once your company is registered, the PAN and TAN are automatically generated and shared with you via email. It’s a smooth process and helps you stay compliant from day one.

2. After Incorporation (If You Missed It Initially)

In case you didn’t apply for PAN and TAN during the incorporation process, you can still apply for them separately:

• PAN can be applied through Form 49A
• TAN can be applied through Form 49B

These forms are available on the NSDL or UTIITSL portals.

How to Obtain PAN & TAN for Pvt Ltd Company?

There are two main ways to obtain PAN and TAN for a Private Limited Company in India; during the company incorporation process or separately after incorporation. The first option is faster and more convenient, thanks to the MCA’s integrated system.

1. Applying for PAN and TAN During Company Incorporation (via SPICe+ Form)

This is the most recommended method. When you register your Private Limited Company on the MCA (Ministry of Corporate Affairs) portal using the SPICe+ form, you can apply for PAN and TAN at the same time. You don’t need to pay any extra government fee for PAN and TAN when applying through SPICe+. It’s included in the incorporation process.

2. Applying Separately After Incorporation (if missed earlier)

If you missed applying for PAN and TAN during the incorporation process, you can still obtain them separately through the NSDL or UTIITSL portals. This involves filing Form 49A for PAN and Form 49B for TAN with the necessary company details and documents. Unlike the SPICe+ process, applying separately requires paying government fees for each form. Once approved, PAN and TAN are sent to the company’s registered email or address.

Step-by-Step Process to Obtain PAN & TAN for during Pvt Ltd Company Incorporation

• Log in to the MCA portal
• Fill out SPICe+ Part A to reserve your company name
• Proceed to SPICe+ Part B, which includes multiple registrations like:

1. PAN and TAN (via Form 49A and Form 49B auto-populated)
2. EPFO, ESIC, GSTIN (if opted)

• Upload the required documents (Certificate of Incorporation, MOA, AOA, etc.)
• Submit digitally signed forms using DSC (Digital Signature Certificate)
• Once approved, the system automatically generates the PAN and TAN and sends them to your registered email address.

Step-by-Step Process to get PAN and TAN After Incorporation

For PAN:

• Visit the NSDL PAN portal
• Select Form 49A (for Indian companies)
• Fill in details like company name, date of incorporation, address, etc.
• Upload required documents (COI, identity/address proof of authorized signatory)
• Pay the application fee (around ₹110 for physical PAN; ₹66 for e-PAN)
• Submit the form online and send physical documents (if required)

For TAN:

• Visit the NSDL TAN portal
• Choose Form 49B
• Fill in your company’s details and the responsible person’s info
• Upload supporting documents
• Pay the fee (around ₹65)
• Submit the application and track the status online

Once verified, both PAN and TAN will be issued and sent to your email or postal address.

Documents Required to obtain PAN & TAN for Pvt Ltd Company

• Certificate of Incorporation (COI)
• Memorandum of Association (MOA)
• Articles of Association (AOA)
• Proof of Registered Office Address
• Identity Proof of Authorized Signatory
• Address Proof of Authorized Signatory
• Digital Signature Certificate (DSC)
• Photograph of Authorized Signatory (for physical application)

Common Mistakes to Avoid

• Skipping PAN and TAN during incorporation: It’s easier and free to apply for both through the SPICe+ form while registering your company. Missing this step means more time and effort later.
• Providing incorrect or mismatched company details: Even small errors in the company name, address, or incorporation date can delay or reject your application.
• Submitting incomplete or outdated documents: Make sure all documents are current, valid, and properly scanned to avoid rejection.
• Not signing the forms with a Digital Signature (DSC): If you’re applying online, your forms must be signed using a valid DSC. Missing this step can lead to invalid submission.
• Delaying the application after incorporation: If you didn’t apply during registration, don’t wait too long. You’ll need both PAN and TAN for opening a bank account, deducting TDS, and filing returns.

Conclusion

Obtaining PAN and TAN is an essential step for every Private Limited Company to ensure smooth financial and legal operations. Applying for these during the company’s incorporation through the SPICe+ form is the easiest and most cost effective way. If missed, applying separately is still possible but requires extra time and fees. Make sure to follow the correct process to avoid delays and penalties, keeping your company compliant with tax regulations.

Suggested Read :

What is Form MGT 7?

What is Form AOC 4?

Tax Structures for Pvt ltd Company

ROC Compliance Form For Pvt Ltd Company

Advantages & disadvantages of Pvt ltd Company

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