In case of Indian residents, Income tax’s Permanent Account Number or PAN details are a mandatory requirement for company incorporation.
While applying for DIN in form DIR-3, you are required to provide your income tax’s permanent account number or PAN details and get it verified online.
However, this field is not a mandatory field in DIR-3. But it does not mean that PAN card details should not be given for DIN application.
PAN requirement can be analysed based on the nationality factor of the applicant. In DIR3 form, you are required to select your nationality and whether you are resident in India or not. Based on that feedback your nationality and residential status is derived.
If the person applying for DIN is a foreign national and is required to possess PAN as per the provisions of income tax act then PAN details shall be mandatory. This means PAN has to be provided in DIR-3 application and while applying for company incorporation.
Requirements of having a Permanent Account Number as per income tax act will be determined on the date of application. On the date of applying, if the foreign national is not liable to have PAN card as per income tax act then it’s not required to provide PAN details in application form.
If income tax PAN is entered in DIN application then you have to click on verify income tax PAN button to get verified applicant’s name, applicant’s father name and date of birth as mentioned in PAN card. In case of any differences PAN card verification will not be successful and you cannot file DIR3 application.
Such foreign nationals who are not required to have PAN as per income tax act on the date of applying for company incorporation are required to provide their passport copy along with a declaration stating that provisions of mandatory applicability of PAN are not required to him or her (Please find the proforma below this article).
However, resident directors of the proposed company are required to submit PAN details at the time of incorporation.
I _________ (name), son of ______ (fathers name) citizen of _______ (nationality) having passport No.________ (passport Number) declare as under:
- That I am not required to obtain income Tax Permanent Account Number (PAN) under the provisions of Income Tax Act, 1961;
- That in view of the above I have not been issued any PAN; and
- That I undertake to furnish to the Registrar of Companies (mention Jurisdiction) details of my PAN as soon as a Permanent Account Number is allotted to me.
Name of the person