Tax department issues PAN, TAN to new companies in a day

Govt hopes the initiative will improve India's ranking in World Bank's ease of doing report

The government has started issuing Permanent Account Number (PAN) and Tax Deduction Account Number (TAN) in electronic form to newly incorporated companies within a day, a step towards improving India’s ranking on the ease of doing business rankings.

Until March, 19,704 such companies received PAN in a day.  The Central Board of Direct Taxes (CBDT) said it had tied up with the Ministry of Corporate Affairs (MCA). Under the arrangement, companies can submit a common application form, SPICe (INC 32), on the latter’s portal. Once the data are sent to the CBDT, PAN and TAN are issued immediately.