Is Indian PAN Card compulsory for NRI - Non Resident Indian

Jan. 2, 2009 - PRLog -- Lose your PAN card?

The document of identity, known as a ration card, has been replaced by the PAN card. A PAN card is important in verifying your antecedent and is used as a passport to becoming financially free. Below is some help if you lose this document.

In the United States of America , the Social Security card is extremely important. It identifies every resident taxpayer. The Indian PAN Number is equal to the Social Security card.

What does PAN stands for?

PAN is abbreviated from Permanent Account Number. It is a card that has a 10-digit code on it. It is given to all taxpayers. Here is an example of a PAN: JBPKSD4779.

Why is a PAN card necessary?

You need a PAN card when you are filing your income tax returns and when filing challans. As soon as you earn any income in India , you need to get your PAN immediately. You will not be able to open a bank account in India without a PAN card.

It is also necessary to have a PAN card if you want to invest in financial instruments like mutual funds, a demat account, or shares in India . A PAN card is also mandatory if you want to buy or sell property or a vehicle. Things like Hotel bills, cash payments exceeding $625 while traveling overseas, depositing money, or telephone/mobile connection require you to submit proof of your PAN card.

What to do if I lose my PAN card.

Carrying out any financial transaction without a PAN is next to impossible, so it is important to take care of it. Its small in size and you would need to carry it with you a lot, so it could be easy to lose.

In case you have lost your PAN, you should not be alarmed. Follow these steps to take care of the situation:

   * Report it missing at the closest police station the minute you see that your PAN card is missing. If you are outside the country and not traveling to India in the near future, have someone located in India report it for you.

   * Write and send a letter to the income tax department letting them know that you have lost your PAN and ask them to send you a replacement card. Attach a copy of the police report to the letter.

   * Reapply for your PAN card and attach everything along with the other important documents.

Try making a photocopy of the PAN card to help prevent misplacing it again.

Source: http://www.pancardnri.com/

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