New PAN forms to have independent gender category for transgenders
What's the story
The government has amended the Income Tax rules that will now allow transgenders to be recognized as an independent category of applicants for obtaining a Permanent Account Number (PAN) for their tax-related transactions.
The Central Board of Direct Taxes (CBDT), which frames policies for the department, issued a notification that provides a new tick box for the transgenders to apply for PAN.
Here's more.
Information
Till now, only male and female gender categories were available
The notification, issued under sections 139A and 295 of the Income Tax Act, specifies the new application process for obtaining the PAN by an individual. Till now, only male and female gender categories were available to be chosen on the PAN application form.
New rule
Transgender individuals couldn't link PAN with Aadhaar
The new rule was brought out in view of some representations received by the CBDT in this context, said a senior official.
"Individuals from the transgender community were facing hassles in obtaining PAN cards and this problem was magnified as Aadhaar had the third gender category but not PAN. Hence, the transgenders weren't able to link their PAN with their Aadhaar," the official said.
Application form
Amendment will now be reflected in Form 49A
The amendment will now be reflected in Form 49A (PAN application form for Indian citizens) and 49AA (PAN application form for individuals not a citizen of India).
PAN is a 10-digit unique alphanumeric number alloted by the I-T department to individuals and entities.
The government has now made quoting of Aadhaar mandatory for filing income tax returns (ITRs) as well as obtaining a new PAN.
Linking
Over 16.65 crore PANs already linked with Aadhaar
Section 139 AA (2) of the Income Tax Act says that every person having PAN as on July 1, 2017, and eligible to obtain Aadhaar, must intimate his Aadhaar number to the tax authorities.
As on March 5, over 16.65 crore PANs have been linked with Aadhaar and the deadline to link these two has been extended to June 30 by the CBDT.