A safer PAN 2.0 coming with QR code, will be a common business identifier

NEW DELHI: The Cabinet committee on economic affairs (CCEA) on Monday approved the PAN 2.0 project to make it the "common business identifier" and mandate that those who get the data of the crucial income tax ID also keep it safe and secure.
The move, involving a cost of Rs 1,435 crore for govt, will not result in any additional cost for existing PAN holders, who will receive the upgraded card with QR code.
"The entire digital backbone of the system will be upgraded. There was demand from industry and the commercial world that they should not need to keep several different numbers and it's better if there is one number (for all activities). So, there will be an effort to see if this can be a mission or whether we can have this as a common identifier. There will be a unified portal as the existing software is 10-15 years old and there is a need to bring technologies," information and broadcasting minister Ashwini Vaishnaw told reporters after the CCEA meeting.
PAN 2.0 seeks to make the entire process paperless and online, and there will be a huge focus on grievance redressal, the minister said. PAN, TAN, TIN integration will be done and the entire system will be improved.
The PAN 2.0 project is envisaged as a technology-driven transformation of taxpayer registration services and is aimed at enabling ease of access and ensuring speedy service delivery with improved quality.
"This will be an upgrade of the current PAN/TAN 1.0 ecosystem consolidating the core and non-core PAN/TAN activities as well as PAN validation service," an official statement said.
Currently, around 78 crore PANs have been issued, of which 98% are to individuals. The move to secure PAN comes amid several instances of misuse as individuals often share photocopies of the crucial ID with service providers and agencies. The new features, which have not been elaborated by the income tax department, will seek to plug such gaps.