What is TAN?

TAN or Tax Deduction and Collection Account Number is a ten-digit alpha numeric number required to be obtained by all persons who are responsible for deducting or collecting tax.

Who is required to obtain TAN?

Under the Income Tax Act, 1961, every person making payment or crediting income of specified types to another person is required to deduct a specific proportion of amount payable/creditable at the time of making payment or giving credit, whichever is earlier and deposit the sum so deducted i.e. TDS. Prior to making any such deduction, every such person shall have to apply to the Assessing Officer for allotment of a tax deduction account number (TAN) under section 203A of the Income Tax Act. Any organization deducting tax at source is required to quote the TAN in the following documents:

• All challans while depositing the tax so deducted.
• All certificates issued against the tax deducted.
• All returns furnished in respect of tax deducted at source.
• All other documents pertaining to such transaction as may be prescribed.

The primary function of PAN is to provide all financial transactions, a universal identification key factor and indirectly prevent tax evasion by tracking all monetary transactions of high net worth individuals.

How to obtain TAN?

An application for allotment of TAN needs to be filed in Form 49B and submitted at any of the TIN Facilitation Centers meant for receipt of e-TDS returns. A plain paper application is not accepted for TAN. TAN Application can be made on Form 49B or electronically at the time of incorporation of a company.

What we do?

Following activities are undertaken by our team of experts:

• Filing of application form
• Deposition of Challans
• Filing of returns
• Submission of documents with respective authority