How to Surrender a PAN Card - Know the Process

1. Documents Needed: Make sure you have every necessary document, including your date of birth, proof of identity, the PAN Card that needs to be given, and any other supporting documentation.

1. Online or Offline: Depending on your convenience, choose whether to process the surrender online or offline.

1. Acknowledgment Receipt: When submitting offline, make sure to always obtain an acknowledgement receipt.

1. Notify Relevant Entities: Notify banks and other financial institutions of the cancelation after turning in the PAN Card.

Reasons for PAN Card Surrender

The process for surrendering your PAN Card depending on the reason for it is listed below.

1. The individual is relocating outside of India permanently.

1. An individual has been mistakenly issued two PAN Cards by the Income Tax Department 

1. There are issues with the person's present PAN Card.

1. In case a person passes away, their surviving family members may request that the Income Tax Department remove their PAN Card.

1. The approved persons may request that the PAN Card of a company, limited-access partnership, or partnership to be cancelled in the event of its dissolution. 

How to Surrender a Duplicate PAN Card - Online?

1. Visit the website of the NSDL 

1. Choose the category and click on the Changes or Correction in existing PAN data/Reprint of PAN Card application

1. Complete the necessary details with correct information and submit it.

1. A unique token number will be sent to the email address you provided on the PAN Card correction form after the form has been submitted, and a modification request has been submitted. For future use, save the token number 

1. Select PAN Application Form and Continue.

1. Choose the document submission method on the new page. After completing the necessary personal information, click Next 

1. Click the Next button after selecting the check box in the left margin under the contact information in the PAN Card correction form and adding any more PANs you wish to cancel or surrender.

1. Choose and upload your proof of identity, birthdate, place of residence, and a copy of your other PAN, then click "Submit." Verify that you wish to update these details 

1. Complete and submit the declaration.

1.  If the PAN Card to be brought in is issued in the name of a business or partnership entity, the PAN Card form needs to be signed by an authorized signatory.

1. The payment page will be displayed. Payment options include demand drafts, credit/debit cards, and online banking 

1. Upon successful payment, an acknowledgement slip will be produced.

How to Surrender a Duplicate PAN Card - Offline?

1. Fill out the form titled Request for New PAN Card Or/And Changes or Correction in PAN Data

1. Bring the completed form to the NSDL collection center that is nearest to you, together with the required documents

1. An acknowledgement slip will be sent to you after the form and supporting documentation have been submitted

1. Within 15 days, provide the acknowledgement slip to NSDL

1. Write a letter explaining the problem with the duplicate PAN and asking that to be cancelled. You can also think about submitting an affidavit attesting to the fact that you only have one PAN

1. Go to your local income tax auditor and submit the letter asking for the duplicate PAN to be cancelled

1. For future use, keep the acknowledgement number.

Consequences of Not Surrendering PAN Card 

If you have not surrendered your PAN Card, you must face the following consequences:

1. Penalties: According to Section 272B of the Income Tax Act, a ₹10,000 penalty for possessing multiple PAN Cards is provided

1. Tax Confusion: Having several PAN Cards may cause confusion for the tax authorities and result in incorrect tax returns.

1. Fraud Risk: If a PAN Card is not returned, it may be used illegally to open bank accounts or apply for loans in someone else's name.

How to Surrender a PAN Card Due to the Death of Individual Holder?

In the event of the demise of the PAN Card holder, a letter addressed to the Income Tax Officer for that jurisdiction is to be written by the relatives of the deceased. The letter should mention the reason for the surrender (demise of the holder) as well as a copy of the deceased's death certificate. The letter should also mention the PAN details such as PAN number, name, and date of birth.

This procedure can be used to surrender a PAN Card upon the death of Indian residents, NRIs (Non-Resident Indians) as well as foreign nationals.

Surrender of PAN Card for Firm/Partnership/Company

Online Process

1. Visit the website of the NSDL

1. Choose the application for Changes or Correction in existing PAN data/Reprint of PAN Card and provide the necessary information 

1. Under the Mention of any Permanent Account Numbers (PANs), if any mistakenly allotted to you, enter the information for the PAN number that must be cancelled 

1. Fill out the form and pay the required fee.

1. Print the acknowledgement and send it to the Income Tax PAN Services Unit in Pune, together with all of the necessary documents, the dissolution deed, a copy of the PAN Card that needs to be turned in, and a cover letter.

Offline Process

1. Draft a letter to the income tax officer that the business or firm was reporting taxes under.

1. Mention in the letter that the PAN Card must be turned in since the corporation or firm is dissolved.

1. Cover the necessary documents, including the dissolution deed and a copy of the PAN Card that needs to be given with the letter

1. Submit the income tax officer with the letter and supporting documentation, then get an acknowledgement.

Related Contents on PAN Card

1. PAN Card Cancellation
2. PAN Card Mistakes
3. PAN Card Penalty