Penalty for Multiple PANs

Duplicate PAN Cards - How Do People End Up with Them?

Not everyone who owns multiple or duplicate PAN Cards has malicious intent, with most of them often unaware of the fact that they have them. Here are some common ways in which people end up with duplicate PANs.

1. Multiple Applications - There are chances where an individual who applied for a PAN failed to receive it, making him/her reapply for it. Dual applications could lead to multiple PANs being allotted, with the applicant often unaware of this. Patience is advised in case the PAN does not reach an applicant even after a few weeks, as delays are possible and it is better to wait and watch rather than reapply and own multiple cards. In the past, the Income Tax department was issuing PANs, but due to delays this process was outsourced, thereby increasing the possibility of miscommunication in cases of multiple applications. Some individuals might have received a card from the IT department while others could have got it from the agencies who were outsourced with the task.

1. Changing Details - With name changes becoming common, there is a possibility that an individual who has changed his/her name might reapply for a PAN with changed details. In such situations, there is a tendency for people to overlook the fact that they need to cancel their old PAN, leading to multiple PANs. One widely prevalent example is in the case of newly married women, who might take a new name or move to a different address. Reapplying for a PAN without cancelling her old one will make her the owner of a duplicate one.
2. Malicious Intent - Some people might apply for multiple PANs with an intention to cheat the government or save money. These are blatant violations and will attract a penalty.