Apply PAN card for Foreign Citizen

A Permanent Account Number (PAN) is a 10-digit unique identification number issued by the Income Tax Department of India. This alphanumeric code is essential for distinguishing between different individuals and entities. Each PAN is uniquely crafted to reflect the location and identity of the holder.

The significance of a PAN cannot be overstated. In fact, conducting any financial transaction in India without a PAN is nearly impossible. For Foreign Citizen looking to open a bank account in India, the PAN is a prerequisite. Banks require PAN number to proceed with account creation.

The PAN plays a crucial role in various financial activities. It is necessary for:

• Banking transactions
• Debit and credit card applications
• Loan applications
• Buying and selling immovable property in India
• Filing applications for lower TDS certificates
• Purchasing jewellery
• Buying mutual funds
• Opening a demat account

For Foreign Citizen, possessing a PAN is mandatory for engaging in any financial transactions within India. Additionally, high-value transactions are reported to the Income Tax Department using the PAN, ensuring regulatory compliance and transparency.

Apply for a PAN as a Foreign Citizen

Foreign Citizen can apply for a Permanent Account Number (PAN) online, a process that requires a few specified documents. Under Section 139A of the Income Tax Act, 1961, all Foreign Citizen must apply for a PAN by filing Form 49AA. This form allows applicants to choose between a physical PAN card and an e-PAN, with the application fee varying based on the chosen delivery method.

Required Details for Form 49AA

Form 49AA requires comprehensive details for the application, including:

• Personal Information: Name, gender, date of birth, and details of parents.
• Contact Information: Residential or office address and address for communication
• Country-Specific Information: ISD code of the country of citizenship and country of citizenship.
• Financial Information: Source of income.
• Representative in India: Details of a representative or agent in India if any.
• Proof Documents: Documents submitted as Proof of Identity (POI) and Proof of Address (POA).
• KYC Details: To be filled in by foreign institutional investors or Qualified Foreign Investors as per the regulations issued by the Securities and Exchange Board of India (SEBI).

Steps to Apply

1. Fill Out Form 49AA: Complete the form with accurate details.
2. Choose PAN Type: Select delivery method between a physical PAN card and an e-PAN.
3. Submit Documents: Provide the necessary POI and POA documents.
4. Pay Application Fee: The fee varies based on the choice of physical or electronic PAN delivery.
5. Await Processing: Once submitted, the application will be processed, and the PAN will be issued accordingly.

Obtaining a PAN is a crucial step for Foreign Citizen engaging in financial transactions in India, ensuring compliance with Indian financial regulations.

Required Documents for Foreign Citizen

Documents Required for Identity Proof

1. No Attestation Required:
   1. Copy of passport
   1. Copy of Person of Indian Origin (PIO) card issued by the Government of India
   1. Copy of Overseas Citizen of India (OCI) card issued by the Government of India
2. Attestation Required:
   1. Copy of other national or citizenship Identification Number or Taxpayer Identification Number, duly attested by “Apostille” (for countries that are signatories to the Hague Convention of 1961), or by the Indian Embassy, High Commission, Consulate in the applicant’s country, or by authorized officials of overseas branches of Scheduled Banks registered in India.

Documents Required for Proof of Address

1. No Attestation Required:
   1. Copy of passport or
   1. Copy of Person of Indian Origin (PIO) card issued by the Government of India or
   1. Copy of Overseas Citizen of India (OCI) card issued by the Government of India or
   1. Copy of bank account statement in the country of residence or
   1. Copy of Non-resident External (NRE) bank account statement in India or
   1. Copy of Certificate of Residence in India or Residential permit issued by the State Police Authorities or
   1. Copy of Registration certificate issued by the Foreigner’s Registration Office showing Indian address or
   1. Copy of Visa granted and copy of appointment letter or contract from Indian Company, and Certificate (in original) of Indian address issued by the employer or
2. Attestation Required:
   1. Copy of other national or citizenship Identification Number or Taxpayer Identification Number, duly attested by “Apostille” (for countries that are signatories to the Hague Convention of 1961), or by the Indian Embassy, High Commission, Consulate in the applicant’s country, or by authorized officials of overseas branches of Scheduled Banks registered in India (in the prescribed format).

Additional Requirements for Office Address in India

If an office address in India is provided in the application, the following documents are mandatory:

• Copy of appointment letter/contract from an Indian company
• Certificate (in original) of the Indian address of the applicant, issued by an authorized signatory of the employer on the employer’s letterhead, mentioning the PAN of the employer
• Copy of PAN card of the employer as mentioned in the employer’s certificate

Application Fee for PAN for Foreign Citizen

• Physical PAN Card Required:
  • The fee includes dispatch charges and varies depending on whether the communication address is within India or outside India.
  • An e-PAN card in PDF format will also be sent to the email ID provided in the application.

Processing Time of PAN for Foreign Citizen

• Typically, it takes around two weeks to process the application and dispatch the PAN card, provided the application is complete in all respects.

Important Points

1. Individual applicants should provide two recent color photographs of the prescribed.
2. Applications must be signed by the applicant themselves (for individuals).
3. Even if Representative Assessee (RA) details are provided, the application should be signed by the applicant or authorized signatory.
4. Foreign addresses can be used as residential or office addresses if no Indian address is available.
5. Applicants may indicate any address (residential or office, whether Indian or foreign) as the communication address.
6. If a foreign citizen provides an Indian office address, additional documents (appointment letter, certificate of address, and employer’s PAN card) are required.
7. Entities registered outside India may use their Indian tax consultant’s address as a “care of” address.