TAN Registration
TAN stands for Tax Deduction and Collection Account Number. It is a 10 digit alphanumeric code issued by the Income Tax Department of India. It is provided to persons who are required to deduct or collect tax at source (TDS/TCS) on payments made by them under the Indian Income Tax Act, 1961. TAN is mandatory for filing TDS/TCS returns, challans for TDS/TCS payments, statements of reportable accounts or financial transactions, TDS/TCS certificates, and any other documents as prescribed by the Income Tax Department. There are penalties for failing to obtain a TAN or for quoting an incorrect TAN.
Who Needs a TAN (Tax Deduction and Collection Account Number)
- Businesses and Self-Employed Individuals: This includes companies, partnerships, proprietorships, and any individual making specified payments.
- Those Required to Deduct Tax at Source (TDS): If you deduct tax from payments like salaries, rent, or professional fees, you need a TAN.
- Those Required to Collect Tax at Source (TCS): Similarly, if you collect tax at source on transactions like the sale of securities or the purchase of goods, a TAN is mandatory.
How to Register for a TAN (Tax Deduction and Collection Account Number)
- Step 1: Visit the NSDL e-Governance Website
– Go to the official NSDL e-Governance website.
– Navigate to the “Services” section.
– Select “TAN” from the drop-down menu. - Step 2: Choose the Type of Application
– Click on “Apply Online”.
– Select the appropriate form depending on your category (e.g., individual, company, firm). - Step 3: Fill Out the Application Form
– Fill in the required details such as name, address, and contact information.
– Ensure all details are accurate and complete. - Step 4: Pay the Application Fee
– Pay the required fee online using a credit card, debit card, net banking, or demand draft. - Step 5: Submit the Application
– After completing the form and payment, submit the application online.
– Print the acknowledgment receipt for your records. - Step 6: Send the Physical Documents
– Along with the acknowledgment receipt, send the necessary supporting documents to the NSDL office.
– Ensure the documents reach within the stipulated time. - Step 7: Receive your TAN
– Once your application is processed, you will receive your TAN via email and physical mail.
Required Documents for TAN Registration
- TAN Application Form (Form 49B)
- Passport-sized photograph
- Aadhaar card for address proof
- PAN Card