The Income Tax Department introduces a separate permanent account number (PAN)application form for non-residents in which NRIs, PIOs and entities having interest in India will have to provide additional information to the Central Board of Direct Taxes (CBDT).
The new form–49AA– will help the department gather information on non-Indian entities and individuals, like Persons of Indian Origin (PIOs), politically exposed persons (PEPs), persons linked to PEPs and those involved in activities like gambling, gaming and lottery, a senior CBDT official said.
“This will also help us gather tax-related information from foreign entities and individuals which we can share with tax havens like Switzerland, if required. The new form will into effect from tomorrow,” the official added.
Earlier residents and non-residents are required to apply for PAN on same application form.
The new PAN form will have to be used by fresh applicants only, PAN is needed for paying income tax and filing returns by individuals as well as business entities.