Get Tax Deduction Account Number
TAN registration is issued to persons who are required to deduct or collect tax on payments made by them under the Indian Income Tax Act, 1961. Mybizaid offers TAN Registration at Rs. 950.
A Tax Deduction & Collection Account Number (TAN) is a unique 10 digit number with an alphanumeric combination, allotted by the Income Tax Department. As per the section 203A of the Income Tax Act 1961, any person liable to TDS (Tax Deducted at Source) and TCS (Tax Collection at Source) needs to quote the TAN in returns, challans, and any and all kinds of tax transactions and correspondence with National Securities Depository Ltd (NSDL).
A TAN starts with the alphabets followed by the numerical and then ends with an alphabet. The first three letters denote the city and state of issuance, fourth letter is the first letter of tax deductor. This is followed by five numbers and the last letter makes the number unique which is different for everybody.
Few facts on TAN Registration
Eligibility for TAN
Any organization running a business and having employees, have to compulsorily apply for a TAN. This means, if you are any of the following legal entities paying salary or a commission, you will fall under the purview of TAN. The categories of applicants can be any of the following:
- Company/Branch/Division of a company
- Individual (Sole Proprietorship) / Branch of individual business
- Hindu Undivided Family (HUF)
- Firm / Branch of firm
- Association of Persons/Body of Individuals/ Association of Persons (Trusts)/Artificial Juridical Person
Difference between PAN and TAN
Permanent Account Number (PAN) is the unique identification number to file IT returns, usually for the salaried people or any other person who receives taxable income. While TAN is the unique identification number of the tax deductors, who are authorized to deduct TDS or TCS.
Only one TAN is allotted per entity. It is illegal to apply and have possession of duplicate or more than one TAN. However, an umbrella entity can have different TAN for its different branches or divisions in different cities. In case, you have been allotted a duplicate TAN, it should be immediately surrendered to TIN for cancellation, using the changes/correction form.
One Year TDS Return Filing.