It’s the 21st century: a century where financial transactions cannot stand without maintaining transparency and accountability. The government of India has been working on devising ways to keep financial transactions safe and secure and one of the ways is through the use of PAN cards.
PAN stands for Permanent Account Number which is a government-issued card that helps people conduct authentic and safe financial transactions. One can do a range of activities with the help of a PAN card such as investing in securities, purchasing property, or opening a bank account.
About The PAN Card
A Permanent Account Number (PAN) Card is issued by the Income Tax Department of India and comprises a ten-character alphanumeric identifier. The identifier helps people in conducting a wide range of financial transactions within the boundaries of the law. A range of people can apply for a PAN card for a range of uses. One can apply for a PAN card from the comfort of home.
Please read Jaagruk Bharat’s article on the PAN Card which comprises all the components that one should know about the government-issued card.
Role Of PAN Card In Financial Transactions
A PAN card plays a crucial role in the process of authentic financial transactions. Its role is described below in detail:
● Tax: It is crucial for everyone who pays an income tax to have a PAN card which helps in avoiding unnecessary tax hikes.
● Purchasing assets: A PAN card is used for purchasing high-valuing assets like property, jewelry, vehicles, etc.
● Investments: One needs a PAN card to open a Demat account through which investment in shares and other securities is possible.
● Banking: A bank account can be opened through a PAN card. Individuals can also apply for credit cards or avail of loan facilities using their PAN cards.
As India is transitioning from traditional methods of recordkeeping and general functioning to a digitised system, PAN cards have proven themselves as a boon. PAN cards have easily been incorporated into the new digital world without giving birth to any new problems.
Online platforms request users to do authentication using their PAN cards and then carry out whatever they need to do. Now, PAN cards are also linked with Aadhar cards to increase safety, security, and authenticity.
Conclusion
A PAN card is a significant government-issued document that has been helping in keeping financial transactions away from scams and errors.
To learn more about government schemes and programs, please head over to Jaagruk Bharat, a platform dedicated to breaking down the complexities of the schemes. You can also write to Jaagruk Bharat on their community page for any queries you might have.
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