How to apply for PAN for Foreign Company

How to apply for PAN for NRIs and Foreign Nationals

India being a country that encourages Foreign Investments, a good number of Foreign Nationals visit India frequently and also wish to start their business ventures here. Apart from capital, premises of business and various other factors, PAN for a Foreigner is essential for smoother operation of business in India.

1.    What is a PAN?

PAN stands for “Permanent Account Number”. It is a 10 digit alpha-numeric code generated by the Income Tax Department of India. The tax department has made it mandatory for everyone including NRIs to hold a PAN in order for them to enter into certain types of transactions in India.

2.    How to apply for a PAN?

The procedure for applying pan card is simple and the steps are:

• The requisite application form i.e. Form 49AA should be filled up and signed in the appropriate place in ‘black ink’ only and within the boxes provided;
• A recent, clear passport size photograph of the applicant needs to be affixed on the form;
•  Proof of identity and address need to be self-attested and attached with the application;

The following documents are to be submitted in case of Individual & HUF:

a)    Proof of identity

Copy of any of the following:

•  Passport;
• Person of Indian Origin (PIO) & Overseas Citizen of India (OCI) card issued by Government of India;
• Other national or citizenship Identification Number or Taxpayer Identification Number duly attested by Apostille (in respect of countries which are signatories to the Hague Convention of 1961) or by the Indian Embassy or High Commission or Consulate in the country where the applicant is located.

b)    Proof of address

Copy of any of the following:

•   Passport;
• Person of Indian Origin (PIO) & Overseas Citizen of India (OCI) card issued by Government of India;
• Other national or citizenship Identification Number or Taxpayer Identification Number duly attested by Apostille (in respect of countries which are signatories to the Hague Convention of 1961) or by the Indian Embassy or High Commission or Consulate in the country where the applicant is located;
•  Bank statement of account in the country of residence;
•  Bank statement of Non-resident External (NRE) account in India;
• Residential permit or Certificate of residence in India issued by the State Police Authorities;
•  Registration certificate issued by the Foreigner’s Registration Officer showing Indian Address;
• Visa granted & Copy of appointment letter or contract from Indian Company & Certificate (in original) of Indian address issued by the employer.

It is mandatory to provide KYC details in case of an application filled by a Foreign Institutional Investor or a Qualified Foreign Investor, as prescribed under the regulations issued by Securities and Exchange Board of India (SEBI).