The Income-tax Department issues Tax Deduction Account Numbers and Tax Collection Account Numbers. Every person is liable to deduct tax at source or collect tax at source is required to obtain TAN.
Know more about TAN:
TAN is an acronym for Tax Deduction and Collection Account Number. It is a unique 10 digit alpha-numeric number allotted by the Income Tax Department (ITD) of India. TAN number to be obtained by all persons who are responsible for deducting or collecting the tax. It is compulsory to quote TAN in TDS / TCS return (including any e-TDS / TCS return), any TDS / TCS payment challan and TDS/TCS certificates.
TAN number consists of 10 digits, starting from four alphabets followed by five numbers ended with one alphabet. An example of TAN number is RXOY 02811 K.
Who needs to apply for TAN?
People who are required to deduct tax at source or collect tax at source on behalf of Income Tax Department are required to apply for a TAN and obtain it.
The provisions of section 203A of the Income-tax Act require all persons who deduct or collect tax at source to apply for the allotment of a TAN. This section also makes it mandatory for TAN to be quoted in all TDS/TCS returns, all TDS/TCS payment challans and all TDS/TCS certificates to be issued. Failure to apply for TAN or comply with any of the other provisions of the section attracts a penalty of Rs. 10,000.
How to apply for TAN?
You can apply for TAN in two ways, Offline and Online. Online application for TAN can be made from the website of NSDL TIN website. In offline mode an application for allotment of TAN is to be filed in Form 49B and submitted at any of the TIN Facilitation Centres meant for receipt of e-TDS returns. The application form can be downloaded from the website of the Income Tax Department.
No documents are required to be filed with the application for allotment of TAN.When you apply online, the acknowledgement generated after filling up the form will be required to send to NSDL.
Know your TAN
The Income Tax Department provides a facility, ‘Know your TAN’. If you don’t remember you the TAN number, you can know it online by using this facility.
Procedure for knowing the TAN
- Visit www.incometaxindiaefiling.gov.in and click ‘Know Your TAN.’
- Select the category of Deductor i.e. Company/Branch of Individual
- Fill other required details such as Name or TAN (TAN Details can be known either from TAN or Name of the Deductor)
- Click on Submit to view the TAN Details