We all have heard about PAN & how it is required for filing your Income Tax Return but do we know what is the structure of the PAN?

We all have heard about PAN & how it is required for filing your Income Tax Return but do we know what is the structure of the PAN? Lets understand the breakdown of PAN structure [A 🧵]#PAN 



The fourth character of PAN represents the status of the PAN holder (detailed) :

a. "P" stands for Individual

b. "C" stands for Company

c. "H" stands for Hindu Undivided Family (HUF)

d. "A" stands for Association of Persons (AOP)

e. "B" stands for Body of Individuals (BOI)

f. "G" stands for Government Agency

g. "J" stands for Artificial Juridical Person 

h. "L" stands for Local Authority

i. "F" stands for Firm/ Limited Liability Partnership

j. "T" stands for Trust

PAN enables the department to identify/ link all transactions of the PAN holder with the department. 

These transactions include tax payments, TDS/TCS credits, returns of income, specified transactions, correspondence etc, and so on.