The Income Tax Department has chosen LTIMindtree Ltd for the ₹811.5 crore PAN 2.0 project to revamp PAN and TAN services digitally. This initiative aims to modernize and streamline the management of Permanent Account Numbers (PAN) and Tax Deduction and Collection Account Numbers (TAN).
Project Details
- Quoted bid value: ₹811.5 crore (exclusive of taxes)
- Adjusted bid value: ₹792.55 crore
- Bidding process: Four companies participated, with LTIMindtree emerging as the successful bidder through the RFP evaluation
What is PAN 2.0?
PAN 2.0 is a tech-driven upgrade to India’s PAN system with the following key features:
- One-stop digital platform: All PAN and TAN services in one place
- Faster processing: Quick application processing and grievance redressal
- Enhanced security: AI and digital solutions for improved safety
- Integration with Aadhaar: Seamless updates and validation
Importance of PAN and TAN
PAN (Permanent Account Number): A 10-digit alphanumeric ID necessary for various financial transactions.
TAN (Tax Deduction and Collection Account Number): Mandatory for entities deducting or collecting tax at source.
Current Database:
- Over 780 million PANs
- More than 7.3 million TANs
Expected Benefits of PAN 2.0
- Faster allotment and reissuance of PAN cards
- Improved accuracy in updates and corrections
- Real-time Aadhaar-PAN linking
- Online PAN validation for financial institutions
- Enhanced user experience through secure processes
- Cost optimization and improved security for the government
Key Takeaways for Competitive Exams
- LTIMindtree wins ₹811.5 crore PAN 2.0 project from Income Tax Department.
- PAN 2.0 aims to modernize PAN and TAN services digitally for efficient management.
- Enhanced security and integration with Aadhaar are key features of PAN 2.0.
- PAN and TAN play crucial roles in financial transactions and tax compliance.
- PAN 2.0 promises faster processing, improved accuracy, and cost optimization.
