Stringent norms for procuring PAN card

Lot of foreigners use fake cards as identity proof

In the wake of rising use of fake PAN cards as proof of identity by some foreign nationals, the government is going to make norms for procuring PAN card tough.

 Earlier ration card and rent receipts were needed as proofs of identity and address. But now tax department might also ask for proof of date of birth for issuing a PAN card.

Aadhaar number, gas connection documents, and a certificate issued by the employer in a prescribed format would be accepted as identity proof after changes to the income tax rules are made shortly.

 The proposed move comes after the Economic Offences Wing found some foreign nationals, particularly from Afghanistan, were using fake PAN cards as proof of identity. In most of these cases, a fake certificate of identity and address signed by a Member of Parliament was issued.

 Finance ministry officials said there were some gaps in the current process and the idea was to make the system foolproof and robust. A notification to this effect could be issued soon and the new rule would come into effect immediately after that. It will apply only to fresh applicants.

 Currently, there is no prescribed format for the certificate issued by these authorities. Now, we will prescribe a format for PAN verification and issued of such certificates. It will be similar to the procedure followed in KYC (know your customer),” said an official who did not wish to be identified.

 Currently, about 140 million people in India have PAN cards, while only 34 million of them file an income tax return. Many people who don’t file tax return get  PAN cards as they work as identity proof at many places.