Online TAN Registration in India: Benefits, Documents, Fees

TAN stands for Tax Deduction and Collection Account Number, it is required to obtain every business responsible for deducting (TDS) and collecting taxes (TCS) on behalf of the government. TAN registration is mandatory under section 203A of the Income Tax Act, 1961. Registration of TAN can be done in both modes online and offline. It's primarily used by individuals or entities responsible for deducting or collecting Tax at source (TDS/TCS). Bizfoc helps you to complete the TAN registration effectively and quickly with professional team members.

What is the TAN Registration Number?

Tax Deduction and Collection Account Number consist of 10 unique digits alphanumeric code. The Income Tax Department issued the TAN registration number. Every business needs to get a TAN registration number and has to deduct tax at the source, whenever it is required. The applicant can fill out the TAN registration in online mode by visiting the official website of the government.

Structure of TAN number

The Tax Deduction and Collection Account Number have 10 (ten) digits of alphanumeric number which is a structure with a specific design and configuration.

• First four characters (Alphabetic): The first three alphabetic characters are a code that indicates the jurisdiction area or the state. The fourth alphabet indicates the first character of the TAN holder name or company name, trust name, etc.
• Middle five-digit: This five-digit number is system-generated which is a unique numeric.
• Last alphabetic characters: These concluded characters are also system-generated unique numbers.

Who should obtain a TAN?

Any company or business including Government Agencies or NGO that needs to deduct the tax at source (TDS) on certain transactions is required to do TAN regsitration.

• Single Payment to contractor/sub-contractor - ₹ 30,000
• Aggregate transactions- ₹ 1 Lakh
• Insurance Commission to:- Domestic and other companies: ₹ 15,000
• Rent on plant and machinery- ₹ 2.4 Lakhs

Check TAN Registration Process

Following are the procedures for TAN registration online:

• Step 1: Go to the official website

  Visit the official website of the NSDL to apply for a TAN registration number online.

• Step 2: Fill out the 49B form

  Go to the 49B form and select the appropriate category that includes the individual, a company, a government organization, a trust, or any other category, and download the form.

• Step 3: Provide the details

  Fill out the TAN registration form with the correct information. Provide such details including the name, contact details, date of birth, and other relevant information, and prepare a DD or challan.

• Step 4: Verify the form

  Recheck the form before submitting it and pay the prescribed fees on the payment window.

• Step 5: Save the acknowledgment receipt

  An acknowledgment receipt will be shown on the screen which consists of a unique 14-digit acknowledgment number. The applicant has to save this acknowledgment and print the same.

• Step 6: Send the acknowledgment to NSDL

  The applicant needs to mail the acknowledgment receipt to NSDL for further processing.

• Step 7: Get the TAN number

  At the end, the NSDL will verify the application and process it. After successful verification, the TAN number will be allotted and the TAN registration certificate will be delivered to the applicant's address as mentioned in the application form.

What are the documents required for the TAN registration Online?

For TAN, documents are required according to the business category, which are given below:

Individual

• The PAN Card of the applicant
• The Aadhar card of the applicant
• Email ID and Mobile No.
• Address proof - electricity bill
• Passport-size photograph

Private Limited Company

• PAN card of the company
• PAN card of directors
• Aadhar cards of directors
• Email id and Mobile number of directors
• Address proof - Electricity Bill
• COI, MOA, and AOA

TAN Registration Fees

To obtain a TAN Registration Certificate, you need to pay the government-prescribed fee which is ₹ 80. You can save both effort and time by getting in touch with us as Bizfoc provides reliable and cost-effective TAN registration online service.

Particulars

Time taken for the TAN registration Online

For the TAN registration number, you can contact us. Bizfoc has professional team members who will assist you throughout the TAN registration process. Our experts fill out your TAN registration form within 2 days. After submitting the application form it will take 4-5 working days issued by the Income Tax Department. So, it takes almost 7 days to issue a TAN registration number.

Benefits of TAN registration Number

You can get the following benefits by obtaining a TAN registration number:

• TAN registration number ensures compliance with the Income Tax Act as it is compulsory for the companies to collect the taxes at sources or deducting.
• The TAN holder doesn't need to renew the TAN registration Certificate repeatedly as it is a one-time process.
• Getting a Tax Registration Certificate enhances the credibility of the business among customers.
• The working of an entity becomes smooth with the TAN number by complying with the TAN rules and regulations, legal transactions, tax payments, etc.

Consequences of not quoting TAN Registration Number

As per Section 272BB(1) under the Income Tax Act provides a penalty for failure to get TAN and Section 272BB (1A) imposes a penalty for incorrect information. Penalty imposes Rs. 10,000 under 272BB.

Why need to BizFoc?

Bizfoc offers reliable and affordable TAN registration services in India. If you are looking for TAN registration, you need to contact us as we have experienced and qualified CA and CS team members who will provide you with TAN registration Service quickly and effectively. Get in touch with us now to know more about our various registration services.

Conclusion

The TAN number is an important number for every business to file a tax return. For all businesses, it is mandatory to obtain a TAN number. As per Section 203A of the Income Tax Act 1961, all companies need to deduct the TDS or TCS at source to streamline the taxation system. The entity requires a TAN number to declare the amount they deducted in a year while filing their IT returns.

Frequently Asked Questions