PAN No. in personal name, can use for proprietor

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Rachana Gadage

Account Executive

82 Points Posted on 08 October 2007

Hi All,

Can a proprietor use his/her PAN No. ( which is in his/her personal name) for his/her proprietorship firm?

Is any rule that a properitor is required PAN No. compulsory?

Replies (5)

Ravikumar.G

Consultant

20134 Points Posted on 08 October 2007

No. They can use there personal PAN for proprietor concern. For TAN they have to obtain in respective concern name

The same PAN holds good because proprietary business is not a seperate assessee under the Income Tax Act. As per the IT Act under the definition of Assessee only individual comes and not Proprietary concern.

CA.Saibaburao Nanduri

Chartered Accountant

4285 Points Posted on 08 October 2007

Rachana Gadage !
There is no personal PAN as such. The person might have obtained PAN in his 'individual' status. The proprieter/ proprietress shall file his/her reutrn of income in the status of 'individual' only. Usage of PAN depends upon 'STATUS'.

P.M.Murugesan

Auditing

22 Points Posted on 05 August 2008

hai, good morning every body

Sunil

Trader

2253 Points Posted on 26 August 2009

Originally posted by :Rachana Gadage
"	Hi All, Can a proprietor use his/her PAN No. ( which is in his/her personal name) for his/her proprietorship firm? Is any rule that a properitor is required PAN No. compulsory?	"

The problem will now come up when PAN is compulsory for all deductees. Say if Pan No. is in name of Mr. ABC who is proprietor of XYZ Corp. If he issues bill in name of XYS Corp and quotes his PAN of Mr. ABC to the deductor, the database will not match when deductor makes payment and files the TDS returns. Therefore I think they will have to pass a law for all proprietorship concerns to change their businesses totheir individual names.