FAQ's

Yes! Both applications can be applied together or it can also be applied separately. If some organization is willing to apply separately then application for registration under section 12A will be applied first. It is very important to get registration under 12A for the registration under 80G of Income Tax Act.

Section 11 of the IT Act, 1961 exempts the income derived from property held under trust for charitable purposes from taxation, inter alia, to the extent to which such income is applied for such purposes ‘in India’. So if an organisation registered under 12A applies its income outside India then it will not be considered as application under section 11.

As per the provisions of section 11(1), 85% of the total income of the trust need to be applied in India by any trust registered under 12A of the Act.

Where 85% income of trust is not applied during the previous year, it can be accumulated and set apart under Sec 11 (2), and shall not be included in income if following conditions are satisfied:

• Furnish a statement to Assessing Officer stating the purpose and period for which such income is accumulated (maximum period can be 5 years). The statement has be to furnished in Form No. 10/9A.
• Such accumulated funds should be invested in safe investments[ (as per section 11(5)]
• Such accumulated funds should not be donated to any other trust.

As per section 11(3), in following below mentioned conditions, the exemption will stand withdrawn, if any income set apart as per section 11(2)-

• Is applied to purpose other than the purposes for which it was accumulated, then it shall be taxable in the previous year of application
• Ceases to remain invested as per the provisions of section 11(5), and then it will be taxable in the previous year in which it ceases to invest.
• Is not utilised within the specified time or next year after the specified period then it will be taxable in the year after the expiry of specified period.
•  If donated to any trust, then it shall be taxable in hands of the donor in the year of donation.

As per provisions of section 13(1), exemption under 11 shall not be applicable in following cases:

• Income of trust established for private religious purpose13(1)(a)
• Income of trust established for benefit of particular religious, caste or community. 13(1)(b)
• Income of trust utilised for the benefit of specified persons 13(1)(c)
• When funds are not invested in safe investments 13(1)(d).

If any of the above conditions are met, the income of trust will be taxable at the maximum marginal rate

Following are considered as specified persons as per section 13(3) of IT Act, 1961:

• Author/Founder of Trust
• Person who made donation of more than 50,000 rupees
• Trustee or manager of trust
• Relative of Founder, donor , member, trustee and manger
• Any concern in which any of the above person has substantial interest.

Organisation has to disclose following details in respect to specified persons in its audit report filed under section 12A (b):

• any part of the income or property of the trust/institution was lent, or continues to be lent, in the previous year to specified person.
• any land, building or other property of the trust/institution was made, or continued to be made, available for the use of specified person during the previous year.
• payment made during the previous year by way of salary, allowance or otherwise
• services of the * trust/institution  made available to previous year
• any share, security or other property was purchased by or on behalf of the trust/institution during the previous year from specified person
• any share, security or other property was sold by or on behalf of the trust/institution during the previous year to specified person
• income or property of the trust/institution was diverted during the previous year in favour of specified person.
• income or property of the trust/institution was used or applied during the previous year for the benefit of any such person in any other manner.
• Investments held at any time during the previous year(s) in concerns in which persons referred to in section 13(3) have a substantial interest.

      The time limit for depositing the amount of TDS is as under:

• For salary and other payments: by 7^th of next month except for the month of March
  where the due date is 30th of April.
• For other payments: by 7^th of next month except for the month of March
  where the due date is 30th of April.

TDS returns are to be filed on quarterly basis, the due dates and relevant forms are for various TDS payments mentioned below:

The details of the documents required are provided in the application form. Individual applicants have to provide document pertaining to proof of identity, proof of address and proof of date of birth. The name of the applicant as mentioned in application form and the name appearing in the documents submitted along with the application should match exactly. For Non- Individual Entities, copy of any document evidencing the legal existence of the Non- Individual Entity needs to be provided, such as

1. Certificate of Incorporation in case of companies;
2. Trust Deed in case of Trusts;
3. Registration Certificate in case of Societies.

Any change in the PAN database (i.e. details provided at the time of obtaining PAN) should be intimated to the Income-tax Department by furnishing the details in the form for “Request For New PAN Card Or/ And Changes or Correction in PAN Data”.

PAN correction can be done both online or offline mode.

For online mode, you are required to submit through below mentioned links:

Protean https://onlineservices.proteantech.in/paam/endUserRegisterContact.html  and select "change or correction in existing PAN Data/ Reprint of PAN Card(No Changes in existing PAN Data).

Online through UTIITSL https://www.pan.utiitsl.com/csf.html

Download PDF https://www.incometaxindia.gov.in/documents/d/guest/form-for-changes-in-pan-pdf

For offline mode, you are required to submit the "Request for New PAN Card or/ and Changes or Correction in PAN Data" form at the nearest PAN facilitation centre.

A person cannot hold more than one-PAN. If a PAN is allotted to a person, then he cannot apply for obtaining another PAN. A penalty of Rs.10,000/- is liable to be imposed under Section 467 under Income Tax Act 2025.

If a person has been allotted more than one PAN then he should immediately surrender the additional PAN card(s).

The applicant has to pay a fee of Rs.91 (Excluding Goods and Services Tax), per PAN application. In case, the PAN card is to be dispatched outside India then the fee for processing PAN application is Rs.862 (Excluding Goods and Services Tax). Charges can be paid through Credit/Debit Card, Demand Draft or Net Banking.

PAN application can be filled up in the following forms -

Form 93 (For an Individual Being Indian Citizen)

Form 94 (For an Indian Company / an Entity incorporated in India/ an Unincorporated Entity formed in India). All non-profit organizations need to use this Form for PAN application.

Form 95 (For an Individual not being a Citizen of India)

Form 96 (For an Entity incorporated outside India/ an Unincorporated Entity formed outside India)

PAN application can be made either online through Protean (formerly NSDL eGov) (https://onlineservices.proteantech.in/paam/endUserRegisterContact.html) or Instant E-PAN through Income Tax E-filing Portal (https://www.pan.utiitsl.com/PAN/) or through any of the NSDL TIN-Facilitation Centres/ PAN Centres (https://tinpan.proteantech.in/pan-center).

While submitting PAN application form, the applicant will have to indicate whether physical PAN card or E-PAN card is required.

If the applicant opts for physical PAN Card, then physical PAN card will be printed & dispatched at communication address.

If the physical PAN Card is not required. In such cases, email ID will be mandatory & e-PAN Card in PDF format will be sent to the PAN applicant at the email ID mentioned in PAN application form. Physical PAN Card will not be dispatched in such cases.

Note: w.e.f. 01-07-2017, every person who is eligible to obtain Aadhaar number shall quote either Aadhaar number or enrolment ID of Aadhaar application form in the PAN application form.

Application must be signed (left thumb impression in case of persons unable to sing) by:

• The applicant; or
• Karta in case of HUF; or
• Director of a Company; or
• Authorised Signature in case of Association of Persons, Body of Individuals, Local Authority and Artificial Juridical Person; or
• Partner in case of Firm/LLP; or
• Trustee; or

Representative Assessee in case of Minor/deceased/idiot/lunatic/mentally retarded

There are two modes for applying for TAN: (1) Online mode and (ii) Offline mode, they are as follows:

Offline—an application for allotment of TAN is to be filed in Form 49B in duplicate and submitted to any TIN Facilitation Centres (TIN-FC). Addresses of TIN-FCs are available at NSDL-TIN website (https://www.tin-nsdl.com).

Online—online application for TAN can be made from the NSDL-TIN website.

Addresses of the TIN FC are available at www.incometaxindia.gov.in or https://www.tin-nsdl.com

No documents are required to be accompanied with Form 49Bi.e. the application for allotment of TAN. However, where the application is being made online, the acknowledgment which is generated after online filling up the form will be required to be forwarded to NSDL. Detailed guidelines for the submission of application are available at https://www.tin-nsdl.com.

Currently the fee for filing the TAN application is Rs.55/- + GST as applicable (the application fees may change from time to time).