What Exactly is the TAN Registration Number?

Tax Deduction and Collection Account number abbreviated as TAN is a 10-digit alphanumeric number which is essential to be quoted on every TDS return as per Section 203A of the Income Tax Act, 1961. TAN Registration number is provided by TIN when it gets registered. However, this TAN number is essential to procure by every person that is responsible for deducting as well as collecting taxes. If you are confused about who all requires a TAN number, then let me tell you. Every individual or a company who requires to deduct their taxes at the time of making specific payouts such as salaries, contractors & sub-contractors payments, rent, and lots more requires a TAN number. One must apply for a TAN card that is being issued by NSDL on the behalf of the Income Tax Department. For TAN registration, this card can be verified and authenticated on the official Indian government portal.

As far as uniqueness is concerned, each digit in the TAN number depicts the different taxation aspects. The first four digits are alphabets, the next five digits are numbers, and the last one is again an alphabet. The first four alphabets state the city or the state name of the applicant, whereas the last letter is the first letter of the applicant’s name.

Moreover, the registration process of TAN is completely simple if followed stepwise. It can either be completed via online or offline mode. But, to help you in terms of getting a TAN Registration Certificate, it is essential to seek assistance from an expert professional.

Who is Eligible for TAN Registration?

• The below-mentioned entities or individuals are eligible for applying for TAN registration
• Non-profitable organizations are in the need of making specific payouts above the defined threshold limit.
• Business branches making payouts above the defined threshold limit.
• Entity/individual required for a tax deduction while making payments to contractors, salaries, or paying rent.

Different Types of TAN Applications

TAN applications are categorized into two types:

• Application for new TAN issue
• Form for the correction of already allotted TAN

TAN Registration Benefits

There are multiple benefits for applying TAN like:

• While filing the TDS returns via TAN, the PIN code and the address of the deductee gets auto-populated as per the Income Tax department instructions. This directly offers complete transparency in case of taxation.
• While filing the TDS using TAN, the booking status gets recognized and helps in tracking whether the return matches with the TDS statement that has been filed.
• It can also be used to generate challans for payment and TDS/TCS certificates invoices.

Creating an Account for TAN registration

Creating a TAN registration account requires the following few steps:

Step 1

• Visit tdscpc . gov . in
• Click on the option Register as Tax Deductor

Step 2

Fill all the necessary details and get login credentials

Step 3

As soon as you create an account, before accepting it you will be provided with a confirmation screen to make any edits or changes.

Step 4

Once you confirm all the information, an email with important codes and an activation link will be sent to you.

Procedure for Applying TAN

TAN application can be sent either by contacting one of the facilitation centers or by online directly. In order to apply for a new TAN, you must follow the following steps:

• Visit tin-nsdl.com
• Under the service button, click TAN
• IN tab tin.tin.nsdl .com/tan/form49B .html click on Apply online button
• Now select on New TAN
• You will be directed to a new page. Select the category of deductors
• After getting form 49B, fill it completely with all required details
• Click on submit
• After the confirmation of all information by you, an acknowledgment screen will appear. This screen has drop-down menu with below options
• Acknowledgment number (this will be a 14-digit code)
• Applicant’s status
• Applicant’s name
• Payment details
• Contact details
• Space for signature
• Now Save this acknowledgement form and take its printout
• Now this print out along with the required documents should be sent to NSDL

Benefits of TAN Number

• The number is used for multiple deductions like profit, intrigue, salary, etc.
• Used for challans, returns, and certificates
• Has the ability to catch automatically the individual’s address who deducts tax in the IT office’s interest.

FAQ

How Can I Know my TAN Number?

To know your TAN number, you must feed with the following details:

• Your name
• Category
• Your State
• Verification of mobile number using OTP
• Get your TAN

Can I Make an Online Application for the TAN Allotment?

Yes, for the TAN allotment you can make an online application at tin – nsd l. com/

Who Allots the TAN?

TAN is being allotted by the Income Tax Department based on the submission of the application form.