Which department issues PAN number?

RRB Nsg. Superintendent 21 July 2019 (shift 1st)

General Knowledge

Easy

Appeared in: RRB Nsg. Superintendent 21 July 2019 (shift 1st)

Explanation

PAN, which stands for Permanent Account Number, is a unique 10-digit alphanumeric identifier used in India.
It is issued by the Indian Income Tax Department, which operates under the Central Board of Direct Taxes (CBDT).
The primary purpose of PAN is to serve as a universal identification for all financial transactions and to prevent tax evasion.
The Income Tax Department is the specific government body responsible for managing the PAN database and issuing the cards to individuals and entities.

Option A: The Department of Financial Services (often associated with 'financial affairs') primarily deals with policies related to banking, insurance, and pension funds, not direct tax identification.
Option B: The Department of Revenue is a senior body within the Ministry of Finance that oversees both direct and indirect taxes. While it has administrative control over the Income Tax Department, it is not the direct issuing authority for PAN.
Option D: The Department of Economic Affairs is responsible for formulating the country's economic policies, preparing the Union Budget, and managing capital markets. It is not involved in the issuance of individual tax identification numbers.

Visual 1: Image - A sample of an Indian PAN card, with labels pointing to the different parts of the 10-character alphanumeric code and explaining what each part represents (e.g., status of holder, surname initial).

Clinical Relevance

Nursing practice connection: This is primarily an exam-oriented knowledge point with limited direct bedside application, so retain Issuing authority for Permanent Account Number (PAN) in India as background academic context rather than a clinical decision trigger.
PAN is a mandatory document for filing Income Tax Returns in India.
It is required for a wide range of financial transactions, including opening a bank account, purchasing property, buying or selling securities, and making investments exceeding certain limits.
A PAN card serves as a valid proof of identity, although it is not a proof of citizenship.

How to Approach the Question

First, identify the key term in the question: 'PAN number'.
Recall or deduce what PAN stands for (Permanent Account Number) and its primary function, which is related to taxes.
This is a factual recall question based on general knowledge about Indian administrative bodies.
Evaluate the given options. 'Income Tax' is the department most directly and specifically associated with the administration of taxes for individuals and entities.
The other options like 'Revenue', 'Financial Affairs', and 'Economic Affairs' represent broader departments within the Ministry of Finance, making 'Income Tax' the most precise and correct answer for the specific task of issuing PAN.

Concept Tested & Keywords

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