Though there are quite a few benefits of PAN cards, probably one of the most striking is the eligibility that it gives you to enter into high value transactions of buying or selling of assets of the following categories:
- During any contract involving buying or selling of immovable property whose value is a minimum of 5 lakhs, it is very important that the parties must quote their respective PANs in the deed.
- During any agreement involving buying or selling of automobiles having a minimum of 2 wheels (excluding the side-car that be detached), the relevant parties must quote their PANs.
Banks approve only PAN holders to undertake transactions like the following:
- You can open a bank account only if you have a valid PAN. (This holds good for both nationalized and private sector banks).
- For any transactions of deposits involving a minimum of 50000 INR, private sector and nationalized banks request the parties to present their PANs, failing which, the transaction would be cancelled.
- For any transactions involving making cash payments, bank drafts, pay orders or checks with a minimum value of 50000 INR for one particular business day, PAN is considered a mandatory requirement by the banks.
- Any transaction involving cash deposits worth a minimum of 50000INR for one business day, PAN is very important.
Holding a PAN card also authorizes you to transact in other financial instruments like:
- PAN is mandatory for any cash deposits worth a minimum of 50000 INR with any Post Office Bank across India.
- Transactions involving purchase and sale of securities (to the tune of a minimum of 1lakh INR) can be possible only when the parties furnish their PANs.
Some of the important services that are available only to PAN holders are:
- Applying for a new telephone connection (postpaid or prepaid mobile or landline connection) can be done only if the applicant has a PAN.
- If a one-time bill at hotels and restaurants comes to a minimum value of 25000 INR, authorities will request you to furnish your PAN.
- If you pay in cash (to the tune of a minimum of 25000 INR) for your abroad travel, your transaction will be further processed only if you furnish your PAN.