Get Your Pan Card: A Guide For Nepal

The Permanent Account Number, or PAN, is a crucial form of identification for taxpayers in Nepal. The Nepali government has made it mandatory for salaried employees of both private and public companies to obtain a PAN. The PAN is issued by the Inland Revenue Department (IRD) and is used to monitor the earnings and expenditures of taxpayers, ensuring they pay the correct amount of tax. The process of obtaining a PAN is straightforward and can be initiated online through the IRD website. Applicants must fill out a registration form, submit the necessary documents, and then visit their nearest IRD office to finalise the process. Obtaining a PAN card is free of charge and offers several benefits, including faster tax refunds and easier financial transactions.

Online registration

The Permanent Account Number, or PAN, is a unique ID card for taxpayers in Nepal. The government introduced this system to monitor the earnings and expenditures of both private company employees and government officials, ensuring everyone pays their taxes correctly.

• Go to the Website of the Inland Revenue Department: www.ird.gov.np.
• Look for and click on the “Tax-Payer Portal” link.
• Click on ‘Online E-services’ and then select ‘Registration (PAN, VAT, EXCISE)’.
• From the menu, choose ‘Application for Registration’.
• Fill in the form, making sure to select the IRD office closest to you.
• After clicking ‘OK’, you will be given a submission number. Make a note of this number.
• Fill in your personal details and double-check everything before hitting the ‘Save’ button.
• Print out the application form.
• With your printed form, go to your chosen IRD office, taking a copy of your citizenship, passport-sized photos, and any other ID you think they might ask for.

Documents Required for PAN in Nepal

• A copy of your citizenship
• Two passport-size photos
• Any certificates showing your skills or profession (if you have them)
• The certificate that proves your business or company is officially registered
• Photos of all the people involved in the business if it’s a partnership
• Copies of everyone’s citizenship
• A map showing exactly where your business is located
• If you’re renting a space for your business, make sure to have a copy of your lease agreement.

Cost of PAN ID in Nepal

There is no cost for obtaining a PAN card in Nepal. This ensures that every taxpayer, regardless of their financial status, can easily access this essential identifier.

Required documents

To obtain a Permanent Account Number (PAN) in Nepal, you will need to submit the following documents along with your application form:

• A copy of your citizenship certificate
• Two passport-size photos
• For foreigners: Citizenship or any authentic identification document
• Any certificates showing your skills or profession (if you have them)
• The certificate that proves your business or company is officially registered
• Photos of all the people involved in the business if it’s a partnership
• Copies of everyone’s citizenship
• A map showing the exact location of your business
• If you’re renting a space for your business, a copy of your lease agreement
• Estate ownership document/rental contract

If you are registering a business PAN, you will also need to provide the following additional documents:

• Business registration certificate
• Company registration certificate
• 2 photos of the businessman
• 2 photos of everyone in the partnership firm
• A map of the place of business
• The rental agreement with the landlord's details

Cost of registration

The Permanent Account Number (PAN) is an essential form of identification for taxpayers in Nepal. The PAN card is provided by the Inland Revenue Department (IRD) and is used to monitor the earnings and expenditures of taxpayers, ensuring that the correct amount of tax is paid.

The registration of a PAN card in Nepal is free of cost. The government does not charge any fees for obtaining a PAN card. This ensures that all taxpayers, regardless of their financial status, can easily access this essential form of identification.

The PAN card is an important tool for financial transparency and helps streamline the process of tax refunds. It is highly recommended for individuals and businesses involved in financial transactions in Nepal.

The process of registering for a PAN card is straightforward and can be initiated through the IRD website. The IRD assigns a unique PAN to each taxpayer, which helps the department stay organised and efficiently track earnings and tax payments.

The free registration of the PAN card in Nepal is a significant step towards ensuring equitable access to essential financial services for all taxpayers in the country.

Cancelling a PAN ID

To cancel a PAN ID in Nepal, you must notify the department within 30 days of when you are allowed to end it. This can be done by filling out an application form and submitting it to the Inland Revenue Office (IRO) or Inland Revenue Department (IRD).

There are several reasons why someone might need to cancel their PAN ID, including:

• No more financial activities related to the PAN are taking place (e.g., buying or selling things).
• A business linked to the PAN shuts down, changes hands, or loses its main purpose.
• The owner of the PAN passes away.
• A mistake was made when registering the PAN.

The process for cancelling a PAN ID involves the following steps:

• Fill out an application form: You can obtain this form from the Inland Revenue Office (IRO) or download it from the Inland Revenue Department (IRD) website.
• Submit the form: Bring the completed form to the Inland Revenue Office (IRO) or submit it online via the IRD website.
• Provide necessary documents: Along with the form, you will need to provide a copy of your citizenship certificate, two passport-size photos, and any other relevant documentation.
• Notify the department within 30 days: If you are cancelling due to a change in your business status or the death of the PAN owner, you must inform the department within 30 days of the event.

It is important to note that cancelling a PAN ID is a serious matter and should only be done in the circumstances listed above. The PAN ID is an essential tool for financial transparency and proper tax payment in Nepal.

Benefits of having a PAN ID

The Permanent Account Number (PAN) is a unique identifying number issued by the Nepalese government to taxpayers. It acts as a special ID for money or tax matters and helps the government ensure financial transparency and proper money flow. Here are some key benefits of having a PAN ID in Nepal:

• Unique Identification: PAN serves as a unique code or number assigned to taxpayers by the Inland Revenue Department (IRD). It helps the IRD stay organized and efficiently track individuals' earnings, ensuring everyone pays the correct amount of tax, preventing overpayment or underpayment.
• Streamlined Tax Processes: With PAN, individuals can easily file taxes, receive tax refunds, and communicate with the tax department. It streamlines the process of receiving tax refunds and makes it faster and smoother.
• Verification and Authenticity: PAN is the official ID checked by the tax department to confirm the authenticity of taxpayers. It helps build trust between the people and the government, ensuring everyone contributes their fair share of taxes.
• Financial Responsibility: Obtaining a PAN ID gives individuals a sense of responsibility when stepping into the financial world. It helps them keep track of their earnings, expenditures, and tax obligations.
• Ease of Financial Transactions: PAN is beneficial when opening new bank accounts or applying for loans. It is mandatory for all financial transactions and is used to track the inflow and outflow of money.
• Mandatory for Salaried Workers: The Nepalese government has made it compulsory for all salaried workers, including government and private firm employees, to obtain a PAN ID. This ensures that their tax payments are accurately recorded, and their salaries are validated.
• Free of Cost: Registering for a PAN card is completely free of cost. This ensures that taxpayers, regardless of their financial status, can easily obtain this essential identifier.

Frequently asked questions