The Cabinet Committee on Economic Affairs, led by Prime Minister Narendra Modi, has approved the PAN 2.0 Project, allocating ₹1,435 crores to revamp the Income Tax Department’s digital infrastructure. This initiative will transform the PAN system into a unified business identifier for specified government agencies.

Key Features of PAN 2.0

QR Code Enabled PAN Cards: Existing PAN holders can upgrade to a QR-enabled version.

Streamlined Processes: Faster taxpayer registration and services, ensuring enhanced user experience.

Data Integration: PAN will serve as a “single source of truth” for consistent and secure data.

Paperless Ecosystem: The shift to fully digital operations supports green initiatives.

Enhanced Security: Updated systems offer better protection and agility.

Who Will Benefit?

Nearly 78 crore PAN cards have been issued, with 98% for individuals. Businesses and taxpayers will benefit from reduced redundancy, as PAN becomes a universal business identifier, streamlining operations across platforms.

Will You Need a New PAN?

No. Existing PAN cards remain valid. However, holders can regenerate their cards with QR code features for added functionality.

Government’s Vision

The PAN 2.0 Project aims to modernise taxpayer services, unify identification systems, and improve grievance redressal mechanisms. A unified, online, and paperless portal will ensure faster processing and seamless operations.

Conclusion

PAN 2.0 marks a significant step in enhancing taxpayer convenience while integrating modern technology into financial systems. With security upgrades and green initiatives, this initiative is poised to redefine the future of taxpayer identification and service delivery.