Whose Name Can be on Sole Proprietor’s Business PAN Card?

Last Updated at: Aug 24, 2022
Whose Name Can be on Sole Proprietor's Business PAN Card
In a 2020 order, the NCLAT said that a Sole Proprietorship Firm is eligible to file Application Under Section 7 and Section 9 of Insolvency and Bankruptcy Code (IBC).  NCLAT also said that, the definition of “person” in Section 3(23) of IBC is also applicable to a Sole Proprietorship Firm.


If you are a sole proprietorship firm, you are not mandated to apply for a new proprietorship firm pan card. Separate company pan cards for Sole Proprietor’s firms are not issued for such firms as they do not have a separate legal existence like a company. A sole proprietorship business is linked directly with the business owner. The owner/proprietor is solely responsible for sole proprietorship registration and all the debts/liabilities attached to the business. That is why separate pan cards for sole proprietorship firms are not issued for these business entities. You can use your personal PAN for your proprietorship business. 

You can use the same PAN for any number of proprietorship firms you own. Besides, any registrations such as MSME, GST, or IEC can be done with your PAN card. Even the Income Tax returns of your sole proprietorship firm can file along with your return. 

Why is a PAN card important for your sole proprietorship business?

As mandated in the Income Tax Act of 1961, a PAN is a must for all individuals, companies, partnerships, etc. If you are a company/business, PAN bears even more significance for you. It is the tax identity for any company/firm that is generating income. If you do not have a PAN, the Income Tax Department may consider you to be concealing important information related to your financial transactions from them. Also, if you are without a PAN, you can’t enjoy the tax benefits offered by the Government and you will be liable to pay taxes at the highest rate applicable.

Therefore, it’s high time you apply for a pan card for a proprietorship company if you have not got one so far.  

In this blog, we will tell you about the documents required while applying for a pan card for a proprietorship company, in the name of the proprietor. Also, we will discuss the process of proprietorship firm pan card application online. 

Documents required while applying for a pan card for sole proprietorship firm 

As said before, separate PAN cards would not require for proprietorship firms as they do not mind as a separate legal entity. Additionally, the PAN of the proprietor can be used as the company pan card for sole proprietorship firms.

register your sole proprietorship

The following documents are for PAN card application by the proprietor- 

  • Proof of identity (anyone from Driving License/Voter ID/Passport)
  • Further, proof of address (anyone from Telephone Bill/Electricity Bill/Water bill/Pension Payment  Order)
  • Proof of Date of Birth (anyone from High School leaving certificate/ pass certificate where the date of birth is present)

How to apply online for a PAN card for a sole proprietor

 The PAN of the proprietor can be used as the proprietorship firm pan card

The step-by-step procedure to apply for a PAN card for the proprietor is as follows-

  1. Visit the PAN application page on the NSDL at the URL 
  2. Select ‘Form 49A’ or ‘49A’ from the ‘Application Type’ drop-down menu. From the ‘Category’ drop-down menu, select ‘individual’ for the sole proprietor.  
  3. Mention the name, the contact number, date of birth, and the Email Id, etc in the spaces provided. Enter the Captcha code and click ‘Proceed’. 
  4. A token number will denote a successful registration with the NSDL service. Click the “Continue with PAN application form” button. 
  5. On the next page, submit your digital e-KYC. Enter your personal details in the next part of the form. 
  6. In the next step, you need to provide your AO (Accounting Officer) Code. You can get your code from the NSDL website by clicking the ‘AO Code Search for PAN’ link. Click ‘next’ to go to the document details & declaration section.

Document Details

  1. In this stage, you need to declare the documents you are uploading (such as your proof of identity, address, and date of birth).
  2. After you fill all the details, you should check the application for errors. Click the ‘proceed’ button, if you have satisfaction.  
  3. Now, you will probably pay the application fee. Moreover, you can make the payment through net banking, debit/credit card, and demand draft. 
  4. Additionally, once you have made the payment, an acknowledgment receipt bearing a 16-digit number will be sent to your email id. Further, with this number, you can check your PAN card application status online at the NSDL website. 
  5. Further, you need to send the self-attested hard copies of the documents uploaded, the print of the online application form with two passport-sized photographs, and the signed acknowledgment receipt to the Income Tax PAN Services Unit, NSDL office, Pune. Send the Demand Draft also, if you have made the payment offline. 

The hard copies must reach the NSDL office within 15 working days from the date of filing the application online. Your application and the supporting documents will be scrutinized by the department officials. If satisfaction, the PAN card will be issued within 15 business days. 

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